Tech Blog Navigation Menu Navigation Menu Tech Blog by Steven Austin Related The Ultimate Guide to Delivering Exceptional Customer Service in 2025 The Ultimate Guide to Training for Customer Service & Support The Complete Guide to Customer Lifecycle Management in 2025 Tags: Search for... What Is Customer Service? The 2024 Ultimate Guide Introduction Customer service can make or break a business. In today‘s competitive landscape, companies that prioritize serving and delighting their customers will reap the benefits of greater customer loyalty, higher retention rates, more referrals and ultimately faster business growth. On the flip side, poor customer experiences can quickly erode a brand‘s reputation and bottom line. But what exactly is customer service, why is it so crucial, and how can businesses deliver the level of service that customers expect in our digital, always-on world? In this comprehensive guide, we‘ll cover everything you need to know about customer service in 2025, including: By the end, you‘ll have a solid grounding in modern customer service best practices and how to apply them in your business. Let‘s dive in! What is customer service? At its core, customer service is the assistance and advice a company provides to people before, during and after they buy and use its products or services. The goal is to help customers have an easy and enjoyable experience with the company. Customer service can include: Customer service happens across many channels, from phone and email to live chat and social media. We‘ll explore the different types of customer service in more depth later on. Why customer service matters Delivering excellent customer service has always been important, but several factors make it absolutely essential for businesses today: Customer expectations are sky-high. In our instant-gratification culture, customers demand fast, frictionless, personalized service at every touchpoint. Over 80% expect speedy responses to their questions, and 75% expect consistent experiences across every channel. There‘s more competition than ever. With limitless options available, customers won‘t hesitate to jump ship after a single poor service interaction. One study found that after one negative experience, 80% of consumers will switch to a competitor. Customer service significantly impacts revenue. Increasing customer retention rates by just 5% can raise profits by 25-95%. Happy customers stay loyal and buy more over time. Service influences brand perception and trust. How a company treats its customers hugely impacts its overall reputation. 96% of consumers say customer service is a key factor in their choice of loyalty to a brand. Excellent service is a competitive differentiator. In crowded markets, standout service can be what makes a company memorable and recommendable. 80% of companies believe they deliver "superior" service, but only 8% of customers agree. The bottom line? Investing in your customer service function is one of the highest-ROI decisions you can make in 2025 and beyond. Now let‘s look at what it takes to deliver excellent service. Components of excellent customer service One of the biggest factors in quality customer service is speed. Customers expect quick answers to their questions and fast resolutions to their problems. The longer they have to wait for a response, the more frustrated they will become. Some noteworthy response time benchmarks: Companies must staff and structure their customer service teams to handle incoming requests as efficiently as possible. This may involve adding more service agents, expanding service hours, and/or setting up chatbots and other automated systems to provide faster answers. Modern customers interact with brands across a range of devices, platforms and channels. They expect to be able to reach out for help through whichever method is most convenient for them at the time – whether that‘s phone, email, live chat, text message, social media, etc. An omnichannel approach to customer service is now table stakes. Customer support teams need to be equipped to seamlessly handle inquiries coming in from every direction. Each channel should be monitored and have clearly documented processes for managing requests. Clear, efficient communication is crucial for helping customers resolve their issues and providing a positive experience with a brand. Customer service reps should aim to: Reps must be able to adapt their communication style to the unique needs of each customer and channel. An interaction over live chat will be much different than one over the phone. Training and role-playing exercises can help reps sharpen their communication skills across channels. To provide reliable and efficient service, reps need in-depth knowledge about the company‘s products and services. Nothing is more frustrating to a customer than dealing with a rep who doesn‘t understand or can‘t answer basic questions about the product. Some ways companies can empower reps with product knowledge: Armed with expertise, reps will be able to give customers accurate information, personalized recommendations, and step-by-step troubleshooting. This eliminates the need to transfer or escalate inquiries and helps the customer resolve their issue much faster. Types and channels of customer service Customer service is no longer confined to the phone or company store locations. There are now many ways for customers to seek help from a brand: Phone: The most traditional channel, inbound call centers are still widely used for customer service. 51% of customers will call a company after a purchase. Email: Email remains a preferred customer service channel for many, especially in B2B contexts. 91% of consumers say they‘d use a knowledge base if it met their needs. Live chat: Chat widgets on company websites allow customers to have real-time conversations with reps. Over 40% of customers expect to see live chat on a website. Chatbots: Chatbots use artificial intelligence and pre-programmed responses to mimic human conversation and provide answers to basic queries. Usage of chatbots increased 92% over COVID. Social media: Comments, reviews and DMs on social networks like Facebook and Twitter are growing service channels. 