Did you know that in 2024, 88% of customers think customer service is more important than ever? And the price of getting it wrong? US companies lose an astounding $75 billion annually due to poor customer service.
It’s not a small figure, and it paints a picture of just how much customer service is valued regarding business outcomes.
Customer service and CX often get mixed up, but here’s the difference: customer service is a reactive approach to managing customer interactions, while CX is a proactive approach to helping customers have a pleasant experience from the onset to the end
However, why does it all matter? Because brands that prioritize outstanding customer service see their revenues increase by 4% to 8% above their market average.
Stick with me, and I’ll show you how you can do so!
So, let’s jump in the water and start how to ‘wow’ your customers, like the best customer service companies.
Why is Customer Service Important for Your Business?
Seamless customer service has evolved from being a nice-to-have to being a must-have for customer service companies to drive loyalty and set your brand apart. Here’s why:
1. Customer Service is the New Currency of Loyalty
The truth is, today, loyalty is a product of customer service experience. As per Salesforce, 88% of customers say good customer service makes them more likely to purchase again. In fact, 75% of customers will stick with a company, even after a mistake, if the service makes up for it. So, top-notch service experience can seriously up your customer lifetime value and loyalty.
2. Revenue Growth Hinges on Experience, Not Just Product
The impact of customer service on revenue is striking. Good customer service changes buying habits for 87% of customers and boosts long-term revenue. In fact, as per G2, after a great customer service experience, 91% of customers are more likely to make another purchase, and 42% of customers are willing to pay more for a friendly customer service experience. In simple terms, it results in satisfied customers, which eventually increases revenue.
3. Customer Service as Your Advantage
In a crowded marketplace where rivals can easily imitate your offerings, customer service becomes your unique advantage. For 60% of customers, excellent service is the deciding factor between brands. Interestingly, 85% of customers are willing to go out of their way to do business with a company that offers better service. So, if you’re looking to stand out, customer service can be your superpower.
4. Word-of-Mouth is Amplified by Experience
In the modern world, one positive interaction can attract new prospects, while a single negative experience can turn people away. Customers who receive good customer service are 38% more likely to recommend the company compared to those who had a bad experience. Additionally, 17% of consumers actively spread the word about a bad customer service experience to friends and neighbors.
With this, we have understood that ‘why’ customer service is important, so now moving on to the next question, which is—how can its measurement be done?
Top 15 Customer Service Companies With the Best CX
In a world where CX rules all charts, these customer service companies have leveraged CX to their advantage. Here’s why they’re at the top of their game:
1. Amazon
Why They’re Great: Reflect on instances in the past when you were able to easily order, reorder, and return products on Amazon. The answer to this would be probably a lot. Amazon’s policies, such as free shipping on eligible orders and automatic refunds, are some of the strategies that the company is willing to go the extra mile. Amazon’s membership program Prime is ‘THE’ key to modern customers’ desire for ease and immediacy, with benefits like two-day shipping, access to movies, TV shows, and Kindle rentals, all at your fingertips.
Impact: Amazon is indeed customers’ favorite due to its very obvious customer-first approach and continuous drive toward creating something new. Forrester Research stated that this led to a 20% average annual revenue growth in the last decade.
No wonder Amazon’s NPS stands at 73 and its score in the American Customer Satisfaction Index (ACSI) was 83 out of 100, showing a positive customer sentiment.
2. Apple
Why They’re Great: Apple turns casual buyers into brand ambassadors with design and utility. Their innovative products and top-notch quality create an experience that just works. Apple’s philosophy of customer service aligns with Steve Jobs’ idea about how simple the process should be for the customer. Their Genius Bar offers personalized support, effective problem resolution, and a superior experience for device repairs or product advice. This tailored approach helps them to foster a stronger emotional bond with their customers.
Impact: Apple’s focus on design, innovation, and a supportive environment boosts customer loyalty and its reputation as a leader in both technology and service.
In the 2024 ACSI smartphone ratings, Apple continues to lead with a score of 82 for customer satisfaction. In 2023, Apple’s NPS was 61, comfortably above the industry average of 58 in tech and software.
3. Southwest Airlines
Why They’re Great: Southwest Airlines is famous for its customer care services and is mostly preferred by customers. They retained the top position in customer satisfaction for the third time in a row in J.D. Power’s 2024 North American Airline Satisfaction Study. Their no-change fee policy and free checked bags make air travel easier. Recently, they introduced real-time bag tracking, online check-in, faster WiFi, and more on new planes.
Impact: These practices are customer-oriented and have led to a high level of satisfaction among the customers, hence high chances of repeat business, which are key factors that set Southwest Airlines apart from other airlines.
Specifically, on the 2024 ACSI, Southwest Airlines scored 78, which is quite impressive.
