New research shows that UK companies deemed to have poor customer service are losing approximately £12 billion a year.
Furthermore, half of UK consumers are taking their business elsewhere as a result of inadequate service – and of those, 92 percent have switched at least once or twice in the last year.
Half (49 percent) are put off from calling a business at all, for fear of being kept on hold or in a queue. This means many customers could switch to a competitor without even attempting to resolve the problem first.
On average the customer spends £472 before switching and faced with a bad experience, over half (56 percent) say they would never use that company again. Worryingly, 27 percent of people would tell friends and peers of their negative experience, with one in five taking their revenge online by posting a negative review.
The report by cloud contact centre vendor NewVoiceMedia also shows that it’s the younger generation who are more willing to tolerate long hold times, perhaps due to a greater capacity for multi-tasking: 30% of 16 – 24 year olds would wait 11 – 20 minutes, whereas only 9 percent of those aged 55+ would ( with over one in five hanging up within 5 minutes compared to 8 percent of 16 – 24 year olds).
Organisations could potentially increase their business if they offer excellent customer service. Following a positive customer experience, 74 percent of respondents would be more loyal, 71 percent would recommend a company to others and nearly half (44 percent) would use the business more frequently. 34 percent are prepared to spend more money with the company.