Ever wondered why businesses around the world resonate on the relevance of customer service statistics, so much in tandem? Are all those fancy customer management worth the hype? Why do some businesses, even with brilliant products, do not translate into profits or an average product being a household name and a proven success?

If you’ve had similar thoughts in your mind lately, you definitely are aware of the impact ‘customer service’ has made on the modern business culture. The number of feedback surveys we receive these days is a lot more than what we received 5 years ago. With businesses upgrading themselves to their digital avatar, the identification of workable areas in the sales funnel and putting up a system to counter the lacunas has become a lot easier and more approachable.

Let’s dive into a pool of 70+ interesting “customer service” statistics that will force you to rethink the very selling algorithm that you think is doing the job for your business.

1. Customer service statistics

  • A customer experience promoter has a lifetime value to a company that’s 600 to 1,400% that of a detractor.
    Source: Bain
  • Globally, 54% of all consumers say that they have higher customer service expectations than they did just one year ago. Source: Microsoft
Customer service statistics: Customer satisfaction

Source: Bareinternational

  • 72% of consumers say that when contacting customer service they expect the agent to “know who they are, what they have purchased and had insights into their previous engagements.” Source: Microsoft
  • When asking consumers what impacts their level of trust with a company, offering excellent customer service ranked number one. Source: Dimensional Research
  • Customer acquisition costs are about 6 times the retention costs: Customer retention initiatives are much cheaper and offer better lifetime value over the investments in acquisition initiatives.                                                           Source: Esteban Kolsky

 2. Customer Review Statistics

  • About 95% of customers read reviews before making a purchase. Source: Powerreviews
Customer review statistics

Source: Brightlocal

  • More than 80% of customers are likely to go back to the service or product if they get a response on their review. Source: customer review survey for 2022
  • 93% of customers will read reviews of local businesses to determine its quality. Source: BrightLocal
  • If a business has more than nine current reviews, they earn 52% more revenue than the average. If a business has more than 25 current reviews, that increases to 108%. Source: Womply
  • Not responding to social media reviews results in 50-57% customers not likely to go at all for the product or service again. Source: customer review survey for 2022.
Local customer service review survey

Source – Twitter

3. Customer churn statistics

The percentage of a customer lost during a given period of time is termed the customer churn rate. Let’s see what’s statistics have to say about Increasing or decreasing, Importance or solution for customer churn rate in the market. Let’s look at some of the latest customer service statistics that trend the business world, today:

Customer churn statistics

Source: Retently

  • 54% of U.S. consumers say customer experience at most companies needs Improvement.  Source: PWC
  • Zendesk found that a whopping average of 66% of consumers had terminated their relationship with a company due to poor customer service. Source: Zendesk
  • Customer churn can be reduced by 67% if companies succeed in solving customer issues during the first time interaction and successfully managing customer expectations. Source: Kolsky
  • 85% of consumers churn because of poor service that could have been prevented. Source: Kolsky
  • 79% of high-income earners shunned a company for more than two years after they had a bad experience.Source: Zendesk

4. Customer communication statistics

Customer service statistics: Customer communication

Source: Statista

Go beyond merely communicating to “connecting” with people – Jerry Brucknerlet’s glance over a few statistics stating the importance of communication and connecting with the customer, for a business.

  • Out of all customer service engagements around the world in 2017,  52% began online. Source: Microsoft
  • 83% of customers agree that they feel more loyal to brands that respond and resolve their complaints. Source: Khoros
  • 71% of consumers (age 16-24) believe that a quick response from a service team can drastically improve their customer experience. Source: Comm100
Communication platforms used by customers to contact customer service

Source: finances Online

5. Good customer service statistics

If you make a sale, you can make a living. If you make an investment of time and good service in a customer, you can make a fortune”

Jim Rohn

Good customer service helps not only to retain the customer base but also forms a launchpad for newer products. Quick response, product knowledge, being flexible according to customer preferences are some of the qualities that make a service experience satisfactory. Customer service statistics are the fuel that keeps the sales wheel moving.

Good customer service is really important and in fact, 70% of the buying experience is based on how the customers are being served. ( Source: Industry Analysts, Inc.)

