Customer Experience Ratings’ Impact on Purchase Decisions and 2024 Trends
In 2024, it is evident that AI and other technologies are revolutionizing the way we work, search, and acquire knowledge. However, in a surprising twist, it is the responsibility of real, live humans to meet consumer demands. Should consumers fail to receive satisfactory service, they possess the autonomy, consciousness, and emotions to express their opinions through reviews. Dismissing a 3.5-star review as insignificant, claiming it cannot possibly depict the complete picture, would be a mistake.
Preface to the Analysis of Customer Experience
Through extensive exploration of the customer experience industry, I have recently discovered that trust experiences a staggering 67% decline when reviews drop from four stars to three. Conversely, trust surges to an impressive 95% when ratings reach the five-star level. These compelling statistics underscore the importance of ensuring customer satisfaction.
Still unconvinced that investing in exceptional customer service is worthwhile? New research reveals that when customer experience is integrated into your overall brand strategy:
- Revenue can increase by 2%-7%
- Profitability can expand by 1%-2%
- Satisfaction and engagement can skyrocket by 20%-30%
Despite the rapid technological advancements taking place, my team at Trends firmly believes that there is substantial value in human-centric customer experience solutions.
Improving Five-Star Ratings
Harnessing Technology to Empower Individuals
For tech-savvy trendsetters or customer service innovators, there is an opportunity to develop or invest in cost-effective, automated, AI-powered software that aids the individuals responsible for customer satisfaction. For instance, one can develop, test, or invest in tools that streamline tasks for themselves or their service teams, enabling a friendly, engaging, yet simplified intake process. Additionally, one can explore features that humanize the service team through realistic photos and video chat options.
Moreover, leveraging platforms that aggregate and analyze interactions with customer service teams, and integrating AI to suggest streamlined service processes for businesses in real time can be beneficial. In pursuit of an excellent customer experience (CX), it is crucial to go above and beyond by creating an inclusive interface that ensures all customers feel comfortable accessing support.
Learning from successful customer-centric brands
While having reviews is beneficial, delivering an excellent customer experience also leads to customer retention, upselling, and building trust in your brand, especially during challenging times. At the Trends team, we have extensively examined how brands have achieved financial growth by prioritizing their customers and going beyond mere ratings. The Trends team has conducted in-depth analyses of the lucrative business potential in customer reviews. Even as the workplace landscape evolves, customer interactions remain crucial. Several affordable customer experience startups, such as Freshworks, have reported a 20% increase in revenue in Q1. This demonstrates that while businesses are cutting costs, they understand the significance of CX and are unwilling to compromise on it.
Need more examples?
- Nanit, a baby monitor brand, gained national attention when they significantly increased conversions by prioritizing CX and adding human customer service representatives to assure new parents.
- Moreover, established brands like Apple have started offering video chats with live product specialists to enhance the online shopping experience.
Not Neglecting Negatives
Negative reviews can effectively enhance trust by demonstrating the brand’s commitment to transparency and valuing honest feedback. Utilize in-app tools to manage negative comments. For instance, respond to an Instagram Reel with another Reel, courteously rectifying any misunderstandings and providing solutions or new insights. An additional benefit is that it contributes to positive brand content, counteracting occasional negative comments. While Google is the preferred platform for addressing local business reviews, small to medium businesses in niche markets can be particularly susceptible to negative feedback.
Consequently, it is crucial not to avoid or disregard them. Although Google may not have the same visual appeal as Instagram and TikTok, mastering Google Business Profile can lead to profitable opportunities. Instead of perceiving reviews solely as feedback and customer service, consider them as an opportunity for free promotional content that allows you to showcase the transparent and thoughtful individuals behind your business. By responding to every comment and review, you can maintain a human connection that keeps your audience engaged.
Customer Experience Evolution: Insights into 2024 Trends
In the past, customers had limited options when choosing which businesses to support. They would visit a physical store, make a purchase, and continue with their lives. However, in the digital era, customers now have the convenience of considering multiple businesses before making a purchase. The customer experience provided by a company has become a crucial deciding factor.
Even in the past year, the customer experience has undergone significant changes, including advancements in technologies like AI. We will explore the key developments in the customer experience and discuss what the future holds for customer experiences in 2024 and beyond.