4. Costco
Why They’re Great: Costco gives easy returns, home delivery, in-store pickup, and helpful staff that makes shopping easy for the customers. They focus on delivering high product quality and value, offer extended warranties on electronics and appliances, and have self-checkout kiosks to improve the overall CX. Costco excels in customer service by offering low prices, environmentally friendly packaging, and a membership model that customers truly appreciate.
Impact: The emphasis on service, for example, exclusive membership-based pricing, flexibility to return any purchase without any questions asked, focus on its employees, and value is the reason why Costco enjoys customer loyalty and strategic market positioning.
Costco leads the race for the seventh year in a row with first position in the 2024 ASCI for general merchandise retailers, securing a score of 82.
5. T-Mobile
Why They’re Great: T-Mobile’s out-of-the-box concept of “Un-carrier” changed the norms of the wireless carrier industry. They do not make their customers go through annoying experiences such as forcing annual service contracts, hiked-up prices, and hidden charges. T-Mobile makes mobile service affordable and less stressful because it provides simple and genuine price options. Perhaps its greatest innovation is the T-Mobile Tuesdays app that always offers customers bonuses, special offers, discounts, and free stuff to make the customers feel special.
Impact: T-Mobile’s CX and customer-centric innovations have earned it top honors in J.D. Power’s 2024 U.S. Wireless Customer Care Study for the 13th consecutive time in six years. By solving customers’ challenges, focusing on simplicity, and offering rewards, they enjoy increased loyalty and a competitive edge in the market.
6. The United Services Automobile Association (USAA)
Why They’re Great: Military families are the focus of USAA, and they offer specific services for this demographic. They provide full-spectrum support, financial services, and insurance solutions tailored to the needs of military members. They consider quality, timely, and responsive care as a priority in the delivery of services. For example, they use AI to identify significant life phases, such as when their customers decide to purchase a house; for example, they will be ready with the necessary loan products, home insurance, and a roadmap of steps to follow.
Impact: Their digital banking offerings and tailored financial guidance lead to impressive satisfaction and loyalty among their clientele.
In fact, USAA excels in customer satisfaction, scoring 711 out of 1,000 in J.D. Power’s 2024 survey, which is above the industry average of 676.
7. Chick-fil-A
Why They’re Great: Chick-fil-A’s success all boils down to their unwavering commitment to hospitality and a customer-centric approach. Chick-fil-A’s franchise process is highly selective; franchisees receive multi-week training and must work in their restaurants to ensure high service standards. The quality and freshness of their products, locally sourced ingredients, and in-house biscuit-making highlight their efforts towards high-quality food services.
Impact: Chick-fil-A has a clear focus on the values, which are hospitality, high quality, and customer-obsessed.
Moreover, in the 2024 ACSI, Chick-fil-A takes first place in overall satisfaction within the fast-food restaurant space, having a satisfaction score of 83 out of 100.
8. Disney
Why They’re Great: Disney’s CX is all about creating magical moments. Their theme parks and entertainment offerings offer unique experiences with the help of employees who know how to make it Disney. They have incorporated data collection methods like scanning guests’ shoes in order to make personal experiences that are in line with their preferences and activities. The My Disney Experience application and MagicBands give guests timely and convenient information, as well as making use of technology in the experience in an accessible manner.
Impact: Disney’s dedication to creating magical experiences results in customer loyalty and repeat visits. In fact, in September 2024, Disney NPS is an impressive 37, well above the industry average of 32.
9. Ritz-Carlton
Why They’re Great: Ritz-Carlton’s dedication to delivering an unparalleled service experience sets a high bar in the hospitality sector. Their service culture is personalization-centric, with staff trained to anticipate and cater to guest needs. Special touches and extra services help to create a unique experience where every guest feels special.
Impact: High guest loyalty and positive word-of-mouth reinforce Ritz-Carlton’s reputation as a leader in luxury hospitality. Ritz-Carlton’s NPS is 39, and it’s the only hotel chain to win the Malcolm Baldrige National Quality Award twice from the U.S. Department of Commerce.
10. HubSpot
Why They’re Great: HubSpot is an inbound marketing software that consists of an integrated platform of marketing, sales, and customer service. Through HubSpot Academy and customer support community, they enable users to make efficient use of the various features of the platform.
Impact: HubSpot’s powerful integrated platform and commitment to education and accessibility have driven high customer satisfaction and retention.
In fact, in 2024, HubSpot was recognized as the #2 Global Software Company on G2’s list and earned a 4.4/5.0 rating from over 11,000 reviews.
11. IBM
Why They’re Great: IBM is adept at delivering technology services that focus on customer needs, providing extensive support and consulting to help organizations implement complex technologies effectively. With almost 60 design studios worldwide, they leverage local knowledge, AI, and tech expertise to assist their clients, who are strategists, designers, developers, and data specialists. Their dedication to innovation and providing customer-oriented service result in individualized solutions.
Impact: IBM’s high client retention and strong industry reputation reinforce its position as a leader in technology solutions. In fact, IBM’s products scored big in G2’s 2024 Best Software Awards, landing 17 spots on the list.
