Frontliners' engagement, wellbeing crisis threaten billions in lost sales

Frontline employees in Australia are reporting lower levels of engagement and wellbeing in the workplace, raising the potential for poor customer experience that could lead to billions of losses.

This is according to the latest research from Qualtrics, which found that only 63% of Australian frontline employees feel engaged at work, slightly lower than the national average of 65%.

Lower levels of engagement and inclusion were also reported among frontline employees, with 66% and 68%, respectively. These figures are below the national averages of 67% and 69%.

Only 55% of frontline employees also feel they are paid fairly for the work that they do, lower than the national average of 61%, the report found.

"Frontline employees have the most direct influence on customer experiences, yet these are the people who report the lowest levels of engagement and morale at work," said Dr. Cecelia Herbert, Workplace Behavioural Scientist, Qualtrics, in a statement.

Cost of poor customer experience

The findings raise the risk of poor employee interactions, which Qualtrics noted is one of the factors consumers consider when assessing customer experience.

According to the report, bad customer experience could lead to up to $3.8 billion in lost sales this holiday season, and an even bigger $71 billion annually.

If businesses want to have strong holiday trading, Herbert said they need to "start with employees."

Among the measures that employers can take to ease the pressure among frontline staff include streamlining processes, improving communication, and investing in training.

"Simple fixes that improve their experiences at work can have exponential benefits – cultivating an engaged, high-performing team translates to satisfied, loyal customers who spend more," Herbert said.