Why startups can't afford to ignore customer experience

An article by Georges Al Feghali, Board Member, Executive Vice President, Consulting & Transformation at CXG
In a recent conversation with a founder, he shrugged when asked about their customer experience strategy and told me, "We'll focus on that once we scale." Needless to say, it was not what I wanted to hear. Waiting to invest in customer experience (CX) is not a strategy; it's a liability.
Customer expectations are no longer shaped solely by your direct competitors. They are shaped by the best experience with any brand. Whether it was the ease of ordering from Amazon, the curated magic of Netflix recommendations, or the personalised touch of a luxury retail advisor, that's the standard your startup is being measured against.
In the Middle East, where consumer sophistication is high and tech adoption even higher, expectations are rising fast. A startup in Riyadh or Abu Dhabi isn't just competing with other local players. It's competing with global giants who invest heavily in designing and delivering seamless experiences. That might sound daunting. I would argue that it is a fantastic opportunity: startups that understand this early can turn CX into a superpower.
The myth of "CX later"
One of the most damaging myths in the startup world is the idea that the customer experience is something you optimise after you grow — that you get product-market fit, pour fuel on the fire, and then circle back to clean up the CX.
In reality, the customer experience is the foundation for organic growth, loyalty, and brand differentiation, especially when marketing budgets are tight and every user counts. If you wait "later," you may never get there at all.
Take Ounass as an example. From day one, Ounass has made customer experience a central part of its value proposition. Their platform combines curated fashion with an elegant user interface, quick same-day delivery in key cities, and attentive customer service that feels personal despite its scale. They’ve integrated thoughtful touches, from luxury packaging to seamless returns, that merge the convenience we are used to when dealing with e-commerce giants like Amazon or Noon with luxury products and premium packaging. These CX investments built early trust and loyalty.
Customer experience is a growth engine
The reality is that frictionless customer experiences drive the kind of growth that marketing budgets alone can’t deliver. When someone has a wonderful experience, they don’t just stay; they tell others.
That’s what happened with Airbnb in its early days. The founders famously visited hosts in New York, helped them stage better photos, and refined the listings themselves. These hands-on CX investments improved the experience and This resulted in increased bookings and positive word of mouth.
Or take Glossier, the beauty startup turned global brand. They started by listening. Founder Emily Weiss built a community through her blog, Into the Gloss, and then created products based on what her readers said they wanted. Customers felt heard. That emotional connection translated into loyalty; a sizeable percentage of their sales came from organic referrals.
These aren't unicorn exceptions. Of course, you still need a fantastic product or service, but CX is what amplifies it. When done right, it becomes one of the most powerful and scalable growth engines for startups.
Common pitfalls
So where do startups typically stumble? First, they create fragmented journeys. Maybe the website looks excellent, but the delivery experience is clunky. Maybe onboarding is smooth, but follow-up support is non-existent. Customers experience your brand as a whole, not in parts. Every friction point counts.
Second, they ignore post-purchase moments. Many startups focus heavily on acquisition but forget the retention phase. A lacklustre unboxing, a confusing return process, or silence after a sale can kill momentum. Delight doesn't end with the transaction. It begins there.
Third, they lack feedback loops. Startups move fast. But speed without feedback is risky. If you don't regularly listen to customers through CX surveys, reviews, or social media scans, you're operating blindly. The companies that win are those that remain obsessed with listening, learning, and adapting.
Startups have the advantage
Startups are designed for this kind of agility. You don't need massive teams or legacy systems to be great at CX. What you need is a mindset, a culture that embeds CX into your DNA from the start. A culture that sees customer feedback as a learning tool, not a threat. A culture that sees CX as everyone’s job: from product to marketing to operations.
I work with some of the world’s leading luxury brands, helping them deliver elevated, consistent experiences. Often, the biggest challenge is shifting obsolete mindsets or changing legacy behaviours. Startups don’t have that baggage. Startups have the ability to initiate new initiatives and even question established practices.
Startups are inherently closer to their customers. You can read every support ticket, call clients directly, track where users drop off, and comb through online reviews. You can identify weak spots, roll out improvements, and measure results all in a matter of days. Sound familiar? That’s the startup mindset. And that kind of responsiveness and agility is precisely what larger firms envy and struggle to replicate.
An outstanding local example is Cafu, the UAE’s on-demand fuel delivery startup. While fuel isn’t typically considered an emotional product, Cafu turned it into a convenience-driven service that customers genuinely rave about. Early user feedback pointed to frustrations with long wait times and uncertainty about driver arrival. Cafu responded by investing in real-time tracking and proactive notifications, features designed to build trust and reduce friction.
These were not merely technological advancements; they were a response to the feedback provided by customers. As a result, Cafu built a loyal customer base in a category few thought could inspire brand advocacy.
However, it's important to acknowledge that although technology, particularly AI, can enhance and customise customer experiences, it's not a panacea. In fact, we’re starting to see companies walk back overly automated approaches that have lost the human connection.
Klarna, the Swedish fintech company, recently made headlines for rehiring humans after realising that replacing customer support teams entirely with AI-powered chatbots created more frustration than efficiency. Companies, especially startups in the AI era, should not forget the human touch. People remember how you made them feel, not how fast your chatbot responded.
What you can do today
If you’re a founder, here’s my challenge to you: audit your experience today from the customer’s perspective. What does it feel like to discover your brand? To make a purchase? To ask for help? Is it easy to return an item? Are those moments easy, human, and emotionally engaging?
- Pick one friction point and address it.
- Set up a feedback loop.
- Surprise one customer with an act of delight.
You don’t need fancy tools — start by picking up the phone or sending a personal note to a handful of clients. Ask them what delighted them and what didn’t. Experience serves as the basis upon which you construct all other aspects.