Accenture Strategy Study found that:
- 83% of consumers in Singapore prefer human dealing with human beings over digital channels to solve customer services issues and get advice.
- 68% switched service providers in the past year due to poor customer service
- 52% will not return after switching
- Cost of consumers switching due to poor service is US$26 billion.
- 81% report that if companies could provide customers with better live or in-person customer service, it would have impacted their decision to switch providers.
- 47% are willing to even willing to pay higher price for goods and services if it ensures a better level of service.
Human interaction remains a vital component of customer satisfaction, even in the ‘digital age’.*
Insights from the Accenture Study
*Alison Kennedy, managing director, Asean, Accenture Strategy.
- Singapore companies have reached a tipping point in their customer’s digital intensity and need to rebalance their digital and traditional customer services investments if they want to improve loyalty, differentiate themselves and drive growth.
- Companies have lost sight of the importance of human interaction and often make it top difficult for consumers to get the right level of help and service that they need.
- Companies wrongly assume that their digital-only customers are their most profitable, and that customer service is a cost.
- Consequently, they over-invest in digital technologies and channels and lose their most profitable customers – multi-channel customers – who want experiences that cover both digital and traditional channels.
Companies abandon the human connection at their risk and are facing the need to rebuild it to deliver the varied and tailored outcomes that customers demand.*
- Put the human and physical elements back into customer services: Companies should rethink their investment strategy to focus on delivering satisfying customer experiences – not methods of interaction – and ensure channel management approach delivers integrated experiences.
- Build customer service channels that enable consumers to fluidly move from digital to human interaction to get the outcomes they desire.
- Define and address the most toxic customer experiences across channels. These experiences directly impact profitability. Leverage those insights to guide an investment strategy.
The Accenture Report is based on the Global Consumer Pulse Research, 2016, which gauged the experiences and attitudes of 24,489 consumers around the world about marketing, sales and customer services. Some 350 consumers in Singapore were included in the sample.