Customers Ditch Companies After Just One Bad Experience, Study Shows

Poor ServiceWhat happens to those businesses that put less thought into customer service experience and engagement? Unsurprisingly, a new study shows the results are anything but pretty.

The study, which was carried out by international consulting group Fifth Quadrant and remote desktop software firm LogMeIn, focused on the Asian nations of Malaysia, Singapore, and the Philippines. Approximately 1,500 people participated in the study, which culminated in a report titled “Optimizing Customer Experience in India and Southeast Asia: Delivering to the Needs of the Connected, Multi-Channel Consumer.”

The results were insightful, to say the least. Nearly 80 per cent of respondents said they would immediately halt doing business with any firm responsible for a bad customer experience. Almost as many respondents said they’d even go so far as to advise their friends and family to avoid that company.

The study also revealed that many people are unsatisfied with the companies they currently do business with. Less than half, or about 44 per cent, said they’re moderately satisfied with their ongoing customer support experiences. Only about one in four respondents said they’re very satisfied with those same experiences.

So, what makes a customer happy?

The study revealed that more than one in three respondents feel the most important factor is being connected to a company representative capable of handling a question or concern. Many of the respondents expressed deep frustration with being left on hold or passed around a team of customer service representatives before having their concerns properly addressed.

The study also revealed that the majority of respondents expect their matters to be resolved quickly. Almost three in four respondents said they expect their query to be resolved within ten minutes, while roughly seven in ten said they expect the same performance from a live chat.

Finally, the study revealed that a majority of customers – nearly seven in ten – want their concerns addressed through mobile or online channels, leaving them no need to reach for the phone.

Dan Cran, a director at LogMeIn, says the study reveals the growing impatience of consumers when it comes to customer service experiences. “In this age of connectivity, the competition is just a few clicks away,” said Cran. “Delivering a positive customer experience both pre- and post-sale is no longer a lofty goal, but a necessity for success.”

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About the Author: Brandon Dimmel