Defining Customer Experience
Customer experience (CX), also known as customer journey, encompasses all interactions a customer has with a business. This includes the initial brand discovery and extends well beyond the purchase. To create a comprehensive positive experience, businesses must consider the customer’s perspective at every stage.
The Evolution of Customer Experience
The evolution of business practices throughout history has been marked by significant changes. However, with the advent of new technologies and the digital realm in recent decades, we are now witnessing an unparalleled pace of transformation. The management of customer experience has undergone substantial advancements, particularly in the 2010s, as illustrated in the accompanying image.
Integrating Humans and Technology
One of the significant shifts in customer experience over the past decade, which will persist in the future, is the integration of both human engagement and technology. Back in the day, automation was all the rage, but relying solely on artificial intelligence for communication left customers yearning for human interaction. While instant responses were available, the generic replies often fell short in addressing complex issues. Customers seek prompt answers to simple questions, making automation essential. However, providing human support is equally important to instill trust in your brand. After all, 54% of customers express frustration with chatbots when they are required to answer multiple questions before being transferred to a human agent. Today and in the future, businesses must strike a balance between automation and human interaction to deliver the best possible service and experience.
Gaining insights into customer perspectives is crucial for businesses
When a business implements new software or transitions from call support to online chats, these changes are often driven by budget considerations or the goal of enhancing employee productivity. Both of these factors are crucial when making decisions. However, it is important not to overlook the customer’s perspective in the decision-making process.
For instance, consider a scenario where an executive of a garden supply company learns online that chat functionality is essential for modern businesses. As a result, the company decides to replace its customer service phone line with an automated chatbot. However, the primary audience of the business consists of older adults who prefer ordering by phone or interacting with a human rather than navigating a chatbot and its automated responses.
In such cases, it would be prudent to choose a solution that caters to the target audience, such as adding live chat or a chatbot while retaining the phone line. This approach ensures that all audience segments are accounted for before implementing significant strategic shifts that could impact customer satisfaction.
Involving the entire company in CX: a strategic approach to enhance customer experience
In recent years, it has become increasingly evident that customer experience is not solely shaped by a single department within a business. The responsibility of prioritizing the customer experience extends beyond customer support agents and sales associates.
According to Emplifi, 43% of consumers place significant importance on positive previous customer experiences when considering a new purchase. Therefore, every level of a business should actively seek ways to improve negative customer experiences and maintain positive ones.
For instance, executives should carefully consider how changes and innovations will impact the overall customer experience. Similarly, technicians should take into account the end-user experience when implementing changes to customer-facing applications or websites.
Managing Various Modes of Communication
Years ago, businesses primarily focused on in-person communication with clients during standard business hours. With the advent of phones and later email, customers gained additional channels to reach out to businesses. To meet the needs of customers across different time zones, some businesses had to adapt and provide support accordingly. In the 2010s, chatbots and website forms gained popularity, introducing automated support. Nowadays, businesses are expected to offer omnichannel support, encompassing traditional phone and email as well as apps, live chats, video calls, and more. The latest trend in omnichannel support is social media direct messages (DMs). There has been a 45% increase in the number of social media users who have sent DMs for customer service in the past three months compared to last year.
Defining Company Values
Given the current COVID-19 pandemic and the prevailing domestic and global events, customers are no longer solely driven by the best deals or amusing advertisements. They now expect businesses to demonstrate social consciousness and align with their values. A significant 49% of U.S. adults feel that brands should take a more active role in social advocacy, particularly with younger generations, where this sentiment is even more pronounced at 53% among Gen Z. To provide a positive customer experience, businesses must adopt forward-thinking missions and goals that contribute to the community, whether through sustainability initiatives, charitable donations, or supporting artisanal craftsmanship over mass-produced goods. It is important to note that the specific stances taken may vary depending on the nature of the business and its target audience. However, the overarching message is clear: customers seek to engage with businesses that prioritize more than just the bottom line.
Customer Experience Trends for 2024

Numerous trends that have surfaced over the past decade have become integral elements in delivering exceptional customer experiences, including omnichannel support. As new trends emerge, they too will exert a lasting impact on the industry. In 2023, significant changes have been ushered in, largely attributed to the advancements in AI. In the subsequent sections, I will outline some of the latest customer experience trends that will continue to gain momentum throughout the remainder of 2024, 2025, and beyond.
