What role does customer service play in your business? Are your employees trained in this discipline and do they know how to respond to customers’ needs and wants? Do they know how to handle an angry customer situation correctly? I can tell you from experience that good customer service directly correlates with high levels of customer retention. So, simply stated, if good customer service is directly linked to repeat customers, how important are repeat customers to your business? So, what is the Customer Service Certified ROI?
Let’s explore some customer statistics and then you can make an educated decision.
Did you know:
- the probability of selling to an existing customer is around 70% while the probability of selling to a new customer is only around 10%
- around 80% of a company’s future profits will come from just 20% of its existing customer base
- over 60% of a company’s revenues come from existing customers
- a company will pay around 5% more to acquire a new customer than to retain a current one
- in a survey, 82% of customers in the United States stopped doing business with a company due to a poor customer service experience
- businesses lose over 70% of customers due to poor customer service
- almost 70% of customers stop doing business with a company when they perceive that the company acts indifferently toward them
- around 70% of customers will do business with a company again if it deals with a customer service issue fairly, even if the result was not in their favor
- almost 1 out of every 2 customers will take their business to a competitor within 24 hours of experiencing poor customer service
- between 60 to 70% of consumers who switch brands did so because of poor customer service
- an average repeat customer spends almost 70% more in months 31-36 in their relationship with a business than they do in months 0-6
- a mere 5% increase in customer retention can lead to profit increases of up to 95%
- repeat customers spend 33% more than new customers
Customer Service Certified ROI is that your employees will help you with customer retention resulting in greater profitability.
Mansfield, M. (2016, October). Customer service statistics: The ultimate collection for small business.
Are your employees SBCG certified in customer service/retention?
If not, why not?