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Industry Research : The Smart Home is Creating Frustrated Consumers

#contactcenterworld, @iqor

More than one in three US adults experience issues setting up or operating a connected device according to data  released from the Customer and Product Experience 360 (CPX 360 ™) Survey by iQor, a global managed services provider embedded in the flow between product, people and services.

The promise of the Internet of Things is that it will simplify our tasks, secure our homes and transform our lives with assistants, automated tasks and data insights through a new generation of connected devices that all work seamlessly together. Many consumers, however, are losing faith in the connected utopia as they struggle with setup and installation issues and disjointed technical support involving multiple people at multiple companies.

Tech-savvy early adopter consumers are frustrated, and many are abandoning efforts to link their devices together, potentially losing out on the full value of the connected ecosystem. According to the CPX 360 survey, consumers report having to take more than eight steps to resolve a technical problem or issue with a smart device. Further, consumers are spending, on average, close to 1.5 hours of their own time resolving these issues and one hour working with customer service. Nearly one in four consumers (22 percent) couldn’t resolve the issue or simply gave up, and returned the product for a refund.

Connected device adoption is still in its infancy, but Gartner reports that IoT-enabled devices will reach 20.4 billion globally by 2020, almost doubling from an estimated 11.1 billion in 2018. The CPX 360 survey polled tech savvy early adopters, indicating that as adoption becomes mainstream, consumer frustration is likely to cascade unless companies act now to improve their support and resolution process to create a much more streamlined and integrated adoption and set up process for consumers.

Dealing with Multiple People and Companies is Extremely Annoying

Throughout the customer and product service journey, the CPX 360 survey reports consumers dealt with an average of 2.1 companies, over 2.7 sessions and with 3.1 different people as they attempted to install and engage with new connected technology in their home. For seventeen percent of respondents, the challenge was even greater and involved dealing with five or more people when trying to resolve an issue.

Lack of Data Retention Across Channels Delays Issue Resolution

The inability to provide a seamless, frictionless experience across all support channels creates frustration and confusion for the consumer as they interact with multiple people and companies in the resolution process. Throughout this process, only about one in three indicate their information was always retained between customer service steps. Among those whose information was not retained, 81 percent indicated this delayed their resolution and 85 percent found it to be somewhat or extremely annoying.

"Adoption of connected devices is on the verge of transitioning from early adopters to the mainstream as popularity and integration of IoT expands and homes become smarter," said Autumn Braswell, COO of iQor. "It is crucial that organizations streamline and improve the support process now to reduce the number of steps, people and brands required to unlock the intended value of the connected device and ensure that the customer service challenges are addressed before mass adoption."

Consumers Seek Self-Help and Digital Solutions in Resolution Process

Although early adopters, and millennials, take more steps to resolve an issue before connecting with customer support because they believe they have the technical knowledge to solve the problem on their own, very few consumers overall start the resolution process by engaging with customer service.

More than half of consumers (59 percent) read the instructions/manual provided as their first step to solve an issue and nearly one in five (14 percent) asked a friend or family member for help. On average, consumers surveyed take more than eight steps to resolve an issue and the typical journey is: read instructions, visit manufacturer’s website, searched on Google, explore other websites, call manufacturer’s customer service hotline and return for repair or replacement.

Of note, the step judged highest for the combination of effectiveness and convenience is YouTube, and nearly half of consumers (47 percent) used YouTube as an interim step in the resolution process.

Frustrated Consumers and Easy Return Policies Driving Costs

Frustrated consumers combined with lax return policies is creating a surplus of connected devices that are sent back, often with nothing wrong with them. The CPX 360 Survey reports that 22 percent of consumers dealing with a connected device issue chose to return the product for a refund.

There is a strong correlation between being dissatisfied with the problem resolution process and customer service being more complex, taking longer and information not being retained between steps; those experiencing dissatisfaction are far less likely to have fixed or resolved their problem on their own or with customer service, and far more likely to make a return for a refund. Based on iQor’s experience, 15-30 percent of returned products have nothing wrong with them; in some product areas, this figure is as high as 65 percent.

The cost to the US economy for returns is $260 Billion a year. According to Deloitte, many technology brands spend 9-15 percent of their revenue handling returns.

