Jason S. Bradshaw on why customer service matters: Google gets 7 billion searches for "customer service" and 4 billion for "customer experience." Bad service costs Australia A$74 billion yearly. He argues even 1% improvement gives competitive edge.
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Hi everyone. Welcome to another live edition of Talking Points. I'm Jason S. Bradshaw and as always, I appreciate the time that you're taking to watch this video. Today I thought I'd take a little bit of a different approach to the topic that we've been covering. And over the last number of videos, I've been talking about the most searched customer service, customer experience terms on Google and YouTube. And I thought today I would share some interesting stats with you. First of all, if you do a Google search for customer Service, there's over 7 billion results that instantly come up. If you do a Google search for customer experience, it's an almost another 4 billion results. So it's well and truly over 10 billion results customers combined. It's almost 11 billion in fact, and that's as of today. Now just a year ago, it was 9 billion. Customer service Customer experience is not a fad. It is the absolute pinnacle of building a business that not only survives but thrives. Now, you know, through my book It's all about cex the Essential Guide to Customer and Employee Experience that I absolutely believe that customer and employee experience need to be a combined intentional focus in your business because one without the other is not sustainable. However, let's stay on topic today. Customer service and customer experience. Now, why did I decide to make this slight change in today's video? Well, it's because professional colleague over at Qualtrics in Australia. Qualtrics, for those that don't know, is one of the world's leading software as a service providers in the customer and experience management space. Their platform allows organizations of all sizes to understand how their customers, employees, how their products are performing, how their brand is perceived and loved or otherwise. The company has a phenomenal growth story. I have been a customer of theirs for a very long time and absolutely have loved their product. So I'm not sponsored by Qualtrics. There are definitely a number of platforms out there and I would encourage you to not worry about the platform initially but get really clear about what you want to measure and then you can talk platforms after that. The one thing I will say is it doesn't matter how small your business is. There is no reason for you not collecting feedback from your customers and your employees. However, today a colleague, professional colleague at Qualtrics Australia shared some research in the Australian market that showed that bad customer service costs Australian businesses $74 billion annually. And that's just astonishing. Even if your product margin, your, your, your net product, your gross product margin even is 20%, that's 40, $14 billion of gross profit Australian businesses are giving up. I'm just astounded that businesses in 2024 are prepared to lose that amount of money, despite the fact that it is much easier to implement and maintain a intentional focus on delivering customer service. Delivering customer experiences that matter. Now, interesting stat here. Customer service costs 70 bad customer service costs $74 billion annually here in Australia in lost revenue. Now I make the distinction here. Customer service is just part a transactional part of the customer's experience. So the real impact on not focusing on customer experience is likely to be significantly higher than that. But it made me wonder, have it? Has Qualtrics done this research in a global sense? Because I know Forrester has and I've often quoted Forrester data and yes they have at a global level. Custom from a customer a Bad Customer Service Perspective the Qualtrics research from the Qualtrics Institute has found that $3.7 trillion annually is basically lost through bad customer service. Now that's a big number and it's not a number that most of us have to think about each day. But the clear message is people are interested in customer service. They're interested in great customer service. Companies of all all shapes and sizes in every industry benefit from delivering a consistent loved customer experience and improving it over time, even if they are currently top of the pops. And that when they do so, those businesses outperform their competitors. Now the good news is you don't have to be 10% better than your competitors. You just can sell consistently need to be 1% better than your competitors. So if your business isn't measuring how your customers believe the service experience with you is how they rate their customer experience with you, then now is the time to start. And there are plenty of ways you can do it that are low cost. But if you don't understand why your customers love you and why they don't love you, then you are a victim of giving up revenue and profit because you were too lazy to ask the question and then do something about the feedback. You and your business can stand out in 2024. You can thrive in 2024 and break through and have success if you focus consistently on delivering an experience that is just 1% better than your competitors. So I hope that's given you some food for thought and motivation to really pay attention to the experience that you deliver to your customers to eradicate that bad customer service in your business and be famous for delighting your customers and building lifetime owners and advocates. I'm Jason S. Bradshaw and until next time I wish you great success.
