Nearly 60% of Canadians say quality customer service is more important to them in today’s economic environment. They’re also willing to pay more when a company provides it --- an average of 7% more. There’s a problem though: 65% of Canadians say they believe companies haven’t increased their focus on service or are actually paying less attention to it.
That last Canadian statistic ranked as one of the highest among a dozen nations profiled in the American Express Global Customer Service Barometer and it points to a tremendous business opportunity for Canadian companies.
“Customers want and expect superior service,” said Jim Bush, executive vice president, world service for American Express. “Many consumers say companies haven’t done enough to improve their approach to service in this economy, and yet it’s clear they’re willing to spend more with those that deliver excellent service – suggesting substantial growth opportunities for businesses that get customer service right. It’s important to see customer service as an investment, not a cost.”
As reported by Travel Agent, customers are keen to spread the word when they experience good service, using Internet and social networking tools. Contrary to conventional wisdom, customers are more inclined to talk about a positive experience than complain about a negative one. Three-quarters of those surveyed said they are very likely to speak positively about a company after a good service experience in contrast with 59% who are very likely to speak negatively about a company after poor service.
Consumers say the three most influential factors when deciding which companies they do business with include personal experience (98%), a company’s reputation or brand (92%), and recommendations from friends and family (88%).
Nearly half of the Amex survey participants say they always or often use online postings to get others’ opinions about a company’s customer service reputation. But when consumers go online they put greater credence in negative reviews on blogs and social networking sites than on positive ones (57% and 48%, respectively).
“The Internet has made service quality more transparent than ever before,” Bush said. “Because consumers can broadcast their views so widely online, each and every service interaction a company has with its customers becomes even more crucial. Developing relationships with customers, listening to them, anticipating their needs, and resolving any issues quickly and courteously can help make the difference.”
Companies who get it wrong do so at a cost. Half of consumers expect something beyond problem resolution after a poor customer service experience. Seven in ten want an apology or some form of reimbursement.
"While customers appreciate the plush surroundings of our five-star hotels, we know that luxurious touches don't matter to guests unless the service surpasses the setting," said Simon Cooper, president, The Ritz-Carlton Hotel Company LLC. "Trends may change, but a focus on service excellence is timeless."
