Nearly 60% of brands in the region see a decline in CX quality over the past year

Forrester’s (Nasdaq: FORR) Canada Customer Experience Index (CX Index™) rankings reveal that the average CX quality among Canadian brands has fallen to its lowest point following a second consecutive year of decline. In addition to nearly 60% of brands and eight industry averages decreasing in CX quality over the past 12 months, brands in Canada are struggling to connect with customers emotionally. One of the main contributors to this declining trend is brands neglecting to prioritize employees’ well-being and needs, which in turn leads to poor customer experiences. Additionally, inept conversational interfaces and chatbots are resulting in poor digital CX.

In 2024, five of the six “elite” brands — the top 5% of brands in the entire CX Index — are new, including Acura, Chrysler, La Maison Simons/Simons, Mercedes-Benz, and RBC Dominion Securities. Only PetSmart maintained its elite status from 2023 — the other brands saw statistically significant losses that dropped them below the elite threshold.

The luxury auto manufacturer industry is the only industry to see its CX quality average improve, while the utilities industry experienced the biggest drop in CX quality average over the past year.

“CX quality among brands in Canada is at an all-time low,” said Rick Parrish, VP and research director at Forrester. “Currently, few brands understand the full extent of damage they are doing to themselves when they fail to focus on their employees, who are ultimately responsible for delivering positive experiences to their customers. In addition to upleveling conversational interfaces, brands must earn their customers’ long-term trust and loyalty.”

Conducted for the ninth year in a row, Forrester’s Customer Experience Benchmark Survey, which collects data to calculate Forrester CX Index scores, is based on more than 43,300 Canadian customers across 110 brands and 10 industries. Forrester’s proprietary Customer Experience Index methodology provides the data and insights needed to assess CX quality, understand how CX impacts loyalty intentions, and prioritize improvements that drive revenue. Even a minor improvement to a brand’s customer experience quality can add tens of millions of dollars of revenue by reducing customer churn and increasing share of wallet.

Forrester’s CX Index rankings and results reports are accessible within the Forrester Decisions portfolio of research services. Clients of Forrester Decisions services for Customer Experience, B2C Marketing Executives, and Digital Business & Strategy have access to the CX Index annual benchmarking exercise to help prioritize improvements based on industrywide trends and impact on customer loyalty.

Resources:

• Read more about the results of Forrester’s 2024 Canada CX Index, and download Forrester’s Canada 2024 CX Index report (client access required).
• Visit here to discover previous Forrester Customer Obsession Award winners.
• Explore Forrester Decisions services for Customer Experience, B2C Marketing Executives, and Digital Business & Strategy.

About Forrester

Forrester (Nasdaq: FORR) is one of the most influential research and advisory firms in the world. We help leaders across technology, customer experience, digital, marketing, sales, and product functions use customer obsession to accelerate growth. Through Forrester’s proprietary research, consulting, and events, leaders from around the globe are empowered to be bold at work — to navigate change and put their customers at the center of their leadership, strategy, and operations. Our unique insights are grounded in annual surveys of more than 700,000 consumers, business leaders, and technology leaders worldwide; rigorous and objective research methodologies, including Forrester Wave™ evaluations; more than 100 million real-time feedback votes; and the shared wisdom of our clients. To learn more, visit Forrester.com.

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