Does consumer engagement really matter? You bet it does! In the world of sponsorship, consumer engagement is critical to the success of the sponsor, property, and consumer. We call it the triad or trinity of sponsorship. The consumer (be it a retail consumer, a B2B consumer, or an employee engagement program) must be positively engaged by the sponsor within the property for it to work well.
Recently, I saw some great data snippets on consumer engagement form the Temkin Group. I wanted to share some of that content with you.
- A bad experience costs money.
- After a bad experience, 22% of consumers decreased their spending with that company and 19% stopped spending with that company.
- Bad experiences spread quickly.
- After a bad experience, 30% of consumers tell the company, 50% tell their friends, 15% provide feedback on a ratings site, and 14% tweet about it.
- Great consumer experiences mean more sales.
- When consumers have a good experience, they are 3.5 times more likely to make additional purchases than if they had a poor experience.
- Consumer surveys are important.
- 78% of big companies expect consumer interaction history to become an increasingly important source of consumer insights and only 33% feel that multiple choice surveys are the answer to those insights.
- 63% of big companies are good at soliciting consumer feedback, but only 24% are good at taking action based on those insights.
- Satisfied promoters are key.
- When compared with detractor type consumers, promotors are 4.2 times more likely to buy again, 5.6 times more likely to forgive a company after a mistake, and 7.2 times more likely to try a new offering.
Truly it is important to ensure consumer engagement is done right! Make sure your sponsorship engagement opportunities and activations deliver great satisfaction—or don’t do them. It is too costly to deliver a bad experience.
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