UK customer satisfaction holds firm

KPMG research finds satisfaction with UK brands at same level as 2021

KPMG research finds satisfaction with UK brands at same level as 2021

Despite the challenging economic landscape in which businesses are operating, UK consumer satisfaction has held steady over the last year, according to research released today by KPMG.

Based on the experiences of over 10,000 UK consumers across 333 brands, KPMG’s annual Customer Experience Excellence report outlines how businesses and sectors fared over the last twelve months in the eyes of the public.

The average customer experience score across all of the brands rated was 7.37, holding firm from a 7.36 score in 2021 – despite the increasingly challenging backdrop in which businesses are operating, as inflation, supply chain disruption and changing consumer demand all put pressure on pricing and operations.

NHS partner Pharmacy2U was ranked by consumers as the UK’s leading business for customer experience in 2022.  New customers went from 30,000 per month to 30,000 every 48 hours during the height of the pandemic.

The top five UK brands rated by consumers for Customer Experience Excellence in 2022 are:

  1. Pharmacy2U      (up 5 places vs 2021).
  2. First Direct         (up 10 places vs 2021).
  3. QVC UK               (up 1 place vs 2021).
  4. Lush                    (down 2 places vs 2021).
  5. Lakeland            (up 11 places vs 2021).   

Non-grocery retail is ranked as the leading sector for best customer experience, with grocery retail a close second, and financial services third.

This year’s KPMG report focusses on the relationship between customer experience and value – and finds  that whilst the cost of living squeeze is increasingly ensuring that price is the main purchasing driver for many consumers, high quality experiences still positively influence how customers perceive value, as does the purpose of the organisation.  Almost half of consumers expressed a willingness to pay more for goods and services that reflect their values. Only 15% said they were not very or not at all willing.

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Tim Knight, UK Head of Customer and Operations, KPMG, said:

“Businesses are operating amidst some of the most difficult trading conditions the UK has ever experienced. Macroeconomics, geopolitical tensions, broken supply chains and the cost-of-living crisis are shaping an excruciatingly tough business environment. 

“Against this backdrop, today’s consumers are looking for both great value and purposeful, sustainable brands.  The best businesses are those that have the strength of leadership and operational enablers to deliver both value and values, in increasingly difficult circumstances.” 

Linda Ellett, UK Head of Consumer Markets and Retail, KPMG, added:

“Whilst the cost of living squeeze is ensuring that price is a critical purchasing driver for many consumers, there’s a number of other factors that constitute what consumers see as value. 

Customers are still looking for more for less, but for some people this is tempered by wanting to also see a brand or retailer demonstrate a commitment to its environmental and societal responsibilities. 

“Trust is an important driver for customers.  This comes through in pricing and promotions strategies that are key in this landscape of increased scrutiny on spend, but so does authentically communicating what the business stands for and what differentiates it from others.”

To read the report click here

ENDS.

For media interview:

Steven Reilly-Hii, Media Relations Manager (Consumer Markets), KPMG UK, steven.reilly-hii@kpmg.co.uk, 07510 376635.

Research Methodology:

The Customer Experience Excellence (CEE) score is a weighted average of each brand’s score, as mapped against The Six Pillars that drive brand advocacy and loyalty:

  •  Personalisation – Brands using individualised attention to drive an emotional connection.
  • Integrity – Brands being trustworthy and engendering trust.
  • Expectations – Managing, meeting and exceeding customer expectations.
  • Resolution – Turning a poor experience into a great one.
  • Time & Effort – Minimising customer effort and creating frictionless processes.
  • Empathy – Achieving an understanding of the customer’s circumstances to drive a deep rapport.

The UK research was conducted between June 15th and July 6th 2022, as part of a wider piece of global KPMG research during Q2/Q3 across 25 countries.

UK overall customer experience performance over time:

Year

Overall Customer Experience Excellence (CEE) Score

2013

7.21

2014

7.25

2015

7.25

2016

7.33

2017

7.08

2018

7.13

2019

7.21

2020

7.45

2021

7.36

2022

7.37


Sector performance ranking/comparison to 2021:

Industry 

 CEE Metric 2022

 2022 sector ranking 

% change vs 2021

Non-Grocery Retail

7.56

1

1%

Grocery Retail

7.55

2

0%

Financial Services

7.52

3

1%

Restaurant & Fast Food

7.48

4

-1%

Telecoms

7.36

5

2%

Entertainment & Leisure

7.33

6

0%

Travel & Hotels

7.08

7

-1%

Utilities

6.89

8

1%

Logistics

6.84

9

1%

Public Sector

6.50

10

-2%


About KPMG:

KPMG LLP, a UK limited liability partnership, operates from 22 offices across the UK with approximately 15,300 partners and staff.  The UK firm recorded a revenue of £2.43 billion in the year ended 30 September 2021. KPMG is a global organisation of independent professional services firms providing Audit, Legal, Tax and Advisory services. It operates in 145 countries and territories with more than 236,000 partners and employees working in member firms around the world. Each KPMG firm is a legally distinct and separate entity and describes itself as such. KPMG International Limited is a private English company limited by guarantee. KPMG International Limited and its related entities do not provide services to clients.