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however, and more recently, social media such as blogs, tweeting, and Facebook, this statistic is considered very outdated.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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Posted by Susan Hoekstra at 1/14/2010 7:00 AM
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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