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Businesses Fail to Deliver on Customer Experience Management (CEM) Programs

May 13, 2014 - New Delhi, Delhi, India

  • Avaya survey finds strong correlation between CEM and increased profits
  • 81 percent of organizations have seen their CEM initiatives fail in the last three years
  • 72 percent of organizations in India have a comprehensive CEM program

A new study from Avaya, a global provider of business collaboration and communications solutions and services, investigates the emphasis companies are putting on customer experience management (CEM) and finds that increasingly high expectations are creating a business environment where the majority of organizations are struggling to keep up. While CEM programs are being undertaken on a global scale by businesses of all sizes, the Avaya survey found that in India, 72 percent of the businesses have a CEM solution far better than the average of 59 percent globally but behind the 84 percent of businesses in China which have a solution in place.

CEM and Profits

CEM activities are strongly tied to business success and growth trajectories. The study found a solid correlation between a strong CEM program and increased profits. Globally, 81 percent of those who have seen a significant increase in profits have a CEM program in place, compared to those who have seen profits remain static (46%) or suffered a decrease in profits (35%). Companies see the biggest improvements in customer satisfaction, loyalty, retention and repeat purchasing, which the survey finds is largely attributed to the fact that 88 percent of customers, globally would rather spend their money with companies that make it easy for them to buy.
In comparison, India respondents felt the strongest about the importance of CEM in organizations with 75 percent of business managers in India describing CEM as extremely important, followed by Mexico (67%),the US (59%) and Brazil (59%).

What Indian Customer Expect

With regards to what customers expect vis-a-vis what companies are able to offer in India, 80 percent of the Indian customers expected to be treated as 'unique', with companies automatically delivering communications tailored to an individual's preferences. In stark contrast with customer expectations, only 49 percent of companies deliver on this. 58 percent of companies in India are able to provide customer-facing staff with a single customer view in real time when a customer contacts the company. This is the higher in India in comparison to the other BRIC countries- China (48%), Russia (46%) and Brazil (43%).

45 percent of companies also say that they can link (in real time) all threads of communication across different channels (e.g. web, phone, social media etc.). However, the customer expectations are high on this front, with 80 percent of the customers surveyed expecting organizations to offer them a wide variety of contact methods and for customer-facing staff to be fully up to speed on past conversations, emails and tweets etc. Another area that technology has enabled, is for companies to be proactive with customers, which has the potential to deliver an exceptional customer experience. 47 percent of companies say their customers can be automatically notified by their corporate technology systems of potential problems (e.g. late order, stock issues, delivery problems etc.) and proactively offered solutions.
Bridging the Gap

Today’s multichannel/multidisciplinary way of working with customers requires strong support from enabling technology. 45 percent of businesses in India, say they can automatically produce in real time a record of a prospect’s contact history across all communication channels from the first point of contact, even if they have not become a customer. The importance of this is emphasized by the fact that 93 percent of customers in the country say the way a company treats them before they actually spend any money has an impact on how they feel about that company going forward. Avaya’s expertise and insights from working with thousands of companies and organizations in India and around the globe has resulted in a portfolio of Customer Experience Management solutions and services that enables the end-to-end experience customers want. 
To this end, the company also announced Avaya Contact Center Select, a “right-sized” solution for midmarket businesses which enables a multichannel customer experience with the simplicity and affordability needed by this segment. 


A majority of businesses acknowledge the need for a comprehensive CEM program, but somehow fail to deliver on what it takes to implement one. The gap in India is quite wide as 80 percent of customers expect to be treated as unique whereas only 49 percent of companies deliver on this aspect. 
Breaking down functional silos, tapping the expertise of internal and external resources and investing in technologies that bring customers and employees closer together will help put companies on the path to success.”

Johnson Varkey, Director, Contact Center Sales, India and SAARC, Avaya 

About Avaya:

Avaya is a global provider of business collaboration and communications solutions, providing unified communications, contact centers, networking and related services to companies of all sizes around the world. For more information please visit

Survey Methodology:

The survey was conducted globally across 13 countries by independent market research firm Dynamic Markets on behalf of Avaya including: United States, Canada, Mexico, Brazil, United Kingdom, Germany, Netherlands, Russia, China, Singapore, Japan, India and Australia. 1,268 businesses with more than 1,500 employees were interviewed, with 54 percent of respondents at senior-management level or above. 8,500 adult consumers were surveyed; 49 percent of whom are male and 51 percent female.

Certain statements contained in this press release are forward-looking statements. These statements may be identified by the use of forward-looking terminology such as "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "might," "plan," "potential," "predict," "should" or "will" or other similar terminology. We have based these forward-looking statements on our current expectations, assumptions, estimates and projections. While we believe these expectations, assumptions, estimates and projections are reasonable, such forward looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond our control. These and other important factors may cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements. For a list and description of such risks and uncertainties, please refer to Avaya's filings with the SEC that are available at Avaya disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

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Photo Caption: Avaya Customer Experience Management Survey, 2014

Source: Business Wire India


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