Happy Friday! ‘This week in CX’ brings you the latest roundup of industry news.
This week, we’ve been looking at the latest research in AI attitudes and advancements, progress in the retail industry, and flexible workspaces.
We’re also discussing new research into customers lacking trust in mobile capabilities to make purchases, and “forever customers” – those that display extreme loyalty to brands.
Key news
- CrowdStrike cut its full-year outlook following last month’s global outage caused by a flawed update from the cybersecurity software maker. The update crashed millions of computers using Windows on July 19, precipitating the cancellation and delay of thousands of flights and other business disruption. CrowdStrike, which faces lawsuits from shareholders, travelers and Delta Air Lines, now projects full-year revenue of $3.89 billion to $3.9 billion, compared with $3.96 billion expected by analysts. That reduction reflects a subscription sales impact of $30 million in each quarter as the company forked out $60 million in customer incentives.
- The world’s biggest tech companies, including Apple and Nvidia, have been in discussions about investing in OpenAI, The Wall Street Journal and Bloomberg report, citing anonymous sources. The maker of ChatGPT is looking to raise “several billion dollars” in a new funding round that values it at more than $100 billion, according to the Journal. OpenAI is in an “arms race” with heavyweights such as Google and Meta, seeking capital to maintain its lead in the competitive artificial intelligence space. Apple and OpenAI recently announced a partnership, and Nvidia is the biggest supplier of AI accelerators powering ChatGPT.
CXM news stories
Here’s the full news stories that CXM have reported on in the past week. Learn all about the latest research in AI attitudes and advancements, progress in the retail industry, and flexible workspaces.
Consumers have little confidence in making purchases via mobile
Mobile phones have become our constant companions, driving a staggering 73% of monthly online traffic across industries. In fact, consumers are spending 20% more time browsing on their phones in 2024.
Despite the surge in traffic, actual purchases on mobile remain surprisingly low. Only 26% of people are completing purchases on their phones daily. This raises a crucial question for digital teams: how can we turn this constant browsing into consistent buying?
New findings from Quantum Metric have discovered that 43% of consumers encounter errors, and 59% experience sluggish performance. What’s more, mobile error rates are 2-3 times higher than on desktop, according to Quantum Metric platform data.
These hiccups erode trust, making shoppers think twice before committing to a mobile purchase. Whether consumers perceive a brand’s app as poorly maintained or suspect a security risk, many will abandon their purchase or turn to their reliable desktop to complete the transaction.
Do you have “forever customers”?
61% of Gen Z shoppers actually identify as “forever customers,” per Medallia Market Research’s latest Consumer Views on Brand Loyalty study.
In comparison, only 57% of millennials and 43% of boomers said they would call themselves “forever customers.”
Overall, it seems, customers are pretty loyal. More than 70% feel some degree of loyalty toward a brand they’ve had a recent interaction with, although only 24% would call themselves “very loyal” to that brand.
Of the 2,000 consumer surveyed, 46% said that price was the top factor in determining if they’d become a “forever customer to a brand,” followed by product quality (39%), product selection (30%), and experience (29%).
Speaking of experience, a consumer can just as easily get turned off by a brand as they can become loyal.
Of those surveyed, 59% said they swore to not shop at a retailer again after a bad experience, while 37% said it took just one bad experience to totally write a brand off.