Studies within the customer service and call center industry show that 7 out of 10 consumers placed on hold longer than 90 seconds will form an adverse opinion about a company even if their prior experiences have been positive. Besides alienating customers, not planning for peak contact periods almost always creates higher expenses and reduces opportunities to optimize revenues as well.
Long hold times cause higher chargebacks because customers often get frustrated and call their banks instead of “waiting for the next available CSR”. In fact, chargebacks increase exponentially the longer a customer is on hold past 90 seconds. Additionally, frustrated customers are known to take more time on the phone to vent—thus costing more in per-minute CSR expense. Finally, there is a significant yet often overlooked expense incurred by alienating your customers enough to cause them to complain externally. These unhappy consumers are more likely to complain to friends (or publicly on review and social media sites) and therefore damage the value of a brand and make new customer acquisition harder.
Revenues (and profits) decrease when customers become frustrated at the point of contact because they are less likely to take a save offer, up-sell, subscription hold or other incentive. By providing pre-cancellation options to customers who receive quick service, subscription/recurring billing companies can increase revenue-per-customer by 5% to 10% and profits significantly more.
By using RevGuard’s patent-pending optimization tools that interact with virtually any CRM, companies can service customers “with no hold times,” 24 hours a day. In addition, built in split-testing options quickly determine which offers and messages consumers like best. This ensures that companies make the most money possible and improve their online reputations and brand value.