Will We Ever Learn?: The Sad State Of Customer Care In America - Highlights From The 2013 Customer Rage Study
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
Will We Ever Learn?: The Sad State
Of Customer Care In America
Highlights From The 2013 Customer Rage Study
November, 2013
Confidential & Proprietary - Page 1
Study Conducted By…
In collaboration with
Confidential & Proprietary - Page 2
Executive Summary
Confidential & Proprietary - Page 3Highlights
• The 2013 customer problem rate increased five percentage points
over 2011 (50% vs. 45%). This is 18 percentage points higher than
that reported in the 1976 White House study. (See page 23.)
• Cable/satellite TV is still at the top of the list of most serious
problems in 2013. (See page 24.)
• Customer rage increased eight percentage points since 2011 (68%
vs. 60%). (See page 25.)
• Complainant satisfaction is no higher than that reported by the 1976
White House study. In 2013, MOST complainants are
DISSATISFIED with how companies are handling their customer
complaints. (See page 31.)
• 56% of complainants felt that they got NOTHING as a result of
complaining; a nine percentage point increase since 2011. Those
who reported getting something felt that they got very little or
BUPKUS (e.g., 76% of complainants wanted an apology but only
32% got one). (See pages 37-38.)
Confidential & Proprietary - Page 4Highlights (Continued)
• The reason for these low levels of complainant satisfaction is not that
companies have failed to adopt upgraded programs to handle customer
complaints. On the contrary, programs such as complaint handling 800
numbers, expanded remedies to compensate complainants for their
problems with products/services, liberalization of warranties, etc. have
become standard corporate policies. The problem is, instead, that
companies ARE DOING ALL THE RIGHT THINGS, THE WRONG WAY.
(e.g., 800 numbers: much too complicated automated response menus, not
giving customer care agents adequate empowerment, under staffing so that
complainants can’t get through to agents in a timely manner, etc.)
• Does it pay to solicit complaints?
− In the 1970’s, the White House study found that even dissatisfied complainants
were nine percentage points more brand loyal than non-complainants. As a
result of this finding, American companies have spent billions of dollars annually
soliciting customer complaints. In this case, THERE DID SEEM TO BE A FREE
LUNCH. (See page 40.)
Confidential & Proprietary - Page 5Highlights (Continued)
− The Customer Rage surveys, however, found that TODAY
dissatisfied complainants are now 12 percentage points less
brand loyal than non-complainants. Therefore, there is a brand
loyalty uplift only if complaints are satisfactorily resolved. Given
the fact that MOST complainants are not satisfied, corporate
America is spending billions of dollars annually on customer care
programs that are actually losing them customers. The lesson to
be learned for corporate customer care practice, then, is DO IT
RIGHT, OR DON’T DO IT. (See page 41.)
• When companies added non-monetary remedies (e.g.,
an apology) to the monetary relief they give customers,
complainant satisfaction DOUBLED from 37% to 74%.
(See page 43.)
• Posting information on the web about customer
problems has almost doubled since 2011 (e.g., an
increase of posting on social networking sites from 19%
to 35%). (See page 45.)
Confidential & Proprietary - Page 6Highlights (Continued)
• Although posting on the web about consumer problems has
increased substantially, complainants still consider the telephone
their primary channel for complaining by a margin of 11 to one over
the internet (66% to 6%). (See page 46.)
• Party affiliation makes a big difference when it comes to customer
care issues. For example, while Republicans “cursed/used
profanity” less than Democrats when complaining (3% vs. 13%),
they “yelled/raised their voice” much more often than Democrats
(44% vs. 33%). Republicans reported less customer rage (58% vs.
69% for Democrats), and felt that the time they spent complaining
was more “worthwhile” (73% vs. 50% for Democrats). As might be
expected, Republicans “trusted” the companies they do business
with more than the Democrats (43% vs. 31%). Finally, Republicans
got “revenge” against the companies that caused their problems with
products/services three times more often than Democrats (6% vs.
2%). (See page 51.)
Confidential & Proprietary - Page 7Highlights (Continued)
• The products/services responsible for the most
serious problems were also those that most
DELIGHTED the 2013 respondents to the Customer
Rage survey. (See page 52.)