AI-powered customer experiences
The 2023 AI adoption boom shows no signs of slowing down. In fact, according to 72% of customer service professionals, by 2024, most support reps will utilize some form of AI/automation in their role. I share their belief. AI offers various applications and benefits in customer support. In the following discussion, I will highlight two areas that significantly influence the customer experience due to their direct impact on the success or challenges customers encounter with your product or service.
24/7 Customer Support
Consider this (exaggerated for emphasis) scenario: My blender suddenly ceased functioning, and I am unable to discern the appropriate course of action for repair. To make matters worse, it is already 7 PM, well beyond normal business hours, and my friends are due to arrive for dinner in a mere 30 minutes.
Seeking assistance, I navigate to the company’s website in hopes of finding a resolution. To my relief, I engage with their chatbot and succinctly explain my predicament. Promptly, the chatbot directs me to the precise knowledge base article that addresses my issue, allowing me to restore functionality to the blender. The problem is solved, and dinner is saved.
How does this exemplify the significance of AI? In today’s landscape, numerous chatbots employ machine learning techniques, including natural language processing, to deliver timely solutions to customers around the clock. By eliminating the need for customers to endure extended waiting times for assistance, businesses can provide a significantly more gratifying experience.
Jas Banwait Gill, growth manager at SwagMagic, exemplifies this approach by offering 24/7 customer support through AI. Gill explains, “ChatGPT bots power continuous connections with both new and existing customers on our social media channels… This customer-centric strategy ensures a personalized and seamless experience.”
Predictive Analytics
Predictive analytics enables businesses to proactively address customer needs by anticipating them and providing solutions in advance. By analyzing customers’ purchase history and identifying patterns, AI can make accurate predictions. These insights can be leveraged to design a customer experience that effectively caters to their requirements.
For instance, in the case of an e-commerce business, leveraging a customer’s purchase history can facilitate the creation of automated emails that remind them to reorder a product before it runs out. This proactive approach simplifies and enhances the customer experience, minimizing potential future frustration well in advance.
The continued significance of personalized experiences remains essential in various contexts
Consumers now have higher expectations for personalization, making it a crucial element in delivering an exceptional customer experience. According to Dany Tomsett, CEO and founder at UneeQ Digital Humans, every interaction, even in the later stages of the customer journey, should be personalized.
As anticipated, leveraging AI and emerging technologies enables businesses to meet customer demands for personalization. Our State of AI survey revealed that other representatives have expressed a significant level of trust in the effectiveness of AI in delivering personalized experiences.
Enhanced focus on data security
81% of individuals express concerns regarding the utilization of their data by companies, emphasizing the importance of granting them control over its usage. Moving forward, prioritizing data security plays a pivotal role in delivering an optimal customer experience in 2024 and beyond. To ensure compliance, I recommend the following practices for businesses:
- Allow customers to voluntarily consent to data sharing.
- Communicate data practices in an easily understandable manner.
- Provide explicit explanations of data storage methods.
- Transparency is key; be honest about any data breaches or potential security risks.
For businesses utilizing AI or planning to do so, it is crucial to exercise extra caution as AI heavily relies on customer data. Take the time to review the privacy policies of the tools you employ and establish comprehensive guidelines for data usage by your teams.
Martina Bretous, who operates HubSpot’s Next in AI blog and has conversed with numerous AI experts, has been informed by Etienne Cussol, a compliance analyst at Termly, that “AI models’ reliance on massive amounts of data to learn and generate is contrary to core data privacy principles such as data minimization, purpose limitation, privacy by design, and privacy by default.”
To remain vigilant about customer data, consider leveraging a tool like HubSpot’s User Permissions, which offers comprehensive access control. This ensures that customer data is viewable solely by relevant individuals. Notably, the flexibility to update permissions as needed, such as during role changes, combined with easy monitoring of data access, makes this tool particularly advantageous.
Keeping Pace with the Evolution of Customer Experience (CX)
Customer experience has undergone significant transformation in the past decade and will continue to evolve in the years ahead. To attract and retain clients, brands must demonstrate agility and adaptability, consistently growing and adapting. The pandemic has highlighted the importance of promptly responding to changes, both internal and external. By staying attuned to customer wants and needs, you position yourself for future success.