When someone says “customer service,” the first thing that comes to mind is the frustration of waiting on the phone and having to repeat your issue to several agents before receiving help.
Companies all over the world are now fighting to erase this negative image of customer service.
The latest figures in this text will provide a detailed insight into how customer service is changing, especially in the unpredictable world of digital media.
- Positive reviews influence at least 90% of people.
- 57% of customers prefer to contact customer service digitally rather than by phone.
- More than two-thirds of companies are now competing only based on good customer experience.
- 27% of people cite lack of effectiveness as a number one reason for their customer service frustration.
- An average American consumer will share a poor customer service experience with 15 people.
- 25% of companies use virtual customer service like chatbots.
- 83% of users expect a company to respond to their social media messages within a day.
- 90% of buyers consider customer service one of the most important factors when choosing and staying loyal to a brand.
Before we dig into the topic of digital media in customer service, let’s start with the basics. It turns out that customer service is not only here to leave us frustrated after having waited on the phone for hours.
1. Good customer service is the number one reason consumers build trust with companies.
This statistic proves one of the most commonly known customer service facts: happy customers will come back and buy again.
Consumers’ trust is not only about the quality of the product or the service; it’s often about its perception. When it comes to consumer’s perceptions, good customer service is critical. Feeling understood and valued is what keeps customers loyal.
2. Positive reviews influence at least 90% of people.
Various customer service data points at the importance of positive reviews, as they motivate new consumers and influence at least 90% of the people who read them.
Negative reviews influence 86% of potential customers who read reviews.
3. 48% of customers want special treatment if they consider themselves good customers.
Customers want to feel like they’re the most valuable asset to the company. If they’re loyal, they want to get a reward for it.
There’s a reason why people yell over the phone at bad customer service reps with threats to stop using the product.
According to customer experience statistics, 48% of consumers expect special treatment for being a good customer.
4. 57% of customers prefer to contact customer service digitally rather than by phone.
People don’t enjoy using the phone to contact customer service.
Phone customer satisfaction statistics show that an increasing number of customers are avoiding phone calls and prefer to contact a company through email, social media, or an online chat.
5. 80% of B2B customers expect a B2C buying experience.
Satisfaction in B2B commerce is becoming as important as satisfaction in B2C. Businesses and their representatives want the same experience.
Research has shown that most companies are careful about selecting their vendors. B2B customer service statistics reveal that companies operate in the same mindset as consumers do.
6. 50% of retail consumers feel like their complaints don’t get to someone who can act on it.
Frustration with poor customer service is an issue faced by many worldwide, especially in retail.
Retail customer service statistics show that half of the consumers leave customer service feeling utterly helpless about their complaints.
7. Investing in customer experience because of customer satisfaction is the priority for only 34% of companies globally.
Considering how vital customer experience is right now, having only a third of companies investing in their development is quite shocking.
Customer retention statistics point out that these will soon have to change if companies want to keep their buyers.
8. More than two-thirds of companies are now competing only based on good customer experience.
When it comes to company competition, more than two-thirds compete based on their customer experience quality.
These companies understand that customer engagement statistics give them valuable data in developing their product and services while optimizing the customer’s journey.
9. The most common reason customers stop using a service is because they don’t feel appreciated.
Many things can make a customer feel appreciated: getting back to the customer after a complaint, quick response, and showing small signs of gratitude.
Customer service statistics highlight one crucial thing—customers feel like they are a priceless asset to the companies, and they want confirmation that businesses agree.
10. 27% of people cite lack of effectiveness as a number one reason for their customer service frustration.
When it comes to customer service frustration, statistics show that, besides the lack of effectiveness, people are the most upset with the slow responsiveness (12%).
Another 10% of consumers cite the lack of accuracy as their main reason for frustration when dealing with customer service.
11. 33% of customers also stopped using a product or service because it lacked personalization.
Making the customer feel appreciated is part of the personalization of the customer’s experience.
Customer retention and satisfaction statistics show that companies lacking these details in communication with customers are less likely to retain customers.
12. 56% of CEOs report their revenue grew because of digital transformation to customer service.
Without digital transformation to customer service, companies are bound for eventual failure.
The majority of CEOs now report that incorporating digital tools made a tremendous impact on their revenue.
13. Recent customer service job statistics indicate a median annual pay of $35,830 for representatives in this field.
The annual pay translates to a $17.23 hourly pay—well above the current minimum wage in the US ($7.25).
There were 3,018,800 people working in the industry in 2019, per the latest report by the US Bureau of Labor Statistics.
14. The customer experience management market size reached $8.5 billion in 2020.
The market is expected to increase to a value of $14.9 billion by 2025, marking a CAGR of 11.8% in the same period.
The US is considered the largest market, with a current size of $3 billion and a projected growth to $4.785 billion by 2025.