79% of consumers expect brands to respond within a day on social media. SMS: Companies can offer support via text message, which has open rates as high as 98%. Over 50% of people would rather text with a business than call. In-person: For some industries like retail, face-to-face service interactions are still critical. 75% of customers want human interaction in the future. Self-service: Online knowledge bases, FAQ pages, community forums and how-to videos empower customers to find answers on their own. Two-thirds of consumers try self-service options first. The key is for companies to determine which channels their customers are using most, and dedicate sufficient resources there. An omnichannel approach creates a cohesive experience as customers move between channels. Examples of remarkable customer service Sometimes real-world examples are the best way to illustrate what great customer service looks like. Here are a few standout companies going above and beyond: Zappos is famous for its customer-centric culture. Call center reps don‘t use scripts and spend as much time as needed to resolve issues. The record for longest customer service call is 10 hours! Slack responds to 8,000 help requests per month in an average of one hour. They have an extensive knowledge base of help articles and encourage employees to jump in and answer questions. Jet Blue empowers employees to think outside the box to make customers happy – like the time a rep drove to a store to buy a shirt for a customer who had spilled coffee on himself before a presentation. Virgin Hotels allows guests to control every aspect of their room via a mobile app, from checking in to adjusting room temperature. This tech-enabled service creates a seamless experience. Amazon consistently ranks as a customer service leader for its huge product selection, low prices, fast shipping, easy returns and 24/7 support. Over 60% of consumers start their search on Amazon. What customers expect from service today Customer expectations for the service experience are higher than ever. Here‘s what the data says customers want in 2025: Speedy issue resolution. 60% of customers define "immediate" service as 10 minutes or less. 24/7 support availability. 50% expect to be able to get help whenever they need it. Personalized interactions. 70% of customers expect companies to understand their unique needs. Consistency across channels. 75% expect to get the same quality experience on each service channel. Proactive outreach. 68% want a company to contact them if there are issues with a product or service. Control over data. 86% want more transparency over how their data is used. Values-driven service. 80% prefer to buy from brands that align with their personal values. To meet these expectations, companies must gain a deep understanding of their customers‘ needs, behaviors and preferences. Voice of the customer research, customer journey mapping and service feedback data can all help inform the right approach. Key responsibilities and skills for customer service reps To deliver the level of service customers expect, hired representatives should be: Some of a customer service rep‘s typical responsibilities include: As the face of the company, reps play a huge role in shaping the customer‘s impression of the brand. Managers should provide ongoing training, support and feedback to ensure reps are meeting quality and performance standards. How to delight customers with remarkable service With the bar for customer service higher than ever, how can companies create experiences that wow customers and exceed expectations? Here are a few tips: Create an omnichannel experience. Support customers seamlessly across devices and touchpoints. Use a unified CRM to track interactions. Personalize every interaction. Use customer data to greet customers by name, reference past purchases, and tailor recommendations. Over 80% of consumers want more personalization. Be proactively helpful. Anticipate the customer‘s needs and offer useful information before they even ask. 68% want companies to contact them proactively about issues. Provide self-service options. Give customers the resources to solve issues themselves. 86% will first try to solve issues themselves before contacting support. Invest in a strong peer-to-peer community. 71% of consumers prefer getting help from other customers over contacting a company. Consider starting a branded forum. Always overdeliver. Look for opportunities to go the extra mile, even in small ways. Little gestures like handwritten thank-you notes can boost customer satisfaction. Make it fun. Infuse personality, humor and delightful surprises into the service experience. Make customers feel valued and like more than just a transaction. The future of customer service As we move through 2024 and beyond, customer service will continue to evolve. Emerging trends to watch include: The most successful brands will be those that stay ahead of these trends to find innovative ways to simplify the lives of their customers. Customer service shouldn‘t be treated as a cost center, but as an opportunity to delight customers and drive growth. Conclusion Delivering excellent customer service is both an art and a science. It requires the right mix of soft skills like empathy and communication, as well as hard skills like product knowledge and technical troubleshooting. Above all, it requires a genuine commitment to helping customers succeed. Brands that get customer service right are able to turn customers into raving fans – the types of loyal advocates who buy more, forgive mistakes, refer friends and family, and shout their love from the rooftops (or mountain tops in the Rockies, as it were). In short, great service pays off. Use the tips and best practices we‘ve outlined here to take your customer service to new heights in 2025 and beyond. Your customers (and bottom line) will thank you. The Ultimate Guide to Delivering Exceptional Customer Service in 2025 The Ultimate Guide to Training for Customer Service & Support The Complete Guide to Customer Lifecycle Management in 2025 Latest Posts,