US consumers clicking away from online shopping

Life

18 October 2010

Companies selling products or services online could easily charge more if they just treated their customers a bit better. That’s according to a Harris Interactive study released last week in he US, which noted that 85% of consumers surveyed said they would pay more if it meant having better customer service. Of those, 55% said they would pay 10% more, and 10% would pay a whopping 25% more.

“These results show that delivering a positive customer experience can help organisations increase revenue,” the report said, which was sponsored by RightNow Technologies, a company that develops customer relationship management software.

In the study, which surveyed 2,217 US adults online between 30 June 30 and 2 July, 82% of respondents said they stopped doing business with a company because of a bad experience. Of those, 75% said they never returned.

Another 55% said they did business with specific companies solely because of their reputation for “great” customer service, and 40% switched to a competitive brand because of a reputation for “exceptional” service.

 

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Zeus Kerravala, an analyst at Yankee Group Research, said he’s not surprised that people would pay more or switch brands for a good shopping experience.

“Good customer service means a faster, easier experience,” said Kerravala. “You need to think about what your time is worth, and spending extra time buying something to save a few bucks isn’t worth it. Basically, people shop where they have a good experience.”

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