There is a new social CRM divide in marketing, with around 80% of companies thinking that they deliver superior customer experiences, but only around 8% of their paying customers agree, according to new research.
Infographic source: Sprinklr
The research, from Sprinklr, also indicates that 20% of companies rarely, if ever, respond to customer complaints made via social.
The social CRM divide is especially evident in the differing attitudes to social complaints, the research uncovered.
Sprinklr says that 38% of consumers will feel more negative about a brand that fails to meet their expectations for timely social response and that six in 10 will “take unpleasant actions to express their dissatisfaction”.
The study, which compiled publicly available data from over 120 large companies such as Samsung, Macy’s, Jeep, BMW, Sony, and H&M, shows that 11% of brands have lost revenue, 15% have lost customers, and 26% have tarnished reputations because of negative social comments.
The study’s authors reckon that brands are under-investing in paid social media by 50% — a US$5-billion opportunity for marketers, technologists, and platforms alike.
“The power has shifted to the customer who’s connected,” says Jeremy Epstein, vice president of marketing at Sprinklr. “They collectively have more information about the company than the company and brand has about itself.”