The importance of Customer Service in 2020

40 Customer Service Stats to Know in 2020

Businesses and consumers have a very different relationship than they did a few decades ago. Back then, what mattered most to customers were low prices and high quality. Advertisements were more product-oriented, focusing on the tangible benefits of the product and how high quality correlated with a better brand.

Nowadays, many advertisements are becoming consumer-oriented, focusing on the positive experiences that will result from a customer's use of the product. This is due to the increasing emphasis on customer experience.


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While customers still care about price and quality of products, a new factor in choosing between competing brands is the additional value of customer service. Customers would rather invest more in a brand that focuses on their needs and constantly provides value beyond the initial purchase.

There are many ways to make your brand more customer-focused. Consider the following statistics on customer service to help you brainstorm new strategies for strengthening your customer service team.

40 Customer Service Stats to Know in 2020

The Importance of High-Quality Customer Service

1. 90% of Americans use customer service as a factor in deciding whether or not to do business with a company. (American Express)

2. Investing in new customers is between 5 and 25 times more expensive than retaining existing ones. (Invesp)

3. 49% of American consumers switched companies last year due to poor customer service. (New Voice Media)

4. 81% of Americans believe that business are either meeting or exceeding their customer service expectations. (American Express)

The Power of Great Customer Service

5. 73% of customers fall in love with a brand and remain loyal because of friendly customer service reps. (RightNow)

6. 68% of customers said the service rep was key to a recent positive service experience. 62% said that this was also due in part to the rep's knowledge or resourcefulness. (American Express)

7. Consumers are willing to spend 17% more on a company that has outstanding customer service. (American Express)

8. 77% of customers would recommend a brand to a friend after having a single positive experience. (Temkin Group)

9. 93% of customers are likely to make repeat purchases with companies who offer excellent customer service. (HubSpot Research)

The Cost of Poor Customer Service

10. The #1 reason customers switch to a new brand is feeling unappreciated. (New Voice Media)

11. 50% of customers have left a brand for a competitor who was able to stay more relevant and better satisfy their needs. (InMoment)

12. It takes 12 positive customer experiences to make up for one negative experience. (Glance)

13. 78% of customers have backed out of a purchased due to a poor customer experience. (Glance)

The Best Channels for Customer Service

14. 54% of customers used email for customer service last year, making it the most used digital channel for customer service. (Forrester)

15. 62% of customers want to communicate with companies via email for customer service. 48% want to use the phone, 42% live chat, and 36% "Contact Us" forms." (HubSpot Research)

16. Customers prefer knowledge bases over all other self-service channels. (Forrester)

17. 79% of American internet users are on Facebook, making it the most popular social media platform. (Lyfe Marketing)

18. Millenials prefer live chat for customer service over every other communication channel. (Comm100)

The Frustrations Customers Face

19. 33% of customers are most frustrated by having to wait on hold. 33% are most frustrated by having to repeat themselves to multiple support reps (HubSpot Research).

20. 50% of shoppers believe their feedback doesn't go to anyone who can actually act on it. (Qualtrics)

21. 40% of customers want customer service reps to take care of their needs faster. (American Express)

22. A customer is four times more likely to switch a competitor if the problem they're having is service-based. (Bain and Company)

Sharing Customer Service Experiences

23. Happy American customers will share their positive experiences with about 11 people. (American Express)

24. Angry American customers will share their negative experience with about 15 people. (American Express)

25. 35% of American customers post negative comments about companies on social media, but 53% post positive comments. (American Express).

26. 62% of customers say they share their bad experiences with others. (Salesforce Research)

The Business Opportunity of Customer Service

27. 80% of American customers are satisfied with the customer service currently provided by their businesses (American Express).

28. Increasing customer retention rates by just 5% can increase profits by between 25% and 95%. (Bain and Company)

29. Businesses can grow revenues between 4% and 8% above their market when they prioritize better customer service experiences. (Bain & Company)

30. 73% of companies with "above average" customer experiences perform better financially than their competitors. (Temkin Group)

Customer Experience Statistics

31. 70% of the customer's journey is based on how the customer feels they are being treated. (McKinsey)

32. Your online conversion rate can improve by roughly 8% when you include personalized consumer experiences. (Trust Pilot)

33. On average, customer service agents only ask for a customer's name 21% of the time. (Glance)

34. 71% of consumers (age 16 - 24) believe that a quick response from your service team can drastically improve their customer experience. (Comm100)

35. On average, companies that invest in their customer experience also observe an improvement in employee engagement by roughly 20%. (Mckinsey

Customer Satisfaction Statistics

36. 90% of customers rate an "immediate" response as important or very important when they have a customer service question. 60% of customers define "immediate" as 10 minutes or less. (HubSpot Research)

37. 87% of consumers believe that companies need to provide a more consistent customer experience. (Zendesk)

38. 35% of customers expect to be able to contact the same customer service agent through any communication channel. (Zendesk)

39. 73% of consumers say that valuing their time is the most important thing a company can do when providing customer service. (Forrester) 

40. An NPS® promoter score has a customer lifetime value that's 600% - 1400% higher than a detractor. (Bain)

For more reasons to invest in your customer service team, read about the importance of customer service.