• Nearly 76 billion dollars were at risk to business as a
result of American households’ most serious
problems with products/services in 2013. (This is an
almost 18 billion dollar increase over 2011.) Given
the low levels of complainant satisfaction reported
by the Customer Rage survey, it is safe to assume
that U.S. companies did not recover most of this at
risk revenue. (See page 55.)
Confidential & Proprietary - Page 8Summary Of Key Findings: Core Rage
Study Questions
• Problem rates continue to increase; the 50% problem
incidence in 2013 is 18 percentage points higher than in the
1976 White House study.
• Cable/satellite TV are still at the TOP of the 2013 most
serious customer problem list (17%); computer-related
(hardware, software, internet, etc.) products/services has
moved up to the third place in the league tables.
• Customer rage in 2013 has increased eight percentage points
since 2011, from 60% to 68%.
• Time lost is still the most often reported damage in 2013 as a
result of the most serious problem. (62% of problem
respondents lost time vs. only 40% who lost money.) This is
a big increase when compared to the lost time reported in the
earlier waves of the Customer Rage surveys. (Only 50% lost
time in the 2003 – 2011 waves of the study.)
Confidential & Proprietary - Page 9Summary Of Key Findings: Core Rage
Study Questions (Continued)
• 80% of respondents reporting a customer problem in 2013
complained to the entity that caused their most serious
problem. (98% of the entities that caused the most serious
problem were private companies.)
• Most complainants in 2013 contacted the company’s 800
number (59%) and/or local retail outlets (57%).
• Only a small percentage of complainants in 2013 also
contacted a non-governmental third party (e.g., BBB) (8%)
and/or a governmental consumer protection agency (4%)
about their most serious problem.
• There was a substantial increase in yelling and cursing in
2013 regarding the respondents’ most serious problems as
compared to that reported in the earlier waves of the
Customer Rage surveys; 36% vs. 25% for yelling and 13% vs.
7% for cursing.
Confidential & Proprietary - Page 10Summary Of Key Findings: Core Rage
Study Questions (Continued)
• Even though companies have substantially increased their spending on
handling customer complaints (billions of dollars annually on call centers,
enhanced remedies, expanded internet access, etc.), complainant
satisfaction in 2013 is still no higher than in the 1970’s. MOST
complainants are dissatisfied with how their customer problems are being
handled.
• The reason for these low levels of complainant satisfaction is not that
companies have failed to adopt upgraded programs to handle customer
complaints. On the contrary, programs such as complaint handling 800
numbers, expanded remedies to compensate complainants for their
problems with products/services, liberalization of warranties, etc. have
become standard corporate policies. The problem is, instead, that
companies ARE DOING ALL THE RIGHT THINGS, THE WRONG WAY
(e.g., 800 numbers: much too complicated automated response menus, not
giving customer care agents adequate empowerment, under staffing so that
complainants cannot get through to agents in a timely manner, etc.)
Confidential & Proprietary - Page 11Summary Of Key Findings: Core Rage
Study Questions (Continued)
• Complainant satisfaction is strongly correlated
with increased brand loyalty in 2013.
• In 2013, word of mouth resulting from
dissatisfied complainants is nearly three times
higher (27.7 people told about the most serious
problem) than the word of mouth communicated
by satisfied complainants (10.2 people told
about the most serious problem).
Confidential & Proprietary - Page 12Summary Of Key Findings: Core Rage
Study Questions (Continued)
• Why is complainant satisfaction so low in 2013?
− The percentage of complainants who felt that the time they spent
complaining was WORTHWHILE dropped from 61% in 2011 to
only 50% in 2013.
− Only 21% of complainants had their problems resolved on first
contact. The 60% of complainants who made three or more
contacts to resolve their problems reported a level of satisfaction
21 percentage points lower than that of “resolution on first
contact” complainants.
− The percentage of complainants who felt they got NOTHING as
a result of complaining increased from 47% in 2011 to 56% in
2013.
− The minority of complainants who felt they got something for
their efforts didn’t think they got very much (They got bupkus.)
This was the case for both monetary and non-monetary
remedies.
