Consumers Spend 9% More for Good Customer Service

Consumers Spend 9% More for Good Customer Service
Published on July 12, 2010
Americans spend more with companies that provide top customer service, indicates recent data from American Express, marking a big opportunity for companies to improve service and increase revenue.
According to the data, Americans will spend 9% more on products from companies whose customer service is excellent. 61% of Americans report that quality customer service is more important to them in today’s economic environment. However, only 37% of Americans say that companies have increased their focus on quality customer service. 27% say businesses have not changed their attitudes towards customer service, and another 28% say companies are actually paying less attention to good customer service.
Most Believe Customer Service Is Important
Nine out of 10 Americans say they consider the level of customer service when they decide to do business with a company - but just 24% say they believe companies value their business and will give top-notch service in order to keep it. Most feel companies are falling short: 48% say companies do not do anything extra to keep their business, while 21% say companies take their business for granted.
The Better the Service, the More Word Is Spread
An strong opportunity exists for companies to improve word of mouth by improving customer service, because customers are more inclined to talk about a positive experience than a negative one. 75% are “very likely” to speak positively about a company after a good experience, while 59% are “very likely” to talk about a negative experience.
Consumers are also far more likely to give repeat business to a company after a good service experience (81%) than they are to never do business with a company again after a poor experience (52%), according to the data, MarketingCharts


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