Good customer service impact on purchase statistics

Source – proprofsdesk.com

  • 93% of customers are likely to make repeat purchases with companies who offer excellent customer service. Source: HubSpot Research
  • Nearly three out of five consumers report that good customer service is vital for them to feel loyalty toward a brand. Source: Zendesk
  • 68% of consumers say they are willing to pay more for products and services from a brand known to offer good customer service experiences. Source: HubSpot
  • 63% of consumers expect businesses to know their unique needs and expectations, while 76% of B2B buyers expect the same thing. Source: Salesforce Research
  • On average, customer service agents only ask for a customer’s name 21% of the time. Source: Glance
  • 94% of American customers will recommend a company whose service they rate as “very good.” Source: Qualtrics XM Institute
Statistics: Impact of good customer service on consumers

Source: Stella Connect

6. Poor customer service statistics

Statistics: Poor customer services impact on consumer

Source – freshsparks

  • Given more than two or three Instances of poor service, around 60% of of Americans tends to change their companies.
    Source : American Express
  • Only 1% of customers feel that their expectations of customer service are always met. Source: Slideshare
  • 42% of respondents have left a business due to poor customer service.
    Source : New Voice Media
  • After more than one bad experience, around 80% of consumers say they would rather do business with a competitor.
    Source Zendesk
  • Only one in five consumers will forgive a bad experience at a company whose customer service they rate as “very poor.” (Nearly 80% will forgive a bad experience if they rate the service team as “very good.”) Source Qualtrics XM Institute

7. Social media in customer service statistics

Social media for customer care

Source: NetDNA

  • If a company is spending 1$ on customer experience, they can expect a return of 3$ for that. Source : digitalmarketingjobs 
  • An American spend an average of 40 minutes per day on Facebook. Source : socialmediatoday
  • Faced with poor customer service, 20% of consumers would complain publicly via social media.
    Source : New Voice Media
  • 45% of the world’s population uses social media. Source: Emarsys
  • 91% of social media users access their channels through mobile devices. Source: Lyfe Marketing
  • Answering a social media complaint can increase customer advocacy by as much as 25%. Source: Convince and Convert
  • 63% of millenials begin their customer service interactions online.
    Source: Microsoft
Risk & challenges associated with poor customer services

Source: Coolerinsights.com

8. Customer Service and AI statistics

Customer service & artificial intelligence

Source: Techsee

  • Investment in AI will increase more than 300% over the next year. Source: Forrester
  • AI bots will power 85% of customer service interactions by 2020  Source: Gartner
  • The largest companies (those with at least 100,000 employees) are the most likely to have an AI strategy, but only half have one. Source: Sloanreview
  • 90% of new enterprise apps will use AI by 2025. Source: IDC
  • US businesses are losing $75 billion per year through poor customer service. Source: NewVoiceMedia 
  • By 2020, insights-driven businesses will steal $1.2 trillion per annum from their less-informed peers. Source: Forrester
Statistics: Use of Artificial Intelligence in statistics

Source: Fitsmallbusiness

  • 67% of people expect to see/use messaging apps when talking to a business. Source: Chatbots Magazine

9. Customer experience stats

Customer service as top priority for businesses

Source: Superoffice

  • 72% of customers will share a positive experience with 6 or more people. On the other hand, if a customer is not happy, 13% of them will share their experience with 15 or even more. In fact, only 1 in 26 unhappy customers actually complain. Source: Esteban Kolsky
  • Customers who had the best past experiences spend 140% more than those who had the poorest past experiences. Source: Harvard Business Review
Important customer services statistics

Source: FinancesOnline

  • Differences in net promoter score explain 10-70% of the differences in revenue growth between direct competitors. Source: Bain & Company
  • 90% of CEOs believe customers have the biggest impact on company strategies. Source: PWC
  • 82% of consumers are disappointed by brands. Source: Oracle
  • 59% of customers feel that brands have lost touch with the human element of customer experience. Source:PwC

10. Customer success stats

If you would like to measure your customer success just simply gauge how many people your customers have recommended the brand to. Stats on customer service provide stark and real insights into the business that can be churned by the management and used for growth strategies in the future.