Confidential & Proprietary - Page 13Summary Of Key Findings: Core Rage
Study Questions (Continued)
• The 1976 White House study found that brand loyalty increased by 9
percentage points (over the loyalty of non-complainants) among
complainants who were dissatisfied with the action taken to resolve their
problems. Satisfied complainants reported even higher increases in loyalty
over that of non-complainants; +33 percentage points for minor problems
and +44 percentage points for major problems. This loyalty uplift resulting
from companies handling complaints led to the expansion of corporate
customer care programs (800 numbers, liberalization of the remedies given
to customers to resolve their problems, etc.) in the 1980’s and 90’s. EVEN
IF A COMPANY DIDN’T SOLVE THE CUSTOMER’S PROBLEM THERE
WAS A MEANINGFUL UPLIFT IN BRAND LOYALTY.
• Data from the six waves (2003 – 2013) of the Customer Rage surveys,
however, TELL A VERY DIFFERENT STORY. Now complaint handling
results in a brand loyalty uplift ONLY IF COMPLAINANTS ARE SATISFIED.
Dissatisfied complainants report a MEANINGFUL LOSS of brand loyalty; 12
percentage points below the loyalty of non-complainants for both minor and
major customer problems.
Confidential & Proprietary - Page 14Summary Of Key Findings: Core Rage
Study Questions (Continued)
• The Customer Rage surveys found that complainants who only received
non-monetary remedies were 16 percentage points less satisfied than those
who received monetary remedies only. However, when non-monetary
remedies were offered as a supplement to monetary relief, satisfaction
DOUBLED from 37% (level of satisfaction reported by those receiving
monetary remedies only) to 74%.
• Use of the WEB
− When compared to 2011, the percentage of problem households
posting information about their customer problems on the web has in
some instances almost doubled (e.g., on social networking sites from
19% to 35%). Posting on the offending company’s web site increased
from 11% in 2011 to 19% in 2013.
− HOWEVER, by a margin of 11 to one (66% to 6%), complainants
reported that the telephone, not the internet, was their primary channel
for complaining in 2013.
Confidential & Proprietary - Page 15Summary Of Key Findings: Core Rage
Study Questions (Continued)
• 60% of respondents in 2013 felt that the standard of customer
care during the past year was “excellent” (13%) or
“acceptable” (47%). Only 10% felt that the standard of
customer care during the past year was “less than
acceptable” (6%) or “awful” (4%).
• 28% of respondents in 2013 felt that the quality of customer
care had gotten “considerably better” (3%) or “better” (25%)
during the past year. On the other hand, 25% of respondents
felt that the quality of customer care had gotten “worse” (21%)
or “considerably worse” (4%).
• Nearly 76 billion dollars of revenue is at risk to business as a
result of the problem households’ most serious problems with
products/services in 2013. Companies are losing most of this
revenue given the high levels of dissatisfaction with corporate
complaint handling practices.
Confidential & Proprietary - Page 16Conclusion: Core Rage Study Questions
• The findings from these Customer Rage studies produced both GOOD and
BAD news.
• The GOOD NEWS is that satisfactorily handled complaints are associated
with high levels of brand loyalty. This supports the conclusion of the White
House study that effective complaint handling practices can lead to
increased profitability.
• Industry leaders have validated this finding by realizing high ROI’s from their
properly executed complaint handling initiatives. In such instances, adoption
of “best practices” has had a positive impact on the bottom line.
• The BAD NEWS, however, is that corporate complaint handling can be a
double-edged sword. Ineffective policies lead to decreased levels of brand
loyalty and negative ROI’s.
• Unfortunately, this study finds that, from a macro-stand point, complaint
handling practices have proven ineffective. Levels of complainant
satisfaction are no higher today than in the mid-1970's when complaint
handling departments were generally viewed as corporate backwaters.
Confidential & Proprietary - Page 17Conclusion: Core Rage Study Questions
(continued)
• Today, most companies have adopted many of the correct polices
but have failed to properly execute these practices. They are doing
ALL THE RIGHT THINGS, THE WRONG WAY. Further, the
upgraded investment in corporate complaint handling departments
has evidently NOT kept up with customers’ expectations.
• The challenge in the 1970’s was to convince senior management to
invest adequate resources in corporate complaint handling
programs. This challenge was successfully met, due in large
measure, to the findings from the original White House study. The
2003 – 2013 Customer Rage studies, however, suggest that this
was a Pyrrhic victory.
