Customer service in decline: 44% of consumers report worsening experience
ALDGATE, ENGLAND — Recent findings from Cavell’s Voice of the Consumer Report 2024 reveal a significant decline in customer service quality, with 44% of consumers feeling that standards have worsened over the past three years.
This sentiment is particularly strong among older generations, who are more likely to notice a decline compared to their younger counterparts.
Increasing complexity strains service providers
The report suggests that the perceived deterioration in service quality may be due to the increasing complexity of issues and products.
“It is most likely that consumers are now contacting businesses looking to resolve increasingly complex issues across increasingly complex products and services,” Cavell noted.
This complexity makes it challenging for service providers to achieve satisfactory resolutions, leading to a general sense of decline in service quality.
Additionally, the expansion of communication channels has posed significant challenges for service providers. Historically limited to in-person, mail, and voice channels, providers are now expected to manage customer issues across multiple platforms, including social media. This transition may have contributed to the decline in consumer perception of service quality.
Deliberate avoidance of customer service interaction
An alarming statistic from the report indicates that 45% of the respondents have ignored issues with products or services to avoid interactions with customer service. This trend highlights a growing breakdown in trust between consumers and service providers.
Cavell suggests that some companies may be intentionally complicating customer service pathways, adding friction that deters customers from reaching out.
Customer satisfaction varies by age and interaction frequency
Despite the overall negative trend, the report shows a 62% satisfaction rate with customer service interactions in 2023. However, satisfaction levels vary significantly by age and frequency of interaction.
Younger consumers reported lower satisfaction rates, and those who interacted more frequently with customer services tended to report lower satisfaction levels.
Interestingly, one-third of consumers expressed willingness to pay for “premium” service add-ons, such as prioritized responses and personalized service, indicating a market for enhanced customer service options among dissatisfied consumers.
The state of customer service
Cavell’s comprehensive survey, which included over 1000 UK adults, paints a complex picture of the current state of customer service. While there is a notable decline in service quality perception, a significant portion of interactions still meet consumer expectations.
Moving forward, Cavell noted that service providers will need to effectively manage the increasing complexity of customer issues and communication channels to rebuild trust and enhance overall service satisfaction.
A separate McKinsey survey revealed that providers are leaning towards AI-driven solutions to meet heightened consumer expectations and commercial objectives.