  • Investing in new customers is between five and 25 times more expensive than retaining new ones. Source:Forbes
  • Companies using chatbots are 60% more likely to improve resolution times. Chatbots serve consumers in multiple ways, the first and the most important being 24/7 service. Source:Tech Republic
Key factors for customer service success

Source: Agasthyainfotech.com

  • SaaS churn rates represent the rate percentage at which your customers terminate their subscriptions in a given period of time. The study shows 30% of SaaS Companies reported their churn rates have increased in the past year. Source: 99Firms
Customer churn rate statistics for SAAS companies

Source: SmartKarrot

  • Over 72% of the businesses say that improving customer success would be their number one priority. Source: Forrester Research
  • The survey results stated that surprisingly, 38% of companies still don’t have a Customer Success tool. Source:Survey Sparrow
  • It is amusing to see that 37% of the companies don’t have a clearly defined CS strategy. Source:Survey Sparrow

11. Customer retention stats

Customer retention refers to the activities and actions companies and organizations take to reduce the number of customer defections. It is the anticipated outcome of customer service stats synthesis carried across several different antecedents viz. customer satisfaction, customer delight, customer switching costs, and customer relationship management. 

Customer retention strategies for growing sale

Source: Businesswire

Here are some quick facts about the latest customer service statistics:

  • For most of the companies Increase of 2% in customer retention reduces up to 10% of marketing cost. Source : digitalmarketingjobs 
  • Retention is better than Acquisition 82% of companies agrees to it. Source : smallbizgenius 
  • A 5% increase in customer retention correlates with at least a 25% increase in profit. Source : Bain & Company
Statistics regarding companies approach towards customer lifetime value

Source: 99 firms

  • 67% of customer churn is preventable if firms resolve issues the first time they occur. Source: Ameyo
  • 72% of consumers see having to explain their problem to multiple people as poor customer service. Source: Dimensional Research

For creating strategies to retain your customers over social  media, do watch this interesting video by Marketing 360

12. Customer feedback stats

“Feedback is the breakfast of champions”. Customer feedback is an essential resource for a business to understand the needs, psychology, and problems faced by the customers related to their product or service. Customer service stats on feedback can be used making amendments according to it and then comparing it with new customer service stats will give a proven approach for a better insight.

Statistics: Importance of customers' feedback

Source: Localiq

  • More than 80% of American companies rely on company reviews before joining hands with others.  Source: Trustpilot 
  • 47% of customers with a product or service complaint will voice it on social media. Having a presence on social media platforms will increase your chances of receiving feedback. Source: SproutSocial
  • 62% of email opens occurred on mobile devices. Source: Upland Adestra 
  • 47% of customers with a product or service complaint will voice it on social media. Source: SproutSocial
  • The response rate for an email survey is roughly 24.8%. So it can be expected that one in four people will fill out a Feedback Survey sent through email. Source: Fluidsurveys
Email feedback survey analysis

Source: Suntory

  • 58% of people will never use a company again after just one bad experience. Source: Newvoicemedia

13. Customer loyalty stats

“Satisfaction is a rating. Loyalty is a brand.” – Shep Hyken

Customer Loyalty can be achieved by understanding the customer needs, Just providing a good product is not enough. Good customer service is also very important and it can be done in many ways. Keeping track of customer service stats will help a business grow. Latest customer service statistics will always give actionable insight for strategy building.

Customer loyalty statistics

Source: FinancesOnline

  • 89% of customers trusts recommendations from friends and family.
    Source: Comm100 
  • 72% of Americans belong to at least one loyalty program.
    Source: CompareCamp 
  • 56% of customers stay loyal to brands that “get them.”
    Source: smallbizgenius
  • The Pareto Principle shows 80% of your profits come from just 20% of customers.
    Source: smallbizgenius 
  • 50% of loyal customers will make more purchases with their preferred companies.
    Source: InMoment 
  • Brands are viewed more favorably by 77% of consumers if they proactively invite and accept customer feedback. Source: Microsoft

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