Why some of the world’s most hated companies are also the most profitable
These smart technologies determine the caller’s level of anger by remotely monitoring the tone and pace of the voice. If the level of anger reflects a chance the customer may leave the company, then the call is transferred to a more experience operator to handle the complaint. This allows companies to exploit customers’ individual differences in age, race, and gender so that only the “squeakiest wheels” are compensated.
WHO STRUGGLES WITH BAD CUSTOMER SERVICE?
Not surprisingly, surveys show that chatbots are not improving customer service. This is especially true for certain segments of consumers above others.
Consumers experience hassles in different ways. For instance, navigating an online complaint process is generally harder for older people. Additionally, African American and Latino customers are less inclined to complain than college-educated whites. In addition, women get more annoyed than men when dealing with bad customer service. This all suggests that the tiered process may hit vulnerable groups in our society harder. Therefore, elderly customers and some minority groups will be less inclined to obtain a refund.
BAD CUSTOMER SERVICE DOESN’T HARM PROFITS
It seems puzzling, therefore, to see companies repeatedly pledge that they are committed to great customer service. For example, Comcast states that “Our customers deserve the best experience every time they interact with us,” but consumers are increasingly unsatisfied with their service. Even United Airlines, whose poor customer service inspired a song and video with nearly 20 million views, claims to offer a “level of service to our customers that makes [United] a leader in the airline industry.”
But our research suggests that in markets without much competition, companies are more likely to implement a tiered complaint process and profit from the reduced payouts to customers. This explains why internet service providers, airlines, and cable companies consistently receive the ire of survey respondents.
Anthony Dukes is a professor of marketing at the University of Southern California and Yi Zhu is an associate professor of marketing at the University of Minnesota. This article is republished from The Conversation under a Creative Commons license. Read the original article.
Read original article: here
Amsterdam is one of Europe’s leading tech-hubs. Companies are enhancing their international orientation in order to draw in talented internationals who can help them realise their projects. Esti, IT recruitment Amsterdam, attracts and retains international IT talent by guiding companies to develop a culture in which international professionals thrive. The perfect match is not only about meeting 100% of the requirements but most of all about change, progress and new experiences. Esti focusses on the personal motivation and ambition of each professional.