While we often think of customer service as existing solely to solve customer problems and returns, true customer service enthusiasts know that how you treat your customers can majorly impact your branding and the growth of your business. In fact, extensive research has shown that customer service is one of the most essential elements for increasing brand loyalty.

Don’t believe us? Here are some interesting statistics that back it up:

  • A 2017 Blackhawk Network report found that 94% of customers are loyal to brands that deliver consistently strong customer experiences, while 73% are loyal because of effective customer service.

  • According to CMO Council, 47% of consumers stop doing business with a brand that continues to frustrate them.

  • A study by Rare Consulting found that 83% of customers identified their brand loyalty as stemming from the trust established through good customer service

    • Specifically, customers cited both quality products and services as well as responsive customer service as sources of this trust

These are just a few of the studies that prove how much you value your customers is correlated to delivering measurable results. Retaining new customers is equally important as turning returning customers into lifetime brand enthusiasts.

Beyond the statistics, though, there are several common-sense reasons that customer service leads to brand loyalty:

  • Everyone prefers a sure thing - Once you find a restaurant you love, a trusted auto mechanic, or an open and honest realtor, you stick with them, right? Customers always prefer interacting and purchasing from businesses without unpleasant, hidden surprises. If you invest in your customer service platform and demonstrate that your support staff can be relied on to provide relevant and timely solutions, customers will be more likely to stop looking at the competition and stick with you.

  • Truly exceptional customer service generates word-of-mouth advertising - When customer service is generic, no one remembers the interaction. Try to recall the best customer service experience you ever had. Why did it stand out? When a service agent goes above and beyond for you, exceptional customer service becomes a memorable customer experience. Even more important for business owners, people love to share good examples of customer service. Using customer service to generate positive word-of-mouth advertising can save you marketing money and deliver new customer leads – a true win-win for anyone.

  • In the impersonal digital marketplace, a little personal touch goes a long way - From chatbots and other AI customer service options to call center staff unfamiliar with the business they are representing, impersonal customer service is everywhere in today’s digital economy. That’s why personalized, caring customer service agents are even more effective than before. Your customers will appreciate the effort and true consideration for their individual issues and values, putting you ahead of your competitors who are delivering mediocre customer service solutions.