The customer service industry landscape is rapidly changing and becoming more competitive. Here are 10 important customer service trends to help with your strategy in 2012.

1. Top 10 Customer Service
Trends for 2012
Predictions on how the customer service
industry will evolve in the year ahead.
March 2012
1. Mobile
Customers are doing more with their mobile phones than ever before. There are more than 5.9
billion mobile subscribers today, over 87% of the world’s population. The convenience and
availability of mobile devices, combined with integration into Twitter and Facebook is generating a
huge demand for mobile services.
Businesses are responding to this demand by providing mobile customers with an array of service
options. Telus’ Mobile Customer Self Service™ offering is just one example of this trend that we
forecast will continue to grow exponentially.
2. Social Media
Social media is changing the customer service industry. It is easier than ever for customers to
complain about a company and have their voices heard by millions through social media channels
such as Twitter, Yelp, and Facebook. Surprisingly, only 29% of Twitter complaints were responded
to by companies, despite the fact that 83% of complainants liked it when the offending company
responds.
This shows that businesses are slower to adapt to emerging communication channels than
consumers. More and more organizations are looking to establish effective customer service on
social media channels, a trend we expect to continue. This is transforming avenues such as Twitter
from one-way customer-venting channels into two-way customer service resolution channels.
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2. 3. Community-Based Service
Online customer communities such as message boards are a win-win for both companies and their
customers. The combined number of support personnel (customers) and their knowledge is usually
more than what a business can offer. Customers get their issues resolved promptly by their peers,
resulting in fast service. Businesses save a lot of money by having to hire fewer customer service
representatives.
The growing popularity of community support software providers such as Parature and
GetSatisfaction are indicative of this trend. In fact, these companies now offer a joint solution that
offer organizations the ability to reap more benefits from online community-powered support than
ever before.
4. The Cloud
Cloud-based customer service offerings are gaining more consideration from industry
professionals. According to Kate Leggett at Forrester Research, “In 2012, many first-time customer
service technology buyers will look first at a SaaS solution to see if this approach can meet their
needs.”
Gartner Research predicts that at least 75% of customer-focused call centers will use a form of the
cloud in their call centers in 2013. The cost savings and ease of management provided by the cloud
are the primary reason for its growth.
5. Customer Feedback
The best way for companies to improve service is to ask their customers how. Customer feedback
channels continue to grow at an astounding rate and include YouTube, Twitter, Facebook,
Hellopeter.com, and GripeVine, just to name a few. The ability to collect and analyze feedback
across all of these channels becomes a powerful source of information for the companies that are
able to implement this strategy.
Unfortunately, customers adopt these channels much faster than businesses, so we can expect an
ongoing game of cat and mouse to occur. Best-in-class providers will be able to aggregate and
analyze customer feedback across diverse channels and use them to both empower their agents and
take appropriate action to improve the quality of their service. The proliferation of new social
media channels has made it much more difficult for businesses to collect and make sense of this
data.
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3. 6. Insourcing
Many North American organizations have outsourced their customer service operations overseas
over the past few decades. Why? To cut costs. This has caused the quality of service to suffer,
leading to customer churn. It has also angered North American customers who view outsourcing
what used to be American jobs as borderline traitorous, especially with the economic situation they
are in.
We foresee this trend reversing for two reasons. Firstly, companies are feeling the negative impact
outsourcing has on their customer service. While they’re able to cut costs, the quality of customer
service takes a nosedive. Acquiring new customers to replace those lost from poor service is a
costly and daunting endeavor.
For example, in December 2011, as a result of an agreement with its unions, US Airways announced
it is bringing 400 customer service jobs previously outsourced to Manila back to centers in North
Carolina. AT&T recently decided to bring back 5,000 customer service jobs back to the U.S as a
result of its merger with T-Mobile.
Furthermore, in an effort to encourage insourcing, an anti-outsourcing bill targeting call centers
was recently introduced in congress. This trend should be a win for customers, the economy, and
businesses who implement it correctly.
7. Voice of Customer (VOC)
More companies are implementing VOC programs for their proven ability to positively impact the
customer experience. Companies collect feedback to help them make improvements across their
organization. The growth in VOC is driven by its benefits such as better customer loyalty and
retention.
