What Poor Customer Service Says About Your Business - Talkdesk - ContactCenterWorld.com Blog
Every good business leader knows that poor customer service is to be avoided. It is in the best interest of every company to treat their customers well. After all, it’s the customers who ultimately have power in the relationship. Customer loyalty, customer satisfaction and customer retention are the underpinnings of success.
Many companies think about customer service from the business perspective. They analyze customer service metrics and try to extrapolate learnings. They work with their customer service representatives on effective customer interaction techniques, holding training and coaching sessions. These examinations are important, but they only tell half the story.
The other half of customer service is the customer. What do they think when they interact with your company? How do they feel about your brand? Most importantly, what do they communicate about your business and to whom?
What is the result of poor customer service?
From a business perspective, poor customer service often leads to churn and loss of revenue. It may also lead to negative brand portrayals. In some cases, poor customer service can lead to the failure of a business as a whole.
What is the customer perspective on poor service?
Customers have varying reactions to poor customer service interactions. The prevailing emotion tends to be frustration. A poor interaction generally means that the customer’s inquiry was not answered. The customer’s needs weren’t met, so it is natural for them to feel disappointed and angry.
What is absolutely imperative to remember is that:
In the minds of your customers, your service = your brand.
When a customer has a poor customer service experience, they don’t just think, “This company’s customer service is bad.” They extrapolate and think, “This company is bad.” Your service offering is one and the same with your entire brand.
Unhappy customers spread negative word of mouth
Customers who feel they have been wronged by your company tend to convey that information to others. This can lead to a very serious problem:
One bad customer service experience leads to…
An overall negative view of the brand, which turns customers into…
Brand detractors who…
Discourage new customers.
One bad experience can spiral into the loss of more than just one customer. This is especially true in the age of social media. A customer that has reason to be upset can broadcast that information to millions of people with the click of a button.
Three statistics on the cost of poor customer service
Here are the hard numbers of what poor customer service can cost your brand:
- 59% of Americans would try a new brand for a better service experience.
- For every customer who complains about your service, 26 others remain silent.
- Information about a bad customer service interaction reaches twice as many people as praise for a good experience.
Check out more stats in Help Scout’s Ebook on customer service facts.
The bottom line is that poor customer service can have a ripple effect on your brand because it directly impacts your customers’ view of your company as a whole. No matter how great your product is, if your support doesn’t cut it, you will lose customers.
Invest in building a thoughtful customer service strategy. It all starts with business tools. Have you evaluated your contact center solution lately?
Publish Date: August 8, 2016 5:00 AM
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