15. eBay customer service statistics indicate that the platform had an index score of 79 for the customer experience in 2019.
eBay achieved the best score in 2003 when the customer experience had an average rating of 84. Conversely, the lowest score in the last 20 years was suffered in 2015, when the shopping experience on the platform was rated 75.
16. An average American consumer will share a poor customer service experience with 15 people.
Customer service facts show that men tell 21 people about a substandard customer service occurrence, making them a lot more likely to share the experience with those around them than women.
On the other hand, women tend to spread the word about negative experiences with an average of 10 people.
The era of call agents has reached its peak as customer service is starting to change. People want help and information on products and services as soon as possible while feeling valued and connected to the brand.
17. 50% of consumers report they will feel more connected with the brand after using direct messaging.
Before phones, customers had the option of writing letters to companies. Phone calls made for a more personal experience for consumers, but now it’s the tool of digital media that makes consumers feel more emotionally connected.
18. 25% of companies use virtual customer service like chatbots.
Some digital customer service statistics show that chatbots are tricky. Customers prefer digital connection, but chatbots lack the personality that customers enjoy.
However, chatbots and virtual assistants’ popularity is growing, with 25% of companies using them in 2020. In 2017, only two percent of businesses used these virtual customer service devices, which shows a rapid increase.
19. 57% of customers will not recommend a service with a poor mobile experience.
Customers want the same level of service on their phones as on their desktops. A poor mobile experience is among the key reasons customers wouldn’t recommend a service.
20. More than 50% of US ecommerce sales happen on mobile devices.
According to mobile customer service statistics, more than half of all ecommerce purchases in the US happen on mobile devices.
Since our daily lives depend on mobile devices—as shown by these app usage statistics—experts project that mobile purchases will make up 80% of total sales by 2025.
21. 88% of online consumers are not likely to come back to a website after a poor experience.
Despite the importance of social media in browsing for ecommerce businesses, websites still work as the anchor for a brand’s identity.
Customer experience statistics in 2021 reveal that most consumers are not willing to give a brand a second chance after a bad website experience.
22. 83% of users expect a company to respond to their social media messages within a day.
Statistics about customer service on social media highlight that consumers are no longer patient. Thanks to social media customer service and the 24-hour availability of the internet, they don’t like waiting for assistance.
While most (83%) expect a response within a day, nearly 50% expect it within an hour.
23. It takes more than five days for 45% of companies to respond to customers on their Facebook pages.
Experts in the industry know that data like Facebook Messenger customer service statistics show that businesses desperately need to improve their Facebook services.
Almost half of the companies took more than five days to respond to a customer on their Facebook pages.
24. Currently, more than 80% of companies invest in multichannel servicing.
It’s hardly all about Facebook, regardless of how powerful the network really is. According to customer service statistics in 2021, more than 80% of companies invest in several channels of providing quality customer service.
These include other social media and digital ways of connecting to give consumers a chance to reach their service as soon as possible in a well-known digital environment.
The benefits of quality customer service can go far. But what makes it suitable for customers? And what happens to companies that put effort into customer service?
25. It takes 40 positive experiences to undo one negative experience.
Poor customer experience is hard to forget, according to statistics on bad customer service.
Depending on the situation, the brand will have to secure up to 40 positive customer reviews to undo one negative experience.
26. Attracting a new consumer is up to six times more expensive than keeping the existing ones.
Customer retention and satisfaction statistics underline that attracting new consumers will always be more expensive than keeping existing ones.
The overall cost of low customer retention can make a tremendous impact on brands’ overall profits.
27. 33% of US customers report that customer service agents’ most important trait is friendliness and knowledgeability.
Research has shown that people are more likely to react negatively to customer service if they have to deal with an impolite agent.
Politeness alone won’t win the customer’s satisfaction if they don’t show fundamental knowledge.
28. Increasing customer retention rates by 5% can increase revenue by 25% to 95%.
Customer service success statistics confirm that the essential motive for investing in customer service is increasing revenue.
Studies agree that an increased retention rate can grow revenue by as much as 95%. An effective way to secure this retention rate is by offering excellent customer service.
29. Companies with excellent customer service have 4% to 8% higher revenues in their market.
One study found causation between the companies’ revenue and the quality of their customer service.
Researchers found that companies with excellent customer service grew their revenue by 4%-8% above their market.
According to customer service research, this growth is especially true for companies continually investing in digital media.
30. 52% of consumers who experienced positive customer service made another purchase from the same company in 2013.
Statistics about customer service impact show the importance of positive customer experience—more than half of the customers who experienced positive customer service purchased from the same company again.
31. Globally speaking, 67% of customers believe that customer service is improving.
Right now, the majority of customers report they’re seeing improvements in customer service.
This figure shows how customer service trends moved beyond resolving customer issues, making customer service a key in developing a brand’s personalization.
32. 77% of consumers who experienced excellent customer service are likely to recommend a brand to a friend.