• The challenge, then, is to take the substantial investment made by
companies in upgraded complaint handling and make these policies
work. The lesson to be learned for corporate customer care practice,
then, is the same as was applicable in the mid-1970’s: DO IT
RIGHT, OR DON’T DO IT.
Confidential & Proprietary - Page 18Summary Of Key Findings: Special
Interest Questions
• When it comes to customer care issues, party
affiliation, or the lack thereof, mattered in 2013:
− The biggest differences were reported between
Republicans and Independents
− Fewer Republicans reported experiencing problems
with products/services; when problems did occur,
Republicans reported much less rage; by a margin of
30 percentage points, Republicans felt the time spent
complaining was more WORTHWHILE than
Independents; and Republican complainants were
much more satisfied with the action taken to resolve
their problems.
Confidential & Proprietary - Page 19Summary Of Key Findings: Special
Interest Questions (Continued)
− While Republicans “cursed/used profanity” when complaining the
least, they “yelled/raised their voice” much more often when
attempting to resolve their customer problems. Interestingly
enough, Republicans got REVENGE three times more often than
Democrats or Independents. Not surprisingly, Republicans
reported the highest level of TRUST in corporations; and felt that
the standard of customer care experienced during the past year
was more “excellent/acceptable” (70%) than Democrats (60%) or
Independents (57%).
• With the exception of “small ticket packaged goods,” when
respondents were asked to name the ONE product/service that they
were most “delighted” by during the past 12 months, the most
mentioned products/services in 2013 were those that also caused
the highest rate of most serious problems. When high salience
products/services work really well, they delight us. When these
same products/services are responsible for customer problems, we
hate them.
Confidential & Proprietary - Page 20Study Methodology
• Follow-up to 1976 White House Study
− Core questions from White House Study repeated in Customer Rage
surveys
− Results of Customer Rage surveys compared to White House study findings
• Sixth wave of Rage surveys
• Completed August 2013
• Telephone survey interviewing a representative household sample
of 1,003 respondents
• 2013 results’ overall margin of error is ±1.9% - 3.1% (@ 95%
confidence)
• Survey content
− Core questions repeated from previous five Rage surveys (2003 – 2011)
− Focus on most serious problem with products/services experienced in the
past 12 months
− Special interest questions not asked in every wave of Customer Rage
survey to address topical issues
Confidential & Proprietary - Page 21Problem Experience
Confidential & Proprietary - Page 22Problem Experience Continued To
Increase
% Respondents Experiencing A Product/Service Problem
In The Past 12 Months
100%
80%
50%
45%
60% 39%
32%
40%
20%
0%
2013 Rage Study 2011 Rage Study 2003 - 2007 Rage 1976 White
Studies House Study
Confidential & Proprietary - Page 23Products/Services That Caused The Most
Serious Problem: Top 5
2013 2003-2011
Problem Problem
Product/Service Type Respondents Respondents
Cable/Satellite TV 17% 7%
Telephone (land lines,
16% 10%
cell)
Computer-related
(hardware, software, 9% 8%
internet, etc.)
Consumer electronics –
8% 8%
non-computer
Automobile 7% 11%
Confidential & Proprietary - Page 24Level Of Customer Rage Still High;
With Big Increase Over Last Survey
100%
68% 71%
% Problem Respondents
– Extremely/Very Upset
60%
80%
60%
40%
20%
0%
2013 Rage Study 2011 Rage Study 2003 - 2007 Rage
Studies
Confidential & Proprietary - Page 25Damages Suffered:
Escalation In Time Lost
2013 2003-2011
Problem Problem
Type Of Damage Respondents Respondents
Time 62% 50%
Money 40% 43%
Physical injury 5% 6%
Confidential & Proprietary - Page 26Complaining1 To The Company2 That
Caused The Most Serious Problem
2013
Where Complained To Complainants
Company’s 800
59%
number
Local retail outlet 57%
Head office 36%
Company’s website 26%
1 80% of 2013 respondents who experienced problems with products/services complained to the company that caused their problems.
Only 69% of problem households complained in the 1976 White House study.
2 98% of the entities that caused the respondents’ most serious problems during the past 12 months were companies.
