Statistics on customer service show that good customer service can make or break your business. Bad customer service can cost businesses $75 billion annually. Bad customer service leads to consumers switching vendors and nearly half will do so after only one negative experience. Your customers are likely to fall in LOVE with your brand if they feel that your customer service reps are helpful, friendly, and responsive.
Millennials are a top client base
According to customer service statistics, Millennials would pay 21% more if they had excellent service. These customers have different expectations and customer service should be tailored to suit their needs. 63% of millennials initiate customer service interactions online. 43% prefer calling companies from their smartphones. It is therefore important to develop a customer service strategy that meets their needs.
Millennials value good customer service more than any other generation. According to statistics on customer service, millennials are more willing to pay for great customer service than the Baby Boomers and Gen X. They also like to feel that a business cares about them. It's important to remember that only 4 percent of millennials have complaints about customer service. 96% are content to ignore it. However, those who are not satisfied with their service experience will tell at LEAST nine people. And 13% will tell more then 20 people.
Business customers who are not treated well cost them $75 billion per year
NewVoiceMedia has revealed that customers who are not satisfied with their service cost businesses $75 billion each year. This is an increase in customer service costs of $13 billion over the previous years. It is now time for businesses to take action. Although it is difficult to pinpoint exactly what causes poor customer service, research shows that many businesses are experiencing internal issues, shifting consumer expectations, and a host other problems. Substandard customer service is costing organizations billions of dollars every year, regardless of its cause.
Research shows that customers recall bad experiences much more than positive ones. A single bad experience can turn off a customer. Even if customers don't make complaints to companies directly, they will share their dissatisfaction with up to 16 people and possibly turn them away from other companies. Another 51 percent of customers are unlikely to do business again with a company after a negative experience. This is why organizations must make an investment in prevention strategies so that they don't make this costly mistake.
Social media is second most used communication channel
Social media is a powerful tool for customer service, providing a 24/7 way to engage with customers. It allows businesses reach customers instantly, answer quick questions, and share interesting news first. Additionally, it allows businesses to reach a global audience. But it is important that you know how to use the social media correctly to ensure that your customers feel satisfied.
Telephone calls have been the fastest method to resolve customer problems in the past. It also beat the postal services. Social media has made customer service more personal. Using real-time communication can make a difference in gaining customers and increasing sales. Responding quickly to social media users can lead to a 3-20% increase in sales.
Millennials are most sensitive to poor customer service
According to a recent survey, millennials seem more forgiving of poor customer service compared to older generations. 39% of millennials will return to a company if they have had bad customer service. Only 23% of older customers would repeat the same bad experience. If millennials are to keep their businesses, they must improve customer service.
Although the millennial market has been a favorite target market for many decades, there are downsides. This group is notoriously sensitive about poor service. Many companies are working to reach this generation.