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Customer Engagement

Unleashing the Potential for Growth

What strategy does your organization use to engage its customers? And how do you know whether your efforts are paying off?

World-class organizations unleash their potential for growth by optimizing their customer relationships. Organizations that have optimized engagement have outperformed their competitors by 26% in gross margin and 85% in sales growth. Their customers buy more, spend more, return more often, and stay longer.

Our Value
Customer Engagement as a Core Strategy

Finding the right metric is a key step in your organization's journey toward increasing customer engagement -- but measurement without action is meaningless. Asking the right questions is crucial for identifying and quantifying the issues, but improvement requires both local-level and enterprise-wide changes. Gallup consultants partner with your organization to analyze your customer engagement results, then develop and implement a strategy to improve key business outcomes.

Gallup has conducted rigorous research across a many industries and with both B2C and B2B customers. Through this research, along with insights from the world's foremost experts in the emerging science of behavioral economics, Gallup has identified 11 questions -- the CE11 -- that measure customer engagement and link powerfully to financial performance.

Our studies reveal that customers who are fully engaged represent an average 23% premium in terms of share of wallet, profitability, revenue, and relationship growth than the average customer. Actively disengaged customers represent a 13% discount in those same measures.

What Is Your Engagement Ratio?

Gallup's customer engagement ratio is a macro-level indicator of an organization's health that allows executives to track the proportion of fully engaged to actively disengaged customers.

  • In average organizations, the ratio of fully engaged customers to actively disengaged customers is 0.8:1.
  • In world-class organizations, the engagement ratio is 8:1.

Business units that score above Gallup's database median on both customer and employee engagement significantly outperform units that rank in the bottom half on both measures.

When you consider the premium that fully engaged customers deliver to your organization, isn't it vitally important that you understand, develop, and sustain optimized customer relationships?

Optimizing Performance

Gallup's goal is to help organizations implement strategies to build cultures that support sustainable growth -- that engage customers by leveraging the talents of employees and managers. To meet this goal, we offer a suite of management solutions that are tailored to each organization's specific situation.

Gallup's approach blends strategic analysis with practical steps and advice to change how leaders view their work, their employees, and their customers.

To learn more about how your organization can engage customers, optimize performance, and improve financial performance, download the brochure Customer Engagement: What's Your Engagement Ratio? or contact us.

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GALLUP CONSULTING LEARNING EVENTS
Gallup Learning Events introduce business executives, managers, and sales professionals to Gallup's research discoveries and best practices.
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For a complete list, visit the Learning Events area on the Gallup Consulting site.

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