Personal rather than personalized

Marco den Engelsman/17/12/2015/Marketing/Advertising, Publishing

Consumers appreciate high quality customer service. More than half of consumers (54%) is willing to pay for better customer service for their favourite brands. Seven out of ten consumers of 71 years and older and even 40% of Generation Z (16-20 years old) indicate a willingness to pay if this would improve customer service. These are some of the results of research The State of Customer Service 2015 by Xerox. More than 6.000 consumers of all ages in France, Germany, the Netherlands, the UK and the USA within media, telecom and technology industries were interviewed.

The survey also revealed a willingness to use more automation to respond to their inquiries with such tools like a ‘virtual assistant’ which is software that mimics the actions of customer care agents. While 56% expressed comfort with alternative methods of digital communication, 29% ruled out this option and 15% said that they had yet to form an opinion on this emerging technology. Demographically, the concept appeals to younger consumers. 72% of Generation Z are open to this new form of artificial intelligence, compared to only 36% of those aged over 71.

“We all know that customer satisfaction is a strong indicator of loyalty,” said Nancy Collins, group president of Xerox’s High-Tech, Communications and Media group. “Whether it’s more expertise from customer care agents, shorter wait times or a seamless omnichannel experience, there is a clear opportunity for brands to better use technology to build trust and treat every consumer as an individual.”

Other trends revealed by the survey include:

One brand ecosystems expected to predominate: Single brand ecosystems don’t exist – yet. In 2025, 51% of consumers in the three sectors surveyed expect to buy into a single brand – a huge opportunity for brands to position themselves at the heart of their customers’ worlds.
The call center must evolve: The call center is still the channel of choice for 25% of consumers and dominant in the United States (32%) and France (27%). But with two fifths (42%) saying that there will be no call centers by 2025, it is time now to think about how it must evolve.
Time to rethink the retail store: The physical retail store still holds appeal for many. The face-to-face contact of a retail store remains consumers’ most preferred route for sign-up (38%) and set-up (25%) in the technology sector.

“With many consumers willing to pay more for it, organizations must make the investments necessary to ensure that their customer service works better,” said Collins. “Delivering that personalized service so many consumers crave while ensuring their data will be handled carefully is an ongoing challenge. We see a great opportunity for businesses to bridge the gap and differentiate themselves with the next-gen tools such as analytics, automation and artificial intelligence that push the traditional customer care models forward.”

Marco den Engelsman

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