Here's why consumers are so frustrated with customer service through social media

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If you've ever been frustrated with a company's customer service through its social media presence, then you're not alone.

Social media typically receives criticism with regard to customer service, and as a result it is the least used channel by shoppers. Many consumers may believe that requests through social media should be handled quickly and efficiently because of social media's inherent immediacy, but the problem is that retailers simply aren't built to respond so quickly.

NM Incite reports that 47% of all U.S. social media users have tried some form of social media as a way to access customer service. A separate report from the North Ridge Group reveals that 33% of consumers reported that their social media customer service requests typically remain unanswered.

That is not good news for retailers, as 42% of all U.S. consumers expect companies to respond to their social media customer service requests within 60 minutes, according to Convince & Convert, and an additional 32% expect an answer within 30 minutes.

And this disconnect between retailer and consumer is affecting interaction between the two through social media. The North Ridge Group study reveals that slightly more than half of all consumers intend to reduce or completely eliminate contact with brands through social media in 2016.

So brands that want to foster engagement through social media must figure out a way to answer their customers promptly or risk losing the opportunity for a customer to share a brand post or watch a brand video.

The problem, though, is that social media is not built to serve expressly as a platform for customer service. Many brands and retailers use it to create a presence and draw in customers. The social media representatives at these brands typically need to upload photos, write posts, and promote the brand while handling customer service requests at the same time.

And social media is not the only channel through which a brand must provide stellar customer service. The quality of customer service consumers experience through all channels (email, phone, etc.) can significantly impact a retailer's bottom line. In fact, 66% of US consumers are willing to spend more money with a company that provides them with excellent customer service, according to Microsoft, while 60% of consumers say they have not completed an intended purchase due to a poor customer service experience.

As consumers increasingly buy products online that they haven't seen in person — leaving room for purchasing errors and buyer's remorse — it's now more important than ever to provide customers with positive customer service experiences.

Nancee Halpin, research associate for BI Intelligence, Business Insider's premium research service, has compiled a detailed report on customer service that looks at why customer service matters, which stalwart channels are still top performers, and which new channels have the most potential. It also takes a look at why luxury retailers, or even just retailers with high-income consumers, need to be especially attuned to providing solid customer service help.

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Here are some key takeaways from the report:

• Even a single negative customer service experience can deter potential customers from spending money with a company. 60% of US consumers have not completed an intended purchase based on a poor customer service experience. That translates into an estimated $83 billion in lost sales for US retailers.
• Negative customer service experiences loom larger than positive ones. It takes 12 positive customer experiences to negate the poor impression left behind from one unresolved, bad experience.
• Lack of effective customer service on social media seems to be spilling over into users' willingness to interact with brands at all on the channel. Just over half of consumers plan on either not contacting or reducing their contact with brands through social media this year.
• Providing the best-quality customer service is especially important to luxury retailers, whose customers expect a personalized experience to enhance the exclusivity that comes with luxury retail. Nearly half of all luxury consumers demand an apology, refund, or incentives following a poor customer service experience.
• Traditional channels like phone and email are still preferred by consumers, but new technologies — like messaging apps and live chat — are beginning to take off.

In full, the report:

• Examines why customer service matters more for e-commerce retailers.
• Explains the consequences of both positive and negative customer service experiences for retailers.
• Compares various channels for customer service and discusses which ones perform best.
• Assesses the future of customer service for a digitally native consumer audience.
• Discusses which retailers and industries are affected most by customer service experiences.

To get your copy of this invaluable guide, choose one of these options:

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The choice is yours. But however you decide to acquire this report, you’ve given yourself a powerful advantage in your understanding of the importance of customer service.