Confidential & Proprietary - Page 27Complaining To Third Parties
2013
Third Parties Complainants
Non-governmental agencies like the BBB 8%
Governmental consumer protection
4%
agencies
Initiated legal action 2%
Confidential & Proprietary - Page 28Other Ways Respondents With Problems
Expressed Their Displeasure
2013 2003-2011
Problem Problem
Expressions Of Displeasure Respondents Respondents
Shared the story with my friends/other people 89% 87%
Threatened to talk with or contact management 62% 54%
Decided I'd never do business/come back again 46% 53%
Yelled or raised my voice 36% 25%
Threatened to report the entity that caused the problem
16% 17%
to a government regulatory agency
Cursed/used profanity 13% 7%
Threatened legal action 8% 8%
Threatened to contact the media 7% 6%
Confidential & Proprietary - Page 29Complainant Satisfaction
Confidential & Proprietary - Page 30Complainant Satisfaction Is Still No
Higher Than In The 1970’s
60%
44% 44%
40%
% Complainants Satisfied
40%
23%
20%
18%
20%
0%
2013 Rage Study 2003-2011 Rage 1976 White House
Studies Study
Top two boxes (“received more than I asked for” and “completely satisfied”)
Top three boxes (Add answers to the “I wasn’t completely satisfied, but the action taken was acceptable” response
category to the top two box responses.)
Confidential & Proprietary - Page 31Impact Of Complainant Satisfaction In 2013
Satisfaction Average
% Satisfied With % Recommend Number Told
With Action Taken Company Company About
(% Complainants) (Top 2 Boxes)1 (Top 2 Boxes)2 Problem
SATISFIED
(Top 2 boxes) = 85% 54% 10.2
(20%)
MOLLIFIED
(Middle 2 boxes) = 34% 21% 15.7
(39%)
DISSATISFIED
(Bottom 2 boxes) = 9% 9% 27.7
(41%)
All complainants 34% 23% 19.2
1 Based on “very” and “somewhat satisfied” with offending company.
2 Based on “definitely” and “probably would recommend” offending company to a friend or colleague.
Confidential & Proprietary - Page 32Why Is Complainant Satisfaction So
Low?
Confidential & Proprietary - Page 33Was The Time Spent Complaining To The
Offending Company Worthwhile?
61%
70%
% Complainants Answering YES
50%
60% 47%
50%
40%
30%
20%
10%
0%
2013 Rage Study 2011 Rage Study 2005 - 2007 Rage
Studies1
1 A comparable question was not asked in the 2003 and 2004 waves of the Customer Rage surveys.
Confidential & Proprietary - Page 34“Ping-Ponging”:
Still The Deadly Game In 2013
100% Average # Of Contacts:
2013: 4.0
2003-2011: 4.2
With Action Taken (Top 2 Boxes)
80%
% Complainants Satisfied
60%
35%
40% 24%
14%
20%
0%
One contact Two contacts Three or more contacts
All Complainants (21%) (19%) (60%)
Confidential & Proprietary - Page 35Double “Bupkus” Again
Confidential & Proprietary - Page 36What Complainants Got: “Bupkus”
% OF RESPONDENTS
WHO FELT THAT THEY GOT NOTHING
1
2013 2011 2004 - 2007
56% 47% 52%
1 A comparable question was not asked in the initial wave (2003) of the Customer Rage surveys.
Confidential & Proprietary - Page 372013 Comparison Between What
Complainants Wanted To Get And What
They Got: “Double Bupkus”
Remedy 1 % Wanted % Got
To be treated with dignity 94% 35%
An assurance that my problem would not be repeated 84% 21%
Offending company put itself in my shoes 83% 23%
My product repaired/service fixed 81% 31%
An explanation of why the problem occurred 81% 23%
A thank you for my business 80% 33%
An apology 76% 32%
To be talked to in everyday language; not scripted response 76% 32%
Just to express my anger/tell my side of the story 68% 37%
My money back 52% 21%
A free product or service in the future 41% 14%
Financial compensation for my lost time, inconvenience or
40% 10%
injury
Revenge 20% 3%
Other 12% 3%
1 Shading indicates a non-monetary remedy.
Confidential & Proprietary - Page 38Does It Pay To Solicit Complaints?