"Connected devices are improving lives globally but, as devices become more complex and the IoT ecosystem expands, brands need to rethink their service models or else face even more frustrated consumers and unnecessary, costly returns," said Hartmut Liebel, CEO of iQor. "Connecting the consumer and product journeys, and using those insights to make consumer experience more frictionless and less frustrating, is a matter of concern for industry and consumers."

 

#contactcenterworld, @iqor


About iQor:
Company LogoiQor is a global provider of business process outsourcing and product support services with 32,000 employees in 17 countries. We partner with many of the world’s best-known brands to deliver aftermarket product and customer support solutions that span the consumer value chain, from customer care and receivables management to product diagnostics and repair services. Our award-winning technology, logistics and analytics platforms enable us to measure, monitor and analyze brand interactions, improve business processes and find operational efficiencies that lead to superior outcomes for our partners across the customer and product lifecycles.
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Today's Tip of the Day - Call-backs

Read today's tip or listen to it on podcast.

Published: Friday, February 9, 2018

Printer Friendly Version Printer friendly version

2023 Buyers Guide Automation

 
1.) Agara

Agara is an autonomous virtual voice agent powered by Real-time Voice AI. It is designed to have intelligent conversations with your customers, vendors, and partners without any assistance from human agents. It can handle a wide variety of calls including inbound customer care calls, outbound lead generation calls, appointment scheduling calls, and overdue payment recovery calls.

Agara is available for several industries including banking, insurance, retail, e-commerce, airlines, and telecom. Powered by advanced Real-time Voice AI that understands speech in real-time, automatically determines the right process to follow and guides the caller along in the process with natural conversation.

2.) 
Auraya

EVA Voice Biometrics
Powered by Auraya's patented ArmorVox engine, EVA is a voice biometric extension that provides secure and seamless identification & verification capabilities for Amazon Connect. EVA provides delightful customer experience by removing the friction of providing PINs, passwords or secret information in order to prove caller identity. EVA comes standard with active and passive modes and a simple yet powerful agent interface. This allows for personalised self-service and a more friendly and efficient experience when interacting with an agent.

Outdated security methods such as PINs, passwords and security questions have become insecure and unreliable. Forgetting passwords and security answers o...
(read more)

3.) 
Call Adapt

Soundboard Software
Call Adapt is a cloud-based digital soundboard application designed for contact centers. It works with any type of call and integrates with your existing dialer system. Powered by smart audio technology, Call Adapt gives your agents the ability to converse with customers in real time using programmed keyboard shortcuts. The result is perfect pitch delivery and less time spent on repetitive tasks.

4.) 
Cognigy

Cognigy is a global leader in Conversational AI Automation. Its platform, Cognigy.AI, enables enterprises to automate customer and employee communications using intelligent voice and chatbots

5.) 
Consilium Software

Consilium UniCloud™
UniCloud™ is an intuitive platform that allows Enterprises to deploy and manage their Unified Communication (UC) and Contact Center (CC) services with ease and entire provisioning can be completed in seconds using this comprehensive tool supporting digital transformation. The latest release 7.0 of UniCloud™ is a multi-tenant platform that transforms the delivery, management, and integration of collaboration and contact center solutions, for both Cloud and On-Premise deployment models.
With its single-pane-of-glass views and quick provisioning tool, UniCloud™ is instrumental in reducing the time to provision an entire multi-cluster Cisco collaboration platform, including contact centers (C...
(read more)

6.) 
eGain Corporation

eGain Solve
Proven, Easy, and Guided Journey to Automate Customer Engagement in a Digital+AI World

7.) 
Emmersion

Automated Language Testing
Emmersion offers automated assessments to quickly and accurately test speaking, writing, and grammar fluency in 9 languages and counting. We help contact centers improve CSAT scores by screening for top talent and retaining top performers.

8.) 
OpsTel Services

SPEED & PLUS
The SPEED solution solves for service level issues while cost optimizing the environment with automation.

Provides an enhanced way to speed up & optimize invoking temporary agent skills configuration changes into the contact center environment.

Speed allows you to schedule both future changes & temporary changes that auto-revert back to the original state when scheduled time expires.

Speed features:

*Automated / Scheduled Temporary Agent Skills Configuration Management
*Immediate Temporary or Reoccurring Schedule Skills Configuration Changes
*Easy to Use/Operations Administration Focused
*Descriptive Monitoring Activity Dashboard
*Detailed “End to End’ Audit Trail and Perfor...
(read more)
 

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