Customers Brand Value

Recently, several reports have been published that have pushed the notion that providing an exceptional customer experience does not generate the expected returns in loyalty. One of the articles states that delivering “delight” will raise operating costs by 10-20% while only marginally adding to customer loyalty.

Such “experts”, that openly mention the “6+ service organization” have opined that providing great service may not make customers stay and therefore, delivering an exceptional customer experience is pointless. These reports gained traction. While these statistics are interesting –  and in some cases true – they do not tell the whole story. By only looking at a few aspects of loyalty and not taking into account other loyalty and top- and bottom line aspects, decision makers may make decisions on non-complete information. When asking yourself ‘am I doing customer experience right’ there are more aspects to take into account:, such as

  • Delivering the brand promise and creating brand value;
  • The Pareto Principle on customer profitability;
  • Cross- and upsell opportunities;
  • Amplification;
  • Delivering excellent customer service does not have to cost more.

Over the last fifteen years, I have seen more than 25 customer service, marketing and sales organizations up close as an analyst, manager, director and as a consultant. Everyone wants to see the return of their investment and clearly, “improving customer service” is not enough. It never was and never will be.


Some organizations, such as Starbucks, Zappos & Disney, have made it a culture to be truly customer centric, it is part of their core brand values and their DNA. These companies are centered around the customer in every way possible. Customers choose to buy products or services from these companies because they are willing to pay to be put on a pedestal, they don’t expect anything less. Telling these companies to not do this anymore would like telling McDonalds to stop selling hamburgers. Without providing this exceptional service, a key pillar of their service or product offering will collapse, most likely resulting in a huge drop in turnover and profit.