The Cost of Losing Customers
The Harvard Business Review reports that if you can prevent 5% of your customers from leaving, you can increase your bottom line profit by 25–95%.
A US News and World Report study found that the average American business loses 15% of its customer base each year:
- 68% of customers who stop buying from one business and go to another do so because of poor or indifferent service.
- 14% leave because of an unsatisfactorily resolved dispute or complaint.
- We have meetings about customer service once in a while and tell everyone they should give good customer service.
- 9% leave because of price.
- 5% go elsewhere based on a recommendation.
- % die.
So 82% go somewhere else because of a customer service issue!