New Temkin Group Research Shows that Consumers Most Often Have Bad Experience With Comcast and Charter Communications

WABAN, Mass., Feb. 25, 2015 /PRNewswire/ -- Temkin Group released new research, What Happens After a Good or Bad Experience, 2015. The report examines the relationship between 10,000 U.S. consumers and almost 300 companies across 20 industries.

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Nineteen percent of consumers who have interacted with TV service providers and Internet service providers report having a bad experience during the previous six months, the highest levels of any industry. Comcast (25%) and Charter Communications (24%) have the highest levels of consumers reporting bad experiences. The next three companies on the list are Motel 6, Time Warner Cable, and 21^st Century insurance (all at 23%).

At the other end of the spectrum, only 4% of consumers report having a bad experience with a retailer, and six retailers are at 1%: True Value, Costco, Bed Bath & Beyond, Ace Hardware, Gap, and Staples.

The research examines the impact of bad experiences on consumer spending. Fifty-seven percent of consumers who had a bad experience with a fast food chain have decreased their spending with those stores and 32% of consumers who have had a bad experience with a computer company have completely stopped spending with the company. When it comes to health plans and utilities, two industries where consumers have a hard time switching, only 22% of consumers lower their spending after a bad experience.

"Bad experiences are very costly for companies," states Bruce Temkin, Managing Partner of Temkin Group. "But companies can reverse the negative effects if they respond very effectively after a problem occurs."

The research shows that companies can increase their revenues when they respond very effectively after a bad experience. The difference in spending between a consumer who experiences a very poor response by a company and one who experiences a very good response is dramatic; the better response leads to 41% fewer consumers decreasing their spending with the company and 31% more increasing their spending.

The highest percent of consumers say that investment firms (48%) and major appliance makers (45%) have delivered a good response after a bad experience, while less than 20% of consumers feel that way about TV service providers and Internet service providers.

After a very bad or very good experience, consumers are more likely to give feedback back directly to the company than they are to post on Facebook, Twitter, or third party rating sites. The social sites, however, are an important component for consumers who are younger than 45-years-old.

This research can be accessed from the blog, Customer Experience Matters, at ExperienceMatters.wordpress.com or at the Temkin Group's website, www.TemkinGroup.com.

For more information about Temkin Group, visit www.TemkinGroup.com.

About Temkin Group: Temkin Group is widely recognized as a leading customer experience research and consulting firm. Many of the world's largest brands rely on its insights and advice to steer their transformational journeys. Temkin Group combines customer experience thought leadership with a deep understanding of the dynamics of organizations to help accelerate results. Rather than layering on cosmetic changes, Temkin Group helps companies embed practices within their culture by building four critical competencies: Purposeful Leadership, Employee Engagement, Compelling Brand Values, and Customer Connectedness. The firm's ongoing research identifies leading and emerging best practices across a wide range of activities for engaging the hearts and minds of customers, employees, and partners. For more information, contact Bruce Temkin at 617-916-2075 or send an email to [email protected].

About Bruce Temkin: Bruce Temkin is widely recognized as a customer experience thought leader and is Customer Experience Transformist and Managing Partner of Temkin Group. He is also the author of a very popular blog, Customer Experience Matters® (ExperienceMatters.wordpress.com). Prior to forming Temkin Group, he was a VP at Forrester Research for 12 years. Bruce is a highly demanded speaker who consistently receives high marks for his content-rich, entertaining keynote addresses. He is also the co-founder and Chair of the Customer Experience Professionals Association (CXPA.org), a global non-profit organization dedicated to the advancement of customer experience management.

Customer experience matters is a registered trademark of Temkin Group.

SOURCE Temkin Group

Related Links

http://www.TemkinGroup.com

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