How Good User Experience Design Boosts Customer Retention

To explain the importance of UX, the experts at Lucid Advertising cite a study by Forrester Research, which indicates that “a well-conceived, frictionless UX design could potentially raise customer conversion rates to 400%.” The cornerstone of Lucid’s comprehensive website development services, UX is an essential element of customer retention for numerous reasons. 

Understanding User Experience (UX) Design

The term “user experience” (UX) describes the entire consumer journey as they engage and interact with a particular product/service and the platforms/systems that surround it. UX has a profound impact on consumer perception and satisfaction levels.

For the typical organization, UX plays (or should play) a major role in website development and design. However, UX design goes beyond the website to impact product branding, marketing and overall function.

Key elements of a UX-optimized website include:

• Design—Although you should never underestimate the value of pure visual appeal, you must take painstaking care to develop a website that is designed according to the unique needs of your particular industry and fully consistent with your company’s well-honed brand image.
• Navigation—You should ensure that your company website is optimized for speed to allow instant navigation for traditional internet and mobile users alike. Furthermore, you should ensure that it is easy for website visitors to find exactly what they are looking for.
• Content—Aside from clear and compelling written content that readily gives readers the information and/or entertainment they seek, companies should consider incorporating various forms of audio-visual and/or interactive content into their websites.

The Relationship Between UX and Customer Retention

Unsurprisingly, UX design strongly influences users’ decisions to continue along or to turn away from the consumer path they are traveling. It can also make all the difference when it comes to inspiring customers to return for repeat business and establishing long-term consumer relationships. Because positive UX builds trust, it can do wonders to boost brand loyalty and reduce customer churn.

The Baymard Institute demonstrates that the costs of poor UX can be incredibly high. Drawing from numerous authoritative sources, this independent research firm reports that 40% of visitors will leave a website if a page takes more than three seconds to load, 32% of loyal customers are ready to abandon a brand they love after a single bad experience, and “91% of unsatisfied customers don’t complain about their bad experience— they simply leave without giving feedback.”

Case Studies: Success Stories in UX

Lucid Advertising has many case studies of businesses that have successfully implemented UX strategies to boost retention. For example, the privately-owned anesthesia practice management company CCI Anesthesia turned to Lucid in the early 2020s to revitalize its brand and redevelop its website with a concerted focus on UX.

The positive results of Lucid’s efforts were both immediate and lasting. “Right out of the gate, the campaign was a success,” writes Lucid. “The first teaser email elicited a 400% increase in click-through rates with hospital CEOs as compared to the previous three months combined.” By personalizing UX, among other initiatives, Lucid helped CCI double its revenue to more than $110 million.

Key UX Strategies for Retention

Beyond personalizing relevant content and ensuring that your website runs smoothly and responsively, there are many other things that a diligent marketer can do to boost UX with an eye on customer retention. For example, user-friendly websites must feature clean, uncluttered design layouts and clear, easy-to-read text. Furthermore, marketers should center each website page around a single practical purpose and place the most important content on the top half of the screen.

Measuring the Impact of UX on Retention

Digital marketing is incredibly precise thanks to its ability to reach specific consumers and track their activities online. In large part, this is due to marketers’ ability to measure specific analytical metrics, many of which have a direct impact on UX and, ultimately, brand loyalty. These metrics include system usability scale (based on 10 UX-based questions that users answer), completion rate (the number of users who can complete a particular task online), time on task (how long it takes a user to successfully complete a particular task) and error rate (how often uses are prevented from completing a particular task).

Continuous Improvement in UX

Rapid advancements in digital technology and changes in consumer behavior make ongoing UX assessment and adaptation an absolute must. To remain competitive, you simply have to stay ahead of customer expectations with proactive UX updates. For example, the consumer tech company Intercom points out that customer support expectations have shifted dramatically in recent years. “Long wait times and slow responses are no longer accepted as being good enough,” writes Intercom. “Customers expect efficient, personalized support, which is why support leaders are turning to a conversational, messenger-based approach to help them strike that balance and offer personal support at scale.” 

Whether you want to start building a website around UX or require significant UX refinements, Lucid Advertising can help. Contact us today to see what high-quality UX can do for you.