Inside the Fifth Edition of the State of Service Report

Considering that 88% of customers say the experience a company provides is as important as its products, it’s never been more important for companies to deliver efficient service. For customers, that means prompt attention and streamlined communications: 83% of customers expect to interact with someone immediately when they contact a company and another 83% expect to solve complex problems by talking to one person.

In practice, however, companies find it challenging to combine efficiency and engagement. Not only do one-third of service agents admit that they struggle to resolve customer inquiries promptly, another 37% say customers often have to contact them more than once to solve issues. Additionally, even though 85% of customers expect consistent interactions, 60% say it generally feels like they’re communicating with separate departments instead of one company. And perhaps what is most frustrating of all is that 66% of customers say they often have to repeat or re-explain information to different representatives.

To bridge the gap, many companies are investing in technology that delivers a holistic view of their customers. In fact, our research found that 62% of service professionals say departments such as service, sales, and marketing use the same customer relationship management (CRM) platform. Why does that matter? Unifying data on one CRM enables automation and artificial intelligence (AI), tools recognised to boost efficiency, agent productivity, and even customer satisfaction. And as generative AI begins to supercharge efficiency and personalisation, this holistic approach will result in even larger gains for the business.

Here’s how. Automation and AI form the foundation of digital self-service experiences like chatbots, customer portals, and help centers. When customers can interact with a chatbot to get the answer to a question or use a guided journey to start a return, for example, live agents have the time they need to manage more complicated requests. That’s critically important for the 78% of service agents who report difficulty balancing speed and quality. But even better, our research shows that 59% of customers actually prefer self-service when they have a simple question or issue.

When it comes to more complex problems, voice is still the overwhelming favorite: 81% of service professionals say the phone is a preferred channel for complex issues, up from 76% in 2020. Yet even voice has evolved beyond the desk phone, with 52% of agents using an agent console or computer to take phone calls in lieu of a landline and 53% using digital call transcription to increase productivity.

Field service is no longer the sole domain of utilities and communications companies. From professional services to life sciences and even retail, businesses across multiple industries view field service as an essential part of their operations strategy: 86% of decision makers whose organisations have field service call it critical to scaling their business, and 84% see major returns from their field service investments.

Frontline service workers, for their part, are reaching parity with their colleagues who work in the contact center: 90% of frontline service workers are satisfied with the timeliness, accessibility, and accuracy of the information they have in the field. In addition, 90% say the technology they have in the field gives them the same information as their contact center colleagues. That empowers agility and enables them to provide the same level of support. Yet challenges remain: As 33% of frontline service workforces are contractors, 80% of decision makers say equipping them adequately is a challenge.

Companies with field service organisations broadly recognise that delivering customer satisfaction requires specialised tools: 88% of field service organisations use field service-specific solutions. Significant differences are evident, though, between high-performing organisations that report excellent customer satisfaction and underperformers with fair or poor customer satisfaction. High performers, for example, are more likely to report benefits like better ability to offer contactless service (54% versus 30%), higher productivity (55% versus 32%), and improved job satisfaction (53% versus 31%).

With research showing that a happier workforce leads to higher revenue, it’s no surprise that 85% of service leaders see a direct link between the employee experience and the customer experience. For an increasing number of employees, the future looks bright: 85% of agents see a clear career path, up from 67% in 2020. Yet companies are still concerned: 67% of decision makers say retaining employees is a major or moderate challenge. To keep them engaged, 81% of companies are making significant investments in employee training.

Companies aren’t stopping there. The shift away from the office as the default workplace has emerged as a key workforce strategy: 76% of service professionals say they’re allowed to choose where they work, with only 35% working primarily from a dedicated physical location like an office or a store. Organisations are still eager to bring employees together face-to-face, however, with companies planning to hold team-building (75%) and training (70%) events in person.