Are you looking for the latest customer service statistics and trends? We’ve got you covered.
For your business to function effectively, you need a strong customer service team.
While there are training sessions you can conduct to keep your executives at the top of their game, there is no telling what customers like and dislike.
This is why statistics are the best way to figure out how you can plan an efficient customer executive team with positive outcomes. Let’s look at some of the key stats that are trending in 2020.
With the risk of your customers willing to shift to another business, you should always keep their expectations about customer service as your top priority.
After all, it is a cut-throat market, and losing customers because of customer service or after-sales service can be detrimental to your reputation.
- Approximately 47% of customers have admitted that they have stopped purchasing from certain brands or websites because they were not impressed with the customer service or the after-sales service that they received. The same customers have also admitted that it is a lot easier when customer service is efficient because sometimes the chatbots can get annoying.
- A survey also indicated that 91% of customers who are unhappy with customer service choose to switch businesses without intimation. This is known as quiet abandonment and can adversely affect the reputation of a business. Maintaining brand loyalty is a huge challenge and needs to be given equal importance.
- In the United States alone, each year, businesses lose as much as 62 billion due to bad customer service.
Customer experience statistics you need to know
The experience customers have with your brand can have a significant impact on the growth of your business. Consider the following customer experience statistics:
- Customers are four times more likely to shop from your competitors if it is customer service related issue.
- Customer service is a higher criterion for most customers and its ranks above price difference or product features.
- According to a recent survey, 40% customers believe that most businesses have now focused more attention on customer service.
- When you have negative customer experience, it will take 12 positive feedbacks to make up for that one negative feedback.
- The cost of acquiring a new customer is about 7 times higher than retaining an existing one. This is the reason customer retention is so important.
- 70% of your customer’s buying experience depends on how they feel when they interact with your executive.
- Globally, 52% of customers believe that businesses need to pay more attention to the feedback provided by them and take action accordingly.
- About 62% of customers have admitted sharing negative and bad experiences with others.
- Around 75% businesses have admitted that they measure customer engagement however they cannot provide a proper breakup of what the engagement is.
- On the positive side, 72% of customers also shared good reviews and experiences. This is higher than the negatives.
- 23% of customers have admitted that when it comes to complex issues, they prefer face to face interaction.
- About 96% of customers admit that customer service is just as important as brand loyalty.
- Loyal customers like special treatment. 48% have admitted they feel good when they are prioritized.
- 72% of customers have admitted that they usually expect the agent to have details like their name and items purchased without having to reveal these details to save on time.
- The key to a successful customer service team is to have a polite representative. At least that’s what 68% of buyers believe.
- Good customer service means more sales. 52% buyers have admitted to making additional purchases from the same brand based on customer service experience.
- For your business to be successful, always hire friendly and memorable customer service agents. 73% of customers trust the agents they get friendly with and will stick to the brand. (Harris Interactive)
The facts and statistics of customer engagement are something you should look at carefully. After all, this is what drives your sales and it helps you get better net promoter scores.
How sub-par customer service can impact your brand
Ineffective customer service leads to a lot of frustration and it can negatively impact your brand. Here are some important customer service statistics that reflect the importance of getting customer service right:
- 27% of Americans have admitted to reporting inefficient customer service executives as it was the number one reason for their frustration on the call.
- Majority Americans have admitted that they have abandoned a purchase halfway through due to poor customer service. They have also admitted to telling about 15 people about this poor experience. Men tend to badmouth businesses with poor customer experience more than women. They tell an average of 21 people about the experience.
- About 12% of these customers have also admitted that another reason for their frustration is the lack of urgency on the part of the customer service executive. This included being on hold for too long or not getting answers to simple queries.
- 81% of businesses today aim at exceeding expectations when it comes to customer service.
- 27% of customers believe that lack of effective customer service is the root cause of their frustration and 12% believe that it is lack of speed.
- Another popular complaint that most customers had when it comes to sub-par customer service is that their call gets passed from one executive to another and they need to keep repeating their query from scratch to every person. About 72% of customers have admitted to facing this problem.
- 4 out of 10 customers have admitted to not recommend a business when they have had a bad customer experience.
- Another stat reports that 79% of customers who complain about poor customer service online are ignored. Sometimes customers just want to be reassured and valued.
- About 33% of customers have admitted that quick response matters to them. Whether this response is efficient or not is another matter altogether.
- Only 17% of customers have admitted that they would much rather wait for an effective solution even if it is time-consuming.
How businesses are affected by customer service
It doesn’t take a lot to impress customers, but it doesn’t take too much to irritate them either. If you want your customers to stay loyal to you, you have to provide them with top-notch customer service.
For customers, the price of the product or service provided is as important as after-sales service.
- About 89% of businesses tend to compete with each other based on customer service. This is where net promoter scores come into the picture.
- Stats indicate that companies have lost almost 1.6 trillion dollars in the United States alone due to bad customer service.
- 70% of customers have admitted that their journey with a brand is dependent on how they are treated by the customer service team. Brand loyalty plays a huge role if businesses can impress customers once they have sold them a product or service.
- Global contact centers are at the epitomy of business growth right now. 46% of these centers have admitted to seeing a growth of at least 10% by next year.
- Businesses that are known to deliver top-notch customer service experience are known to do about 4% to 8 % better than other businesses of the same nature.
- About 55% of customers have admitted that they are willing to spend more money if a business guarantees them a satisfying customer service experience. [Source: Salesforce]
- 70% of unhappy customers, who managed to get their problems resolved, are open to shopping with the same business again because of good service.
- Better customer service can help retain existing customers. A 5% increase in customer retention will help deliver more profits as high as 25%.
Customers love personalized experiences
When a customer invests in a business, they want to be treated well and given importance. When they are treated with care and love, they always come back for more.
Here are the customer service statistics that reflect how much customers prefer personalized experiences:
- In a study by Salesforce, 75% of customers have admitted they want consistency in service irrespective of what platform of customer service they choose. This could include a phone call, live chat, or email communication.
- 43% of customers who use mobile devices to get in touch with customer service agents find it a more pleasurable experience.
- 44% of customers often choose to go another way based on their customer service experience.
- In 2020, it is believed that 75% of customers will prefer businesses that offer a personalized experience.
- 31% of customers have admitted to get an effective solution only after tweeting about the company.
- 64% of customers like to shop with brands that offer real-time solutions.
- About 50% of customers do not hesitate in switching brands when they are not given effective and specialized customer service.
- 66% of customers between the age group of 18 and 34 have admitted that customer service has improved this year.
It’s the date and age of technology and making use of it for the betterment of your business is a smart choice.
However, somewhere down the line human interaction is vital. You need to understand that your customers are human and when you humanize them and personalize the experience, you can’t go wrong.
Not only does this benefit your business in the long run, but it creates the perfect balance between service and relationship that determines the success of your business.
Giving them a balance between technology and personalizing their experience to make it seamless not only provides instant and effective solutions, but it also helps provide hassle-free service.
Now, it’s time to use these customer service statistics, facts, and trends to improve your own business and deliver the type of customer experience that will take your brand’s growth to the next level.