On top of retaining satisfied customers, a positive experience brings another benefit. Happy customers spread the word and usually recommend the product.
From a company’s perspective, it’s marketing-made-in-heaven.
33. 59% of consumers who experienced personalization through customer service report it influenced their purchase.
Customer loyalty statistics show how customer service can be an excellent personalization tool for a brand.
More than half of consumers report that these efforts impacted their future purchases and secured their loyalty to the brand.
34. 65% of consumers report that good customer service is more influential for a brand than advertising.
Consumers are catching up on customer service trends and now recognize their importance.
When it comes to customer retention, they agree that advertising can’t beat top-notch customer service.
35. Artificial intelligence will operate in 95% of customer interactions by 2025.
It’s no secret that artificial intelligence (AI) is taking over. When it comes to AI customer service statistics, research shows that investments into its development are trending upwards.
We’ve had a feel of it thanks to chatbots, but the real thing should be a lot more advanced as experts predict that AI will do 95% of all customer interactions, leaving customers unable to notice the difference.
Reports from different parts of the world highlight all the disparities in the way people approach customer service.
36. 90% of global buyers consider customer service one of the most important factors when choosing and staying loyal to a brand.
However, some countries put a higher importance on it than others. Brazilians are particularly concerned by quality customer service when putting their trust in a company—97% consider it a crucial trait.
Similarly, many Americans (94%) and Brits (92%) prioritize their experience with customer service when making purchasing decisions.
37. 70% of global consumers prefer getting proactive customer service notifications, statistics show.
While the global average shows that well over three-thirds of buyers worldwide find proactive notifications helpful, 66% of Americans feel the same way.
Customers view brands that offer this particular service more favorably than those dealing with issues as they come.
38. Companies can save 25–30% of total customer service costs by offshoring and outsourcing.
Offshoring jobs in customer service is one of the most cost-effective moves for a business, as indicated by statistics.
Staffing expenses represent 65% of all customer service centers’ costs. It’s no wonder that many companies are looking to reduce their spending by hiring outside of the company—and, not rarely, outside the country.
39. The customer satisfaction in the UK in 2021 is the lowest it’s been since 2015.
The index score was 76.8 (out of 100) for customer service in the UK in 2021, statistics show. This is 0.1 points lower than January last year.
A total of 73 out of 271 surveyed companies have seen a minimum of 2-point drop year-on-year, while only 44 have increased their index score by as much.
40. Customer service statistics for Australia show that car manufacturers have the highest satisfaction score—92.3%.
Hardware stores (90.8%), chemists and pharmacies (90.5%), as well as clothing stores (90.2%) all scored very high when it comes to providing a satisfactory service to their buyers.
Risk and life insurers scored the lowest among the surveyed industries, with a consumer satisfaction rate of only 65.1%.
41. 49% of Canadians have switched providers due to unsatisfying customer service.
The latest in-depth report on consumer behavior shows that almost half of Canadians aren’t likely to tolerate poor customer service.
Customer service statistics for Canada highlight that 80% of buyers reported they could’ve been retained if companies addressed their concerns. However, once they switched providers, 68% claim they wouldn’t be going back.
Now that we’ve covered these recent stats, it’s clear that the world of customer service will go through significant changes in upcoming years.
As we’ve seen from statistics about customer service on social media, the digital world is taking over and changing the game. With AI development, the need for actual human workers will likely decrease.
The ultimate goal in developing customer service remains customer satisfaction and retention achieved through practical help and personalization of the customer’s needs and wishes.
Research has shown that positive reviews can make an impact on 90% of people. Reports indicate that loyal customers with a positive experience will recommend the brand to someone 77% of the time. Good customer experience can matter even more than advertising the brand, according to customer loyalty statistics.
For businesses, customer service is a way to help customers gain information and find solutions regarding their service or the product. It’s also a way to build a brand’s identity through a personal connection with customers. Customers want to feel valued, appreciated, and to be rewarded by companies for being their customers. As customer service statistics show, this will enable companies to have higher customer retention rates.
In most industries, the average retention rate is just below 20% over an 8-week period. Average customer retention rate by industry varies. In media and finance, the average retention rate is usually around 25%. In ecommerce, the average rate is generally between 25% up to 35%. Businesses maintaining retention rates over 35% are considered elite companies.
Actually, not that many. At least not directly to companies. Only 4% of dissatisfied customers will complain, but a whopping 91% will simply stop buying the product or using the service without complaint. On average, unhappy customers will tell 9 to 15 people about their experience. As our customer service statistics cover, this is why customer service can be a make-it-or-break-it moment for many businesses.
- Bain & Company
- Canadian Business
- Dimensional Research
- Enghouse Interactive
- Finance Digest
- Harvard Business Review
- Markets and Markets
- Monitor Business Reviews
- Soc Pub
- XM Institute