Yes Then, Not Now
Confidential & Proprietary - Page 39Brand Loyalty Uplift Resulting From Getting
Problem Households To Complain: 1976 White
House Study1
Percentage Point Increase/Decrease In
Brand Loyalty For
Uplift from Non- Minor Major
2 3
Complainants To… Problems Problems
Satisfied Complainants + 33% + 44%
Dissatisfied Complainants + 9% + 9%
1 In the White House Study, satisfaction with the action taken to resolve complaints was measured using a five item, ordinal word scale. Satisfaction
was defined by the top three boxes (“received more than I asked for,” “completely satisfied” and “not completely satisfied but the solution was acceptable.”)
Dissatisfaction was defined by the bottom two boxes (“not completely satisfied but I did get something” and “not at all satisfied.”)
2 Where damages caused by most serious problem were valued at $1 - 5.
3 Where damages caused by most serious problem were valued at $100+.
Confidential & Proprietary - Page 40Just Getting People To Complain Is No Longer Enough:
The 2003-2013 Customer Rage Studies Report That
TODAY Companies Must SATISFY Complainants In
Order For There To Be An Uplift In Brand Loyalty1
Percentage Point Increase/Decrease In
Brand Loyalty For
Uplift from Non- Minor Major
2 3
Complainants To… Problems Problems
Satisfied Complainants + 21% + 20%
Dissatisfied Complainants - 12% - 12%
1 The dissatisfied response categories to the satisfaction with the action taken to resolve complaints question used by the Customer Rage studies differed from those used by the
White House study in two aspects. First, the fourth box response category used the terminology “but some action was taken” instead of “but I did get something.” Second, a sixth
response category was added: “I was not at all satisfied because no action was taken.” Those responding to this sixth category were coded as dissatisfied complainants.
2 Where damages caused by most serious problem were valued at $20 or less. (An inflation adjustment calibrated so that this value of damages is comparable to the $1-5 figure
used in the 1976 White House study.)
3 Where damages caused by most serious problem were valued at $400 or more. (An inflation adjustment calibrated so that this value of damages is comparable
to the $100 or more figure used in the 1976 White House study.)
Confidential & Proprietary - Page 41Maybe There Still Is A Free Lunch
Confidential & Proprietary - Page 42Relationship Between Remedies And Percent
Of Complainants Satisfied In 2004 – 20131:
Non-Monetary Remedies Are a Very Valuable
Add On
% Satisfied
With Action
Remedies Complainants Got Taken 2
Only monetary 3 37%
4
Only non-monetary 21%
Both monetary and non-
74%
monetary
1 A comparable question was not asked in the initial wave (2003) of the Customer Rage surveys.
2 Top 3 boxes
3 Monetary remedies include product repaired/service fixed, money back, free product/service in future, or compensation for
damages
4 Non-monetary remedies include treated with dignity, agent didn’t use scripted response, assurance problem would not be
repeated, an explanation why the problem occurred, a thank you for patronage, offending company showed empathy to
complainant’s concerns, opportunity to vent, and an apology
Confidential & Proprietary - Page 43Use Of Web 2.0: Is The Glass Half
Full Or Half Empty?
Confidential & Proprietary - Page 44Posting Information About The Most
Serious Problem On The Internet:
Substantial Increase Since Last Survey
% of Problem Households
Who Posted
Type of Website 2013 2011
Site operated by offending
19% 11%
company
1
Social networking site 35% 19%
2
Social media site 4% 1%
Product/service review site 7% 4%
1 Site where postings are shared with a defined list of friends, followers or contacts; a closed system.
2 Postings are shared on sites where there is not a defined list of friends, followers or contacts; an open system.
Confidential & Proprietary - Page 45Primary Channel For Complaining:
Telephone Still Beats The Internet By A
Margin of 11 To One1
100%
80% 66% 65%
% Complainants
60%
40%
20% 6% 4%
0%
Telephone Internet
2013 2003
1 In person/face to face and paper complaints (mail, fax, etc.) are primary channels of complaining for 24% and 2% of complainants in 2013, respectively.
