Twitter
Facebook
Linked In
RSS
Login or Register
New to InternetRetailing?
Register Now
Internet Retailing
Site Menu
More
User Menu
More
Mention Me
ProSKU
Beetle
IRUK Top500 The Customer Report: 2018

IRUK Top500 The Customer Report: 2018

You are in: > Home > Themes > Customer

This is your 1 complimentary article for this month

Become a member for unlimited and immediate access.


Register
Already a member? Log in here

StellaService and Ovum put a value on online customer service

Linked InTwitterFacebookeCard


A new Ovum survey commissioned by customer service ratings agency StellaService has for the first time put a value on great online customer service — and, for 2010, says that it is worth $17.3 billion.

The survey, 'The Value of Great Customer Service,' found that across all online businesses US consumers are willing to spend approximately 9.7% more for great customer service. And, for online retailers, there is even more to be gained with consumers willing to pay a premium of 10.7% for great service.

Based on the average amount spent by online consumers each year, the survey found that $17.3 billion of value can be created in 2010 by internet retailers that offer excellent customer service. "The figures were calculated based on average spend per person per year with each type of company," explains Aphrodite Brinsmead, an analyst on Ovum's customer interaction team. "Value is the extra percentage that people are willing to spend with various types of companies as a result of great customer service."

For the online retail category, the researchers found that the leading factor or consideration for great customer service is speed of delivery. Helpfulness of customer service representatives and ease of access to information on a company's website also topped the list for important elements of customer service for internet retailers.

"We've always known that consumers value great service, but this study is the first to quantify it in terms that people and businesses understand — in dollars and cents," says Jordy Leiser, co-founder and CEO of StellaService. "It's no secret why the companies we've identified as the elite online retailers (such as Zappos.com, Diapers.com, Staples.com and LLBean.com) have steam-rolled through this difficult economic environment; they treat their customers like family and friends. Consumers gravitate toward companies that provide exceptional service, especially in the world of ecommerce."

"The opportunity for internet retailers to build their businesses around providing great service is too big to ignore," he added. "By improving the basic practices and policies that matter most to online consumers, a business can quickly and dramatically bolster its competitive position, improve its financial profile and increase customer loyalty. It's a win for businesses, a win for investors and, most importantly, a win for consumers."

Linked InTwitterFacebookeCard

Become a Member

Create your own public-facing profile
Gain access to all Top500 research
Personalise your experience on IR.net
Internet Retailing
We are the magazine, portal and research source for European ecommerce and multichannel retail, hosting the board-level conversation for retailers, pureplays and brands across all of our platforms. Join the conversation.

© InternetRetailing Media

Latest Tweet

Internet Retailing
Tamebay
eDelivery
Twitter
Facebook
Linked In
Youtube
RSS
RSS
Youtube
Google
Linked In
Facebook
Twitter