It is a given that poor customer experience and customer service means that consumers will be driven away from a brand. But how much effect does it really have? According to recent research by Infobip, it would have an incredibly huge effect, enough to possibly cripple a brand.
Infobip’s research, conducted in the UK, reveals that up to a third of British consumers will never spend again with businesses which provided customer service during the COVID-19 lockdowns.
While customer practices and sentiment may differ from region to region, this research is still helpful in determining the detrimental effects of poor customer service.
The research from the global cloud communications platform polled 2,000 British consumers to see how businesses rank in serving customers during the lockdown ordered by the UK Government. The majority of UK consumers (79 percent) reported experiencing bad customer service over this time.
Given each customer would have previously spent an average of £341 per year with said companies, those businesses providing poor experiences during lockdown could be set to lose a total of £2.5bn per year in future sales.
Among the biggest frustrations faced by consumers included wanting to speak with customer services (35 percent), limited ways to contact companies (31 percent) and repeating details to customer service agents (20 percent).
Companies cannot expect customers to give them a break during hard times like the current ongoing pandemic. In fact, the pandemic has caused customers to expect even better service out of companies, believing that the best companies go the extra mile to serve them during these trying times.
Those businesses that get customer service right will reap the rewards – especially when more than half (54 percent) of UK consumers said they will purchase from businesses again if the service was positive.
UK supermarkets in particular have been praised for getting their customer service right amidst the pandemic. Tesco, Asda and M&S all make the top five brands identified by customers as delivering the best service. Supermarkets quickly adapted to the changing needs of the customer during unprecedented times, with many rolling out online services and offering additional support through mobile apps.