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Companies risk losing business with poor customer service

Businesses have been warned that they risk alienating and losing customers if they are unable to provide a good customer experience.

New research suggests that over 20 per cent of US consumers are prepared to switch brands following a poor shopping experience.

According to the results of a study by Satmetrix, customer experience can be impacted by a number of factors, with disinterested employees, unexpected charges or fees and poor product quality impacting on consumers overall satisfaction.

The study also found that word-of-mouth endorsements from friends or colleagues are considered the most trusted form of information when purchasing products or services.

A significant majority of consumers also reported that they had actively shared their customer experiences with others.

"Companies that invest more in creating a quality customer experience set themselves up for long-term success," John Abraham, general manager of Net Promoter programs at Satmetrix, said.

The study follows comments by brand consultancy Wolff Olins which suggests that online businesses are falling short when it comes to customer service.

Posted by Rachel Wheeler ADNFCR-2366-ID-800474449-ADNFCR