Despite the increased adoption of VOC, many organizations are still not reaping its full value.
Aligning the right people and processes for maximum impact remains a challenge. Taking action on
the customer feedback that is collected is another hurdle most companies face. As the VOC trend
increases, getting it right remains a challenge.
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4. 8. Video
We predict video will be increasingly used to provide customer service and support in 2012. With
approximately 70% of global online consumers watching online video, consumers have an
alternative way to stay informed.
A well put-together video makes information easier and faster to understand and share. This is why
people first flock to video tutorials before reading a manual, asking help on forums, or reaching out
to an agent. Video as a cost-effective channel successfully empowers customers to resolve their own
issues, ultimately deflecting calls from the call center.
9. Self-Service
Self-service channels continue to increase in popularity because they provide 24/7 service to the
customer and deflect calls from more costly channels such as the call center. With immediate
problem resolution at their fingertips, consumers gravitate to self-service options. Not having to
endure hold times or email response is an attractive feature to the consumer. It is a win-win
situation for both the organization and the customer, which is why self-service continues to grow.
10. Knowledge Management
Knowledge management has always been an important part of customer service. A well-designed
system has the ability to create a better experience for both the agent and the customer. Breaking
out of its silo tendencies, knowledge management is now integrating with a multitude of channels
such as mobile and social media.
Kate Leggett of Forrester Research states, “Knowledge management has been around for a long
time, but we’ve seen a real resurgence. It has to be deeply integrated into CRM to personalize the
knowledge that gets presented to the agent. Case in point is there are few stand-alone knowledge
management solutions anymore.”
This trend is confirmed by Duke Chung of Parature who says, “We will see increased requests for
enhanced knowledge capabilities. Over the past 10 years, knowledge management was made public
on websites. I think now, companies are pushing that information out to other touch points,
whether it’s in social or mobile, and we’re seeing a lot of opportunity to do that.”
Companies are rightfully leveraging knowledge management across their channels because of the
benefits it provides them, their agents, and their customers.
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5. Appendix: Introduction to Fonolo
The frustrations are all too familiar: aggravating phone menus, waiting on hold, being transferred
Do Customers Enjoy Calling Your Company?
between agents, unnecessarily repeating information.
Odds are that your call center is guilty of some of these flaws. They cost your company in two ways:
the expense of longer calls, and the loss of goodwill from your customers.
Yes! Fonolo's cloud-based service adds a new visual dialing interface to your call center that lives
Lower Costs and Happier Callers with no Infrastructure Changes?
on your website or mobile app.
Our approach is a radical departure from anything you've seen before:
No changes are required to your existing phone system.
Delivers bottom-line results to your business in the form of cost reductions and gains in
•
customer goodwill.
•
Easy to set up a trial within days.
Creates an improved experience and high level of satisfaction for customers via a browser
•
or smartphone.
•
Features
Reduce zero-outs and get callers to the right
Visual Dialing agent the first time.
Replace hold-time with a call-back. Happier
callers and lower telecom costs.
Virtual Queuing
Reduce handle times by collecting info from
callers before the call.
Pre-call Questions
Improve the customer experience by getting
caller feedback in real-time.
Post-call Surveys
Easily add intelligent calling to your existing
mobile application.
Smart-phone Ready
Works with your existing infrastructure.
Nothing to install.
Zero Integration
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6. About Fonolo
Fonolo's cloud-based call center solutions provide companies with visual dialing
and virtual queuing services, improving customer satisfaction and lowering call
center costs. Callers simply click on the phone menu option they want from the
company’s website or mobile application, and Fonolo connects them to the right
agent - every time.
A growing list of organizations, including the Royal Bank of Canada (RBC), Sirius
Satellite Radio Canada and VoIP Supply have discovered the value of using Fonolo
to connect their call centers with their web sites. The privately-held Toronto-
based company has received numerous awards, including "Best Contact Center
Solution" from ITEXPO Conference, "50 Best Websites" from Time.com, "Best New
Product" from Emerging Communications Conference, "Judges’ Choice" from
GigaOm’s Mobilize Conference and "Top Telecom Idea" from Springwise.
If your company is interested in using Fonolo, email us at sales@fonolo.com.
For general inquiries, please email us at info@fonolo.com.
Learn more at fonolo.com.
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