In this article, we will take a look at the tenets of good customer service and why it is so supremely valued by customers. So much so, in fact, there is some merit to the argument that the quality and price of your product or service mean nothing if your customer service is substandard. We will also look at the other side of the coin and see how the stresses and pressures of the industry affect those working jobs in customer service.
How much value do customers put on good customer service?
The answer might come as a shock to some company CEOs who choose to cut back on spending in the one area people value over almost any other except quality. Modern customers don’t just appreciate good customer service when it happens, they actively expect it, even as general standards fall.
The percentages detailed below have been taken from a variety of sources for general information, if you’d like further clarification, please carry out your own research.
- 65% of Australian customers have higher expectations of customer service than they did 3-5 years ago
- 75% of consumers say they have switched to a rival company delivering superior customer service, even though the cost was greater
- 84% of customers are left with a powerful negative impression when customer service is unsuccessful in helping them
A major irritation for customers needing help is when their assigned agents don’t have the information or authority to fix the issue at hand.
- 50% of people are aggravated by having to repeat their issue and personal details to a succession of agents
- 89% value speed of response and resolution over any other aspect of customer service
We have all felt the rage induced by having already spent time and energy explaining our situation to one person, only to be transferred to another with no knowledge of it whatsoever. Often this means running through the same series of questions and information but still coming away with the problem unresolved, leaving:
- 60% of customers upset at the inability to resolve their issue the first time
How the issues with customer service affect employees
Frictionless contact with customers requiring assistance is one of the goals all companies should have, making jobs in customer service as easy and stress-free as possible. As agents are able to help customers more efficiently, tensions subside, job satisfaction increases, and greater loyalty in those employees is fostered. Whether we’re talking about a transportation and logistics company in Cairns or a postal service in Melbourne, the growth of any business relies on a huge number of factors and variables. None of them is more crucial than inspiring loyalty among employees as a higher turnover of staff pushes up running costs and sees talent and experience drain away from where it is required most.
Why improve customer service?
It transpires 46% of people experience disappointing interactions with customer services and it is hard to understate just how damaging that can be. Perceived brand worth and customer loyalty are heavily influenced by these experiences and companies putting emphasis on exemplary follow-up skills can expect:
- 4-8% increase in revenue over their direct peers in the industry
And the retention of customers is not to be taken lightly, as it is proven customers will spend up to 300% more with brands they favour and trust than any others. Food for thought…