Are Consumers Used to Bad Service?

Consumers argue that customer service is important when deciding what products or services to purchase, however, according to new research from Arizona State University, customer service can’t keep pace with shoppers.

The latest version of the school’s ‘Customer Rage’ study suggests that customer satisfaction rates haven’t changed dramatically since the 1970s. People are not only dissatisfied with customer service, but some consumers don’t even expect it anymore.  

Customer Service and Millennials
 

Millennials in particular can rarely recall a time when automated phone messaging systems or online customer service wasn’t available—so they don’t know what better customer services feels like, said retail-industry consultant Jack Abelson. 

And it’s not that companies aren’t spending time or money on the prevailing issues. In fact, most companies spend plenty of resources on building a better customer experience, albeit on the wrong solutions.  

For example, according to a recent report conducted by the Consumer Reports National Research Center, 75 percent of consumers were most frustrated when they couldn’t get a live person to handle their phone calls. The same number of respondents also complained that rude or condescending employees (both in-store and on the phone) contributed to this frustration. Being disconnected from a phone call, long wait times, and poor menu options also topped the list of complaints.

So while companies with limited human resources are moving toward automation, it’s clear the money could be better spent on something else. 

Despite these alarming increases, there were decreases reported by the Better Business Bureau, which logged fewer complaints overall this year compared. Nine out of ten commonly reported industries also had notable declines; this unfortunately excludes cable and satellite services.

One explanation for this decrease in direct reporting may be because consumers have more power to help themselves. This is most apparent on FAQ pages, in How-To videos, forums, and customer review pages, where people can share their opinions freely with other customers. 

Another reason consumers seem apathetic about customer service is that they are more diligent about researching a product or service (particularly via mobile device) before they decided to make a purchase. This is like preventative medicine—they know more about what they’re getting into before they make the purchase. 

That being said, businesses should be wary of this consumer behavior and reconsider how they allocate time and money when trying to resolve customer-related issues. In particular, businesses should provide thorough and up-to-date resources online for clients who want to help themselves before making a customer service phone call. 

Are automated messaging systems and foreign customer reps really the way to go? According to the latest research, the answer is no.