29 Jan, 2014

Survey: High Correlation Between Response to Feedback and Perception of Being Valued

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MELVILLE, N.Y.–(BUSINESS WIRE) – January 28, 2014 — Verint^® Systems Inc. (NASDAQ: VRNT) today announced the results from an Ipsos^* survey of 1,000 U.S. consumers that explored customer satisfaction and engagement experiences with service providers and brands. The study highlights a link between customers receiving attention from service providers and feeling valued. It also reveals that there is nearly an equal amount of consumers who provide feedback as compared to those who don’t, representing significant opportunities for businesses to gain additional insight through voice of the customer initiatives.

Key findings regarding the views of U.S. consumers showed that:

• A third of those surveyed (34 percent) believe companies take notice of their views, compared to a five-region average (U.S., U.K., Germany, Poland, Russia) of 29 percent.

• Nearly half (49 percent) feel valued as a customer as compared to an average of 39 percent.

• More consumers feel that service providers take notice of their views (34 percent) than those that do not (28 percent).

• A large portion (42 percent) of consumers believes in the power of social media’s influence in helping to hold brands accountable.

Types of Consumers

The data in this survey represents an opportunity for companies to establish longer-term loyalty with a greater number of customers by encouraging them to become more engaged by developing and driving voice of the customer programs across the enterprise.^**

• 17% are Brand Champions: customers that will sing a brand’s praises, remain loyal over a long period of time and be most likely to get rewarded in return.

• 26% are Silent Likers: customers that may be loyal and happy, but are the least likely to talk about their experiences and engage with brands.

• 14% are Fence Sitters: customers who appear to be ambivalent about the service they receive; they don’t engage with brands nor share their experiences.

• 23% are Churners: those that will constantly be on the hunt for a better deal and won’t hesitate to leave if they are dissatisfied with services.

“This survey reveals a disconnect between the actual value of consumer feedback, and what consumers believe to be the impact of their shared input,” says Nancy Treaster, senior vice president and general manager, strategic operations, Verint Enterprise Intelligence Solutions^™. “The data shows that service is a two-way street and it should demonstrate to consumers that businesses are willing to reward those who speak out in order to help improve loyalty, service and performance”

How the U.S. Compares to Other Regions

• U.S. consumers ranked near the top in believing service providers take notice of their feedback. The rankings were Germany (35 percent), U.S. (34 percent), Poland (26 percent), Russia (25 percent) and United Kingdom (24 percent).

• U.S. consumers were one of the few countries in which the percentage of consumers who felt their feedback was “noticed” ranked higher than the number of consumers who felt their feedback was not noticed. The countries where being noticed were greater include: Germany (35 percent vs. 18 percent), and the United States. (34 percent vs. 28 percent). This is compared to Poland (26 percent noticed vs. 31 percent not noticed), Russia (25 percent vs. 36 percent) and United Kingdom (24 percent vs. 29 percent).

• U.S. consumers felt comparatively more valued by service providers. In order, those that felt valued are: Germany (57 percent valued vs. 10 percent not valued), the United States. (49 percent vs. 16 percent), Russia (32 percent vs. 27 percent), Poland (30 percent vs. 27 percent) and the United Kingdom (29 percent vs. 23 percent)

Verint Analysis

• The research reveals there is nothing to be gained from consumers withholding complaints to the companies with whom they do business, and in fact the more feedback they share—both positive and negative—the more rewards there are to be gained.

• With the technology that exists today to capture the voice of the customer and the significant investments in customer services that brands are making, the impetus is on businesses to encourage their customers to understand that organizations are willing to reward them for speaking out in order to help inform and improve the customer experience.

• Because brand champions are happy with the service they receive and very loyal—85 percent staying with a company for more than three years—Verint encourages consumers to become brand champions by being vocal about positive and negative experiences and by giving direct feedback to the organizations with which they do business; by doing so consumers are likely to be rewarded.

About the Research

^*The research was conducted on i:omnibus, Ipsos MORI’s online panel omnibus, in two waves. In wave one, a nationally representative sample of 1,000 British adults aged 16-75 was interviewed over 3-5 September. In wave two, a nationally representative sample of 1,002 British adults aged 16-75 was interviewed between November 26-28, 2013. Questions focusing on the industries specified below received c500 responses per wave (i.e. c1,000 in total). Questions without industry focus received 1,000 responses in the first wave only. The survey data has been weighted by age, gender and region to ensure it represents a national mix of respondents.

In other countries, in wave one, 1,000 US adults aged 18-75 were interviewed between September 17-20, 2013; 1,004 German adults aged 16-70, 1,005 Polish adults aged 16-60 and 1,002 Russian adults aged 16-60 were interviewed between September 20-23, 2013. In wave two, 1,000 German adults, 1,001 Polish adults, 1,000 Russian adults and 1,000 US adults were interviewed between November 26-28, 2013. In each case, nationally representative samples were drawn. As for Great Britain, questions focusing on the industries specified below received c.500 responses per wave (i.e. c1,000 in total). Questions without industry focus received 1,000 responses in the first wave only. The survey data has been weighted by age, gender and region to ensure it represents a national mix of respondents.

The research explores attitudes towards services provided by organizations in nine sectors (mobile phone, home telephone/landline, home broadband; banks; credit card providers; insurance; high street retailers; supermarkets and utilities).

^**Additional analysis and segmentation of the research was carried out by Brands2Life to formulate the consumer groups during December 2013.

Learn more at www.verint.com.