What's The Big Deal? It's Only One Customer Complaint ...
Very often we hear the 1983 TARP study recited that states one disgruntled client speaks with an average of 10 clients. With the advent of the internet and e-mail however, and more recently, social media such as blogs, tweeting, and Facebook, this statistic is considered very outdated. Which is why I was so happy when TARP Worldwide sent me these updated statistics from their 2008 research:One unhappy client who escalates their issue to management represents 50 clients, on average, who either complain locally or don't complain at all.
75% will complain to 8 others about the issue either face-to-face or via the phone which represents:
296 people who have been told directly who then tell 237 more people
13% will complain to 60 others via blog, tweet, or social media, such as Facebook which represents:
420 people who have been told directly who then tell 336 more people
12% will complain via e-mail or chat with 8 people which represents:
48 people who have been told via chat who in turn tell 38 more more people
In summary, one escalated complaint = an average of 50 clients and 1,375 cases of word of mouth! So the next time you receive a complaint, handle it seriously, realizing the true cost and realizing that what you are dealing with is just the tip of the iceberg.
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Categories: Service Statistics,Customer Service Statistics
Tags: Good Customer Service Susan Hoekstra customer service statistics Leading service The Service Journey client loyalty TARP Worldwide Bad Service
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3/7/2010 2:25 PM
uberVU - social comments wrote:
This post was mentioned on Twitter by BV_Brian: What's the Big Deal? It's Only One Customer Complaint: http://bit.ly/7xAAOL -
3/16/2010 9:04 AM
BLOG.TheServiceJourney.COM wrote:
If you read my book The Service Journey, you know I have gained my conviction for great service by having gone through situations which gave me a
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4/14/2010 11:58 AM
BLOG.TheServiceJourney.COM wrote:
My son is a junior in high school now. Getting him to this point has not been easy, because he's the type of person who, when given a homework assignment, determines whether or not it's worth his time. 'Why do I need to know that?' Is something I hear frequently. It's not as if he's not capable. When he wanted to get his drivers' permit, he studied online for 20 minutes and passed with flying colors. Studying is simply not ...
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6/11/2010 12:34 PM
BLOG.TheServiceJourney.COM wrote:
My son is a junior in high school now. Getting him to this point has not been easy, because he's the type of person who, when given a homework assignment, determines whether or not it's worth his time. 'Why do I need to know that?' Is something I hear frequently. It's not as if he's not capable. When he wanted to get his drivers' permit, he studied online for 20 minutes and passed with flying colors. Studying is simply not ...
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6/11/2010 12:39 PM
BLOG.TheServiceJourney.COM wrote:
Today, nearly every business -
6/11/2010 12:43 PM
BLOG.TheServiceJourney.COM wrote:
Such a very informative blog
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One unhappy client represents 50 clients perhaps, but one person who listens to the unhappy client does not represent 50 people who get the "word of mouth". It's a false extrapolation.
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Thanks Simon for your feedback. I'm not sure I'm following, but the study does not say 50 people get the word of mouth. It says that for every person who complains, there are a total of 50 people who had the same issue; most people simply didn't complain. It does go on to say that 75% of the people who had a problem (regardless of whether or not they complained to a manager) will tell others about it.
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