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Industry Research : Video Emerging as a New Customer Service Channel
The latest findings of the Avaya Asia Pacific Customer Experience Index revealed continuous preference by Indian consumers for multichannel communications in customer service, with video emerging as a new customer service channel, and mobile (text messages, instant messaging platforms) as well as online (including website chat, video chat, social media) continuing to grow and deliver great customer satisfaction scores.
Customer service remains a key influencer of brand loyalty, with 75 percent indicating they would avoid buying from a company, and more importantly, actively advise friends and family to do the same if they experienced bad customer service. The potential for business generation from satisfied customers is great, with approximately 2 in every 3 consumers from India prepared to pay more money to a company that provides them with excellent customer service.
This is a trend which is set to continue, as the younger Gen Y segment shows even more inclination to do so than more mature consumers. 72 percent of those surveyed also indicated a preference for multichannel communications - demonstrating that companies now more than ever must have a fully integrated end to end multichannel customer experience strategy.
While in-person communication (71 percent) and phone conversations (76 percent) continue to lead in terms of interaction volumes, 2013 saw a continuous increase in preference and adoption of mobile and online channels. An average of 4.6 channels are used by consumers when interacting with organizations.
The Avaya Asia Pacific Customer Experience Index also points to opportunities for the Telco, Media or Utility industry segments to engage customers at various touch points, with highest utilization averaging 5.4 channels. While the Telco, Media or Utility industry leads in mobile and online adoption, the Health, Government and Education sector is the strongest in face to face as a channel for communication.
Despite being a relatively new channel, with an average of 14 percent of users saying they have engaged in a service interaction through video in the last three months, the adoption of video chat is on the rise, especially in the finance, banking and insurance sector.
Indonesia (41 percent) and Thailand (29 percent) lead in the adoption of video as a customer service channel. The rate of adoption of video is expected to grow across the board in 2014 by around 14 percent according to the survey. The main reasons for choosing video chat were virtual face to face interaction with the customer service representative (33 percent), ease of use (21 percent) and cost effectiveness (20 percent).
An average of 68 percent of customers across India agreed that service received from customer service centers has improved over the last 12 months. This is higher than the APAC average across the seven countries in the study which stands at 60 percent.
Given the very evident desire among customers for multichannel communication, businesses must have the right capabilities to collaborate across platforms and agents to provide seamless, quality service regardless of contact points. As the adoption of service channels like mobile, online and video continues to rise, technology solutions that help manage these channels and provide customers with the seamless and ever-improving experience they demand are critical.
According to Frost and Sullivan 2012 Asia Pacific Contact Center Market Report , the Asia Pacific contact center industry remains as the fastest growing region for contact center services, growing at 8.4 percent. Alongside fast and high growth, this presents businesses with the opportunity to take customer service to the next level - and deliver quality service at every contact.
Posted by Veronica Silva Cusi, news correspondent
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Avaya is a recognized innovator, leading business communications for the digital age. Avaya delivers smart global solutions and technologies for customer and team engagement, unified communications and collaboration, contact center and customer experience management, and networking. We provide related services to large enterprises, midmarket companies, small businesses, and government organizations around the world.
About Frost & Sullivan:
Frost & Sullivan, the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants. For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community. Is your organization prepared for the next profound wave of industry convergence, disruptive technologies, increasing competitive intensity, Mega Trends, breakthrough best practices, changing customer dynamics and emerging economies?
Published: Thursday, November 28, 2013