Can Bad Customer Service Reduce Your Conversion Rate?

While it is certain that customer service boosts a business, a bad form of the same can heavily affect the conversion rate of a business.  Know more here.

Introduction

Can bad customer service reduce your conversion rate? Yes, it does. The conversion rate of your business could be lost due to poor customer service.

Any business’s success depends on its customers; if customers are not treated right, it will fail. You can expect several things to happen if you don’t take good care of your customers and become known for poor customer service.

This article will discuss how poor customer service can affect a business’s conversion rate and how you can avoid that.

Effect of Poor Customer Service on the Conversion Rate of a Business

• Bad Public Reputation

This can be one of the primary reasons for the low conversion rate. You are only opening yourself up to a new level of lousy brand reputation if you do not regularly consider the importance of monitoring and improving your customer service experience. Never forget – customers enjoy talking about their experiences, even more so when they are not good ones.

It has become so easy to disseminate information using social media since it has become such a huge phenomenon. Whether a single tweet, a Facebook post, or even a video, it doesn’t take long for something to go viral.

• The Loss of Existing Customers

If you provide poor customer service, you very vastly run the risk of losing your current customers. Customers tend to do business with a company for various reasons, including convenience, habit, or the fact that they are looking for a specific service or product that cannot be found elsewhere. When poor customer service is provided, these loyal and long-term customers will eventually abandon your company.

• Potential Customer Loss

 If your business doesn’t provide good customer service to your customers, you might lose them before they even purchase anything from you. Suppose a new customer walks into a business and finds himself talked down to, ignored, or subjected to inexperienced employees. In that case, they may decide to leave before even reaching for their wallets. 

If you feel that there is anything that makes doing business with you a challenge or unpleasant experience, you should take notice of this and improve your company’s service level as soon as possible.

• Loss of Credibility

It can be challenging to shake off trustworthiness for poor customer service once it has been established as a common notion. It can prevent you from working with or partnering with other businesses that might want to work with you, lowering the company’s conversion rate that could have been gained if it had partnered with or partnered with other companies.

A poor attitude towards customers may also turn away good candidates for employment who may assume that if a company is treating its customers poorly, it is also treating its employees poorly.

• The Loss of Existing Employees

As well as having an external impact poor customer service can also have an internal impact by making your best employees feel burdened by dealing with angry and frustrated customers, which can lead to losing good talent. When there is a sense of free-riding within the team, such as a good customer support executive picking up the slack for a less-than-stellar agent, there can be a sense of incompetence. In the long run, if this situation is allowed to continue, employee morale will drop, and service levels, thereby decreasing the business’s conversion rate. 

Furthermore, if an organization ties an agent’s hands and makes them follow a rigid structure with little freedom, there is a danger that some agents will feel helpless, as they cannot make their own decisions.

• Reduced Profits: 

It is generally true that businesses with poor customer service will have fewer customers and no potential for future conversion rates, resulting in lower profits and revenues for your organization. In such a case, a company can enter into an even more vicious circle in which it attempts to save money by cutting staffing or training, which will eventually result in further degradation of service levels and further financial losses. 

Conclusion

So you now might have understood that lousy customer service often leads to a low conversion rate for the business. Hence, an organization must ensure its customer service team can deliver an efficient and effective customer service experience.

The Temasys team believes the first step to excellent customer service is listening. Calls and texts are welcome anytime, anywhere, 24/7, 365 days a year. You always have access to Temasys Global Communications Network. 

With Temasys Skylink customer support tools, your business will definitely get a new life. You can contact our customer care team with any questions or concerns. Customers will experience exceptional service!