Key Customer Service Statistics You Should Pay Attention To



In today’s highly competitive business landscape, providing excellent customer service is crucial to standing out from the competition and building a loyal customer base. While advertising campaigns can generate awareness and interest in your brand, positive word-of-mouth from satisfied clients has a more significant and lasting impact.

A referral coming from a delighted customer can have a ripple effect, as they are more likely to share their positive experience with others. This creates the kind of loyalty that turns rabid fans into highly effective brand ambassadors. These ambassadors can become a powerful marketing tool for your business, as their recommendations are often more trusted and influential than traditional marketing efforts.

On the other hand, consistently delivering poor customer service can quickly erode trust and confidence in your brand. Customers are more likely to share negative experiences with others, which can have a detrimental impact on your reputation. In the age of social media, negative feedback can quickly spread, damaging your brand’s image, and potentially leading to lost sales.

To ensure excellent customer service, it’s crucial to familiarise yourself with the basics and keep up with research and evidence-based studies on the subject. These metrics can help you identify areas for improvement and provide insights into what customers value most in their interactions with your brand.

Important Statistics that Affect Customer Service

  1. According to the White House Office of Consumer Affairs, consumers are twice as likely to tell others about poor experiences than positive ones. This highlights the importance of providing exceptional customer service, as negative feedback can quickly spread and damage your brand’s reputation.
  2. In fact, 78% of consumers have abandoned a transaction due to poor service, as reported by American Express. This shows that providing excellent service is crucial to retaining customers and preventing lost sales.
  3. Lee Resources found that 91% of dissatisfied customers will not willingly do business with a company again. However, resolving a complaint in the customer’s favour can significantly increase the likelihood of repeat business – in fact, Lee Resources also found that 70% of customers who had a complaint resolved in their favour would do business with the company again.
  4. Negative customer experiences can also have a significant impact on your brand’s online reputation. Dimensional Research found that 45% of people share negative experiences on social media, while 35% are likely to post negative online reviews after a poor experience. This highlights the importance of monitoring your brand’s online presence and responding to negative feedback in a timely and professional manner.
  5. Even customers who switch loyalties may have been retained with better service. Accenture found that 81% of customers who switched loyalties believe that the company could have done something differently to keep them as customers.
  6. While social media has become an increasingly popular channel for customer communications, phone calls remain the primary method. According to New Voice Media, social media channels handle just 3% of all customer communications, compared to 68% who contact customer service by phone.
  7. It’s important to keep in mind that a typical business only hears from 4% of its dissatisfied customers, as reported in “Understanding Customers” by Ruby Newell-Legner. This means that there may be a significant number of dissatisfied customers who do not voice their complaints and could potentially take their business elsewhere.
  8. On the other hand, loyal customers can be incredibly valuable to a business. The White House Office of Consumer Affairs found that on average, loyal customers are worth up to 10 times as much as their first purchase. This highlights the importance of building strong relationships with customers and providing exceptional service to retain their loyalty.
  9. According to “Understanding Customers” by Ruby Newell-Legner, it takes 12 positive experiences to make up for one unresolved negative experience. This highlights the importance of providing exceptional customer service to avoid dissatisfied customers and negative reviews.
  10. The White House Office of Consumer Affairs reports that it is 6-7 times more expensive to acquire a new customer than it is to keep a current one. This underscores the value of retaining existing customers by providing excellent service and support.
  11. Harris Interactive found that 50% of customers claim that customer service agents failed to answer their questions. This highlights the need for well-trained and competent customer service representatives.
  12. In “The Cost of Poor Customer Service” by Genesys Global Survey (2009), 78% of customers claimed that a happy customer experience means interacting with competent customer service reps. This emphasises the importance of providing excellent customer service to ensure customer satisfaction.
  13. According to Dimensional Research, 86% of people won’t purchase from a business that has negative online reviews. This shows the importance of online reputation management and the impact that negative reviews can have on a business’s bottom line.
  14. McKinsey reports that 70% of buying experiences are based on how the customer feels they are being treated. This highlights the importance of providing a positive customer experience throughout the buying process.
  15. In the Customer Experience Impact Report by Harris Interactive/RightNow (2010), it was found that in 2011, 86% of consumers quit doing business with a company because of a bad customer experience, a marked increase from 59% in 2007. This shows that customer expectations for service have increased, and businesses need to prioritise providing excellent customer service to retain customers.
  16. ContactPoint Client Research found that employees only ask for the customer’s name 21% of the time, even though everyone loves hearing their own names. This simple act of personalisation can help improve the customer experience and build rapport with customers.
  17. According to Pew Research Center’s Internet and American Life Project (2010), 58% of Americans perform online research about the products and services they are considering purchasing. This highlights the importance of online reputation management and the impact that online reviews and customer feedback can have on a business’s success.
  18. Finally, Touch Agency reports that over 1 million people view tweets about customer service every week, and roughly 80% of those tweets are negative or critical in nature. This highlights the importance of social media monitoring and responding promptly and effectively to negative feedback to avoid reputational damage.

Always Be Protected.

Management liability insurance is a type of coverage that protects a company’s directors, officers, and other executives from claims related to their management decisions and actions. In the context of customer service, this type of insurance can provide essential coverage for executives who may face legal action from customers or other stakeholders due to alleged mismanagement or negligence. For example, if a customer sues a company due to an executive’s failure to address a customer service issue, management liability insurance can provide coverage for legal fees and damages. This type of insurance can also provide coverage for claims related to employee discrimination or harassment, which can impact a company’s reputation and bottom line. Ultimately, management liability insurance can provide essential protection for businesses that prioritise customer service and want to mitigate the risks associated with executive decision-making.


In conclusion, these customer service statistics emphasise the importance of providing exceptional service and support to ensure customer satisfaction and retention. Negative customer experiences can have a significant impact on a business’s reputation and bottom line, highlighting the need for well-trained and competent customer service representatives. Additionally, online reputation management and social media monitoring is crucial for businesses to maintain a positive online presence and respond effectively to customer feedback. By prioritising customer service and investing in the necessary resources, businesses can build a loyal customer base and establish a solid reputation in their industry.

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