Are you interested in the benefits of coaching? Are you looking for relevant coaching statistics to enforce its value and its ROI? You’re in the right place.
We’ve compiled a timely list all about the benefits of coaching, in the workplace and personally, according to research. Scroll down for 24 research-backed coaching statistics all from verified sources.
In a few short minutes, you will know all about the benefits of coaching, current trends for this occupation, and how to better explain—and prove— its value.
Let’s dive in!
The top benefits of coaching in 2023
- 80% of people who receive coaching say their self-confidence increased
- 70% of those who are coached improve their work performance, relationships, and communication
- 86% of companies report recouping their investment in coaching and more
- 99% of those who hire a coach are “satisfied” or “very satisfied”
- 73% of coaching clients report that coaching helps them improve their work performance, communication skills, interpersonal skills, relationships, work/life balance, and wellness
- 51% of companies with a strong coaching culture have higher revenues compared to their competitors
- The median coaching ROI is 700% (7x) the investment
What is coaching in the workplace?
Creating a positive, engaging, and productive work atmosphere isn’t always easy. That’s where coaching in the workplace comes in
Workplace coaching is the idea of preparing employees with the tools they need to succeed. That includes equipping them with new knowledge, providing them exciting opportunities, and offering whatever else it takes to help them be effective.
According to research, only 34% of American employees are “engaged” at work (SeedScientific). Many may be unmotivated due to toxic work culture, poor management, or overall dissatisfaction, and coaching can help change this.
That’s why the purpose of coaching runs deep. Workplace (and individual) coaching is a win-win, boosting the employee’s effectiveness to produce better results for the company. Bringing in an external coach to the workplace is called “intervention.” So, what impact can coaching interventions have? That’s next.
What is the impact of coaching?
Now that you understand the purpose of coaching, let’s break down its impact. Coaching doesn’t just directly affect a company’s bottom line, but a client’s personal life too.
1. 50% of clients confide in their coach as much as their best friend
(Mars Venus Coaching)
Considering half of coaching clients confide in their coach as much as a best friend, spouse, or therapist, shows the level of confidence people have in these professionals. 12% indicated that they confide in their coach more than anyone else in their lives.
2. 1.5M internet searches are made per month by people looking for coaches
(IPEC Coach Training)
People are out there looking for professional coaching help. Over 1.5M people go to the internet to learn more about it. Searches include those looking for life coaches, business coaches, and executive coaches.
3. Only 38% of American workers are “very satisfied” with their job
(SHRM’s 2019 Culture Report)
Not many people, 38% of American workers, are fully satisfied where they work. This dissatisfaction is leading many to try coaching—or quit. Considering almost half (49%) of people have thought about leaving their current occupation and 20% have left due to workplace culture, there is clearly room for improvement. Of those who did leave their job, 58% said their People Manager was the main reason they quit.
4. U.S. organizations lost $223B in the last 5 years from employee turnover
(SHRM’s 2019 Culture Report)
The impact companies experience from unhappy employees isn’t just vast—it’s expensive. Recruiting, hiring, and training new employees is a large expense for any business so improving employee retention is a core focus. Coaching not only helps improve employee productivity, but it boosts their satisfaction to help them stick around.
5. Highly engaged teams show 21% greater profitability
(Gallup)
According to research, the most successful organizations prioritize employee engagement and make it a central part of their strategy. Work teams with the highest employee engagement rates reported a 41% reduction in absenteeism and 59% less employee turnover. Engaged employees show up to work with passion, purpose, presence, and energy ultimately creating this greater profitability for their employers.
6. 51% of companies with a strong coaching culture enjoy higher revenues
(Human Capital Institute)
Over half of organizations with a strong coaching culture report having higher revenues than peers. A “strong coaching culture” includes 3 types of modalities: external coaches, internal coaches, and managers/leaders using coaching skills. However, this strong coaching culture isn’t that common. Only 17% report having it.
What are the benefits of coaching in the workplace?
7. 86% of companies were able to provide figures that coaching provided a positive ROI
(ICF Global Coaching Study)
The vast majority (86%) were proud to say that once calculated, they at least made their investment back. Meanwhile, 19% reported an ROI of 50 times their initial investment (5000% ROI) and 28% experienced an ROI between 10-49 times their coaching investment.
8. The median company ROI is 700% of its initial coaching investment
(ICF Global Coaching Study)
In short, the average company can expect a return of 7 times their investment in coaching. The average client paid coaches an hourly rate of $17, making the average coaching engagement cost $4,353. So, for just over $4k, a company can confidently plan to make back over $28k.
9. 99% of people who work with coaches are “satisfied” or “very satisfied”
(IPEC Coach Training)
Coaching has a near-perfect success rate with 99% of people viewing it as a satisfying process. To enhance that figure, 96% indicated that they would repeat the process. That is one of the reasons that coaching is not considered consulting. Coaching facilitates a relationship, not a transaction making it extremely satisfying for both the client and the coach.
10. Highly engaged businesses to benefit from a 20% increase in sales
(Gallup)
Creating engaged employees improves internal and day-to-day culture while it increases sales. Highly engaged business units reported a 20% increase in sales. They also achieve a 10% increase in customer ratings, meaning the benefits of coaching stretch beyond the workplace and trickle into company perception and reputation too.