Confidential & Proprietary - Page 46General Customer Care Issues
Confidential & Proprietary - Page 47Standard Of Customer Care During Past Year1
100%
80%
% Respondents2
60%
47%
44%
40% 31% 32%
20% 13%
11%
9%
6% 4% 4%
0%
Excellent Acceptable Average Less than Awful
acceptable
2013 2004-2011
1 A comparable question was not asked in the initial wave (2003) of the Customer Rage surveys.
2 Among all respondents.
Confidential & Proprietary - Page 48Quality Of Customer Care During Past
Year – Better or Worse?1
100%
80%
% Respondents2
60%
46%
41%
40%
29%
25% 24%
21%
20%
3% 2% 4% 4%
0%
Considerably Better Neither better nor Worse Considerably
better worse worse
2013 2004-2011
1 A comparable question was not asked in the initial wave (2003) of the Customer Rage surveys.
2 Among all respondents.
Confidential & Proprietary - Page 49Special Interest Questions
Confidential & Proprietary - Page 50When It Comes To Customer Care Issues, Party
Affiliation, Or The Lack Thereof, Matters: 2013
Selected Customer Care Issues Republicans Democrats Independents
Experienced product/service problems in past year 41% 47% 58%
Problem experience resulted in customer rage 58% 69% 71%
Complained about most serious problem 78% 78% 86%
Time spent complaining was “worthwhile” 73% 50% 43%
“Got nothing” as a result of complaining 46% 56% 57%
Satisfied with action taken to resolve most serious
60% 46% 38%
problem (top three boxes)
Got “revenge” against offending company 6% 2% 2%
Expression of displeasure about most serious-
3% 13% 15%
problem – cursed/used profanity
Expression of displeasure about most serious
44% 33% 33%
problem – yelled/raised voice
“Trust” in companies respondents regularly do
43% 31% 32%
business with (“a great deal/quite a lot” of trust)
Standard of customer care (“service you get before,
during, and after buying a product or service”) 70% 60% 57%
experienced during past year (“excellent/acceptable”)
Confidential & Proprietary - Page 51Products/Services That Delighted The Most
Respondents Are Largely The Same As Those
That Caused The Highest Percentage Of The
Most Serious Problems
2013 Survey 2013 Problem
Respondents Respondents
Product/Service Type (Delighted Customers) (Most Serious Problem)
Telephone (land lines, cell) 10% 16%
Computer-related (hardware,
10% 9%
software, internet, etc.)
Automobile 10% 7%
Small ticket packaged goods 8% 3%
Cable/satellite TV 7% 17%
Consumer electronics – non-
7% 8%
computer
Confidential & Proprietary - Page 52Delight And Disappointment With
Products/Services: 2013
• With the exception of “small ticket packaged goods,”
products/services that “delighted” the most survey
respondents also caused the highest percentage of most
serious problems. When high salience products/services
work really well, they delight us. When such
products/services are responsible for customer
problems, we really hate them.
• When respondents were asked what products/services
“MOST disappointed” them within the past 12 months,
five of the six products/services that disappointed them
the most often were: cable/satellite TV (13%), telephone
(13%), computer-related (8%), automobile (7%), and
consumer electronics – non-computer (5%). These are
the products/services that are at the top of the most
serious problem league tables.
Confidential & Proprietary - Page 53Some Eye-popping Statistics
Confidential & Proprietary - Page 54Vital Statistics: Study Findings
Extrapolated To The Nation’s Population
1
• Number of households 2013 2011
experiencing at least one
problem during past 12 months
2 56,000,000 50,400,000
• Number of households
3 38,080,000 30,240,000
experiencing RAGE
• Number of households posting
information about their most
25,200,000 13,608,000
serious problem on at least one
website
4
• Revenue at risk to business $75,992,000,000 $58,262,400,000
___________________
1 Statistics apply to ONLY most serious problem during the past 12 months
2 Assuming 112,000,000 total US households
3 Based on “extremely” and “very upset” respondents
4 The mean cost of products/services subject to most serious problem multiplied by the number of households experiencing problems.
Confidential & Proprietary - Page 55For Further Information
Confidential & Proprietary - Page 56Will We Ever Learn?: The Sad State
Of Customer Care In America
(Results From The 2013 Customer Rage
Study: Press Briefing)
For more information about the 2013 Customer
Rage study, please contact:
Scott M. Broetzmann
President & CEO
Customer Care Measurement & Consulting
20 S. Quaker Lane, Ste. 230
Alexandria, Virginia 22314
703.823.9531
scott@customercaremc.com
www.customercaremc.com
Confidential & Proprietary - Page 57You can also read