12. IKEA
Why They’re Great: IKEA revolutionizes home furnishing with its flat-pack furniture model, making stylish and functional products accessible and affordable. Their stores are designed to be navigable and inspiring, with a clear layout and helpful displays. IKEA encourages a do-it-yourself process and precise instructions on how to put the furniture together, so the customers do not need much help in the process of implementing their home decoration visions.
Impact: Customer satisfaction and the global market strategy contribute to the success of IKEA in the home furnishing industry.
13. Tesla
Why They’re Great: Tesla is an innovative company that aims to change the experience of driving. Their commitment to innovation is reflected in such features as Autopilot, which allows the car to drive on its own, and over-the-air software updates that enhance the car and add new capabilities without a visit to the service center. Tesla’s direct-to-consumer model enables customers to configure the vehicle online and have it delivered to their doorstep.
Impact: Through its dedication to innovation and customer satisfaction, Tesla has achieved customer retention and established itself as a market leader in the electric vehicle industry.
In fact, Tesla’s website has been ranked the second best for prospective car buyers, with a strong preference for automakers offering EVs as per J.D. Power’s 2024 Winter U.S. Manufacturer Website Evaluation Study. Tesla’s NPS is an impressive 97.
14. Warby Parker
Why They’re Great: Warby Parker has revolutionized eyewear by offering affordable, high-quality glasses with added convenience. Their Home Try-On program helps the customers choose five pairs to try on at home before making a purchase decision. Warby Parker’s virtual try-on feature uses augmented reality to let customers see how different frames look on their faces from the comfort of their homes. Also, their focus on social responsibility, like the “Buy a Pair, Give a Pair” program, complements a strategy where business success is the key to social welfare.
Impact: The strategic ideas that Warby Parker has employed to alter the eyewear industry made the company efficiently occupy a large share of the market, and act as an example of effective customer-oriented retailing.
15. FedEx
Why They’re Great: Reliability and speed are some of the characteristics that FedEx has developed in the shipping and logistics business. Their tracking technology provides real-time updates and allows customers to monitor their shipments. FedEx’s commitment to customer service includes a range of delivery options to meet different needs, from overnight shipping to international delivery. The company’s focus on innovation, such as the use of automated sorting systems and advanced logistics solutions, enhances operational efficiency and customer satisfaction.
Impact: As a result of its commitment to ensure delivery services that are reliable, fast, and customer-centric, FedEx has strengthened its position within the logistics sector, and customers have placed a lot of trust in the company’s services. In fact, in 2024, FedEx’s ACSI score rose to 80, up from 76 in 2023.
These customer service companies have had success stories, and there is a lot that one can learn from them; let us explore.
4 Takeaways From the Best Customer Service Companies
Let’s discover the key strategies these customer service trailblazers leverage to enhance CX.
1. Empower Your Team for Stellar Service
It is your employees who are delivering the value to the customers directly. Spend time and resources on effective training and then trust them to do whatever is in the best interest of the customer. If the employees in your team feel valued and supported enough to meet the customers’ needs, they become the brand’s promoters.
2. Offer a Smorgasbord of Support Channels and Make It Omnichannel
Make sure your customers get assistance where they feel at ease, be it through the phone, email, live chat, online community, or social media platforms. Equally important is integrating these channels so data flows seamlessly between them. This way, if a customer starts a chat and later calls for follow-up, your team can access the entire interaction history. This omnichannel experience leads to faster service, consistent experiences, and the convenience of switching channels without losing context.
3. Act on Feedback Like a Pro
Continuously collect and evaluate the feedback by using surveys, reviews, and social media to identify potential development opportunities. With AI, you can easily automate feedback collection and gather insights from channels. Using AI to analyze that feedback, you get a clearer picture of your customers’ preferences and behaviors. Based on these insights, show your customers you’re listening by acting on their suggestions, as it helps build trust and satisfaction.
Supercharge your feedback with SurveySensum’s AI power! Streamline, enhance, and simplify with real-time insights, multi-channel data gathering, journey-based dashboards, and ready-to-use survey templates.
4. Build a Culture That Revolves Around the Customer
Promote the customer-first mentality in the workforce so that every action that is being taken is viewed from the customer’s perspective. A strong customer-oriented organizational culture ensures that all organizational activities are coherent, and organizational stakeholders meet the expectations they set for the customers.
The Bottom Line
In the context of customer service, it is not just sufficient to have a good team to hit a home run; it’s necessary to understand and apply the right techniques and means that will help to succeed and reach the finish line. SurveySensum comes in handy for you to leave your competitors behind and zoom. With it, you can launch surveys based on templates that have been customized for your needs, and can make sure that every team member only sees the data that they need to know about, while its AI-powered text and sentiment analysis turns feedback into valuable insights.
SurveySensum prepares you for a victory dance by arming you with the tools for crafting the perfect experience.