Benefits of coaching employees
11. 80% of people who receive coaching say their self-confidence increased
(ICF Global Coaching Study)
Self-confidence issues can be a thing of the past considering the vast majority (80%) of those coached gain this positive impact. Almost two-thirds (74%) also saw an improvement in overall relationships and 72% improved communication skills.
12. 95% of those coached experienced significant positive effects on cognitive outcomes
(Emerald Insight)
The effectiveness of workplace coaching is astounding, positively benefitting employees in many ways. 95% reported positive increases in general perceived efficacy and goal attainment, while the same high percentage also saw an improvement in workplace psychological well-being.
13. Employees who “feel their voice is heard” are 4.6x more likely to feel empowered and perform their best work
(Forbes)
Truly content and engaged employees feel like they are part of the bigger picture. They’re also much more likely to perform their best work when they feel this way. This idea is part of the larger push for equality and inclusiveness in the workplace, fostering a healthier work culture and improving the company by incorporating a broader range of perspectives and diversities.
14. One-third of founders who are mentored by successful entrepreneurs went on to become top performers
(TechCrunch)
The value of coaching and mentoring translates into top producers. According to one tech study, 33% of entrepreneurs who were coached by a successful founder themself, found success. This is over 3x better than the performance of other tech companies in the study.
Benefits of executive coaching
15. 1 in 3 workers claim their manager can’t lead a team
(SHRM’s 2019 Culture Report)
One-third of employees don’t believe in their manager and their abilities to lead. Now, that’s a problem. This is enforced by the fact that 40% of employees say their manager fails to frequently have honest conversations about work topics. Executive coaching can help improve leadership and even save time for HR considering 28% of HR professionals’ time is spent solving problems caused by “poor people managers.”
16. 7 out of 10 leaders and managers see developing talents as one of their primary tasks
(SHRM)
Good leaders, in and out of the workplace, understand that helping others is vital. Developing the talents of your employees and those around you creates a positive impact for all involved. So increasingly, managers are looking to executive coaching to facilitate this constructive employee growth.
17. Almost half (43%) of engaged employees receive feedback at least once per week
(Officevibe)
Another benefit of executive coaching or mentoring is learning how to better deliver feedback to employees. Providing regular feedback drives engaged hard-working employees since they demand continuous reviews to remain in this efficient state. Only 18% of those with low engagement get that much feedback. So, creating engaged employees is a direct benefit of executive coaching and mentoring.
18. Executive coaching yielded 788% ROI thanks to increases in areas like productivity and employee satisfaction
(MetrixGlobal)
One study followed a Fortune 500 firm and coaching services company to decipher the business benefits of executive coaching specifically. The bottom line was that executive coaching produced 529% ROI immediately. After factoring in other significant benefits, including financial gains and employee retention, the overall ROI boosted to 788%.
19. 75% agree that the value of executive coaching is greater than the money and time invested
(International Journal of Evidence-Based Coaching and Mentoring)
The value of coaching is immense, according to three-fourths of some survey respondents. 75% said that the value in this practice is “considerably greater” or “far greater” than the time and money it took to complete.
What skills do you gain from coaching?
20. The top reason for seeking a coach (41%) was to build self-esteem and self-confidence
(ICF Global Coaching Study)
There are endless benefits of coaching in the workplace, but it begins with WHY one seeks a coach in the first place. The top reason was self-esteem (41%), and the next was work-life balance (36%). Other top motivators for coaching were career opportunities (28%), business management (25%), and relationships (25%).
21. 73% of coaching clients reported having better relationships
(ICF Global Coaching Study)
One study showed coaching clients improved skills in over 15 reported areas. 72% improved communication skills, 71% interpersonal skills, 70% work performance, and 67% work/life balance. Other positive outcomes included better self-esteem, wellness, organization, time management, and financial planning. In essence, coaching can improve nearly all areas of life both inside and outside work.
22. 84.5% of clients deal with the issue of time management
(Mars Venus Coaching)
Meanwhile, almost three-fourths (74.3%) of clients sought a coach for career guidance. Other typical issues that coaches help with are business advice (73.8%), relationship or family issues (58.6%), physical and wellness issues (51.9%), and personal issues (45.2%). Only 11% wanted a coach to help with creativity issues.
23. 70% of those who receive coaching improved their work performance
(Institute of Coaching)
The same majority percentage also improved their relationships and communication skills. Over 80% of people increased their self-confidence. Other skills that coaches reported teaching include becoming self-reliant, gaining more job/life satisfaction, contributing more to teams, working better with others, and taking on greater responsibilities.
24. Coaching is, overall, an effective intervention in organizations
(The Journal of Positive Psychology)
Based on research, coaching was in fact effective improving both theoretical and practical outcomes. Some of the skills proved to be enhanced through coaching included a client’s coping abilities, resilience, attitude, well-being, self-regulation, goal attainment, and performance.
Over to you!
And there it is! You just read 24 coaching statistics sharing the real benefits of coaching in the workplace according to research. We gathered the numbers so you don’t have to. We hope that this article sheds light on an exciting, positive, and rapidly growing new industry.
Now that you know about it, do you think coaching would help you succeed?
Let us know in the comments!
SOURCES:
International Journal of Evidence-Based Coaching and Mentoring
