Pure play e-tailers Asos and Amazon have the highest levels of customer satisfaction, according to figures released today.
Online retail leads the way in the latest UK Customer Satisfaction Index (UKCSI) by the Institute of Customer Service (ICS), with Asos achieving 92 per cent in overall customer satisfaction, equalling Amazon‘s record high set in January 2012.
While Amazon received a score of 90.6, online entertainment retailer Play.com came fourth in the index with a score of 85.1, beaten by department store John Lewis with 88.5.
Food retail came in second in the overall index with a score of 81.6 and the ICS noted that these results also relate to market share.
Last week, research firm Kantar Worldpanel published market share growth results for the 12 weeks ending July 8th 2012 which revealed that discount supermarkets Aldi and Lidl have achieved “remarkable” growth of 26.1 per cent and 11.5 per cent respectively.
Today‘s index highlights a strong correlation between high and low levels of customer satisfaction and market share growth as grocers with an customer satisfaction score above the sector average of 81.6 have seen an average market share growth of 0.8 per cent in the last 12 months.
Meanwhile, those with a lower than average customer satisfaction score have seen an average market share decrease of 0.13 per cent.
Jo Causon, CEO at ICS, explained the figures, commenting: “The retail results demonstrate that companies can use service as a key differentiator to deliver a tangible impact on their results in the form of increased sales and market share.
“That the retail league tables are dominated by both online retailers and retailers with a strong high street presence also suggests that customers expect and value quality interactions, whichever channel they choose.”
Non-food and food retail lead the rankings, with local services providers close behind at 8.5 and Causon noted that every sector has either improved or maintained its rating since the start of the year.
“The overall improvement in the UKCSI is an encouraging indicator that organisations are continuing to prioritise and invest in customer service,” she said.
“However, the increased diversity in customer satisfaction reflects customers‘ growing sensitivity to the experience they receive in a challenging economic climate.
“With less disposable income, consumers are far more discerning. In this environment, service will be the key differentiator, helping to deliver a tangible impact on customer retention, loyalty, and ultimately, the bottom line.”