DeletedUser651
Guest
Anyone who wants to read about marketing and customer service can get a PhD in the subject. I came across this one link that explains a ton of customer service concepts in one easy to read document. I have cut and pasted just a tiny portion of this document. You can ignore economic laws, but economic laws won't ignore you. 
I didn't want to derail any discussions so I thought I would make a new thread on the topic.
Sorry if this is a little difficult to read, I am guessing it was once a powerpoint presentation. I tried to make it more "forum" friendly. But here is the link: https://www.helpscout.net/75-customer-service-facts-quotes-statistics/
The Cost of Bad Customer Service:
BY THE NUMBERS
78% of consumers have bailed on a transaction or not made an intended purchase because of a poor service experience. (Source: American Express Survey, 2011)
DID YOU KNOW?
A typical business hears from 4% of it's dissatisfied customers.
(Source: “Understanding Customers” by Ruby Newell-Legner)
FACT
On average, loyal customers are worth up to 10 times as much as their first purchase. (Source: White House Office of Consumer Affairs)
BY THE NUMBERS
5-20%
Probability of selling to a new prospect
60-70%
Probability of selling to an existing customer
(Source: Marketing Metrics)
DID YOU KNOW?
It takes 12 positive experiences to make up for one unresolved negative experience. (Source: “Understanding Customers” by Ruby Newell-Legner)
FACT
News of bad customer service reaches more than twice as many ears as praise for a good service experience.
The Takeaway
Take the time to address unhappy customers and do everything in your power to remedy the situation. It's not only worth keeping their business, but also avoiding any negative word of mouth exposure.
(Source: White House Office of Consumer Affairs)
DID YOU KNOW?
It is 6-7 times more expensive to acquire a new customer than it is to keep a current one. (Source: White House Office of Consumer Affairs)
FACT
For every customer who bothers to complain, 26 other customers remain silent.
The Takeaway
Customer feedback is gold! Come up with internal processes to track complaints and go about fixing them. Also, do everything in your power to make it really easy for customers to give feedback and tell you about problems they are having. It takes time to sift through feedback, but the value added to your business is worth it! (Source: White House Office of Consumer Affairs)
THE BRIGHT SIDE
3 in 5 Americans (59%) would try a new brand or company for a better service experience. (Source: American Express Survey, 2011)
The Takeaway
Losing even a single customer can be very costly. It’s critical for companies to turn a complaint into a positive for the customer and for the company moving forward.
When customers share their story, they’re not just sharing pain points. They’re actually teaching you how to make your product, service, and business better. Your customer service organization should be designed to efficiently communicate those issues.” - Kristin Smaby, “Being Human is Good Business”
70% of buying experiences are based on how the customer feels they are being treated. (Source: McKinsey)
91% of unhappy customers will not willingly do business with you again. (Source: Lee Resources)
Top two reasons for customer loss:
1. Customers feel poorly treated
2. Failure to solve a problem in a timely manner
(Source: Customer Experience Impact Report by Harris Interactive/RightNow, 2010)
Although your customers won’t love you if you give bad service, your competitors will.”- Kate Zabriskie
I didn't want to derail any discussions so I thought I would make a new thread on the topic.
Sorry if this is a little difficult to read, I am guessing it was once a powerpoint presentation. I tried to make it more "forum" friendly. But here is the link: https://www.helpscout.net/75-customer-service-facts-quotes-statistics/
The Cost of Bad Customer Service:
BY THE NUMBERS
78% of consumers have bailed on a transaction or not made an intended purchase because of a poor service experience. (Source: American Express Survey, 2011)
DID YOU KNOW?
A typical business hears from 4% of it's dissatisfied customers.
(Source: “Understanding Customers” by Ruby Newell-Legner)
FACT
On average, loyal customers are worth up to 10 times as much as their first purchase. (Source: White House Office of Consumer Affairs)
BY THE NUMBERS
5-20%
Probability of selling to a new prospect
60-70%
Probability of selling to an existing customer
(Source: Marketing Metrics)
DID YOU KNOW?
It takes 12 positive experiences to make up for one unresolved negative experience. (Source: “Understanding Customers” by Ruby Newell-Legner)
FACT
News of bad customer service reaches more than twice as many ears as praise for a good service experience.
The Takeaway
Take the time to address unhappy customers and do everything in your power to remedy the situation. It's not only worth keeping their business, but also avoiding any negative word of mouth exposure.
(Source: White House Office of Consumer Affairs)
DID YOU KNOW?
It is 6-7 times more expensive to acquire a new customer than it is to keep a current one. (Source: White House Office of Consumer Affairs)
FACT
For every customer who bothers to complain, 26 other customers remain silent.
The Takeaway
Customer feedback is gold! Come up with internal processes to track complaints and go about fixing them. Also, do everything in your power to make it really easy for customers to give feedback and tell you about problems they are having. It takes time to sift through feedback, but the value added to your business is worth it! (Source: White House Office of Consumer Affairs)
THE BRIGHT SIDE
3 in 5 Americans (59%) would try a new brand or company for a better service experience. (Source: American Express Survey, 2011)
The Takeaway
Losing even a single customer can be very costly. It’s critical for companies to turn a complaint into a positive for the customer and for the company moving forward.
When customers share their story, they’re not just sharing pain points. They’re actually teaching you how to make your product, service, and business better. Your customer service organization should be designed to efficiently communicate those issues.” - Kristin Smaby, “Being Human is Good Business”
70% of buying experiences are based on how the customer feels they are being treated. (Source: McKinsey)
91% of unhappy customers will not willingly do business with you again. (Source: Lee Resources)
Top two reasons for customer loss:
1. Customers feel poorly treated
2. Failure to solve a problem in a timely manner
(Source: Customer Experience Impact Report by Harris Interactive/RightNow, 2010)
Although your customers won’t love you if you give bad service, your competitors will.”- Kate Zabriskie