Customer Service Statistics

It wasn’t so long ago that you could make a pretty good living without worrying too much about customer service. Businesses competed locally on the basis of quality and price.

Today, your business competes with goods and services from all over the internet. Big brands and startups alike have worldwide local presence on customer phones and PCs.

Why is customer service important? Because it raises your company out of the noise. Good customer service leads to happy customers and happy customers leave positive reviews and make referrals. 

As recently as a decade ago, you could safely consider customer service a side matter. But rapid advances in communication technology and the emergence of social networks have made caring for customers a crucial priority for any business.

Key Customer Service Statistics for 2025 - Editor’s Choice:

• Acquiring new customers is 5 to 25 times more expensive than retaining existing ones.
• In 2025, the customer service software market is valued at $11.01 billion.
• When deciding whether to make a purchase, 90% of consumers are influenced by customer service reviews.
• After a poor customer experience, 39% of consumers will avoid a vendor for at least two years.
• 8 out of 10 customers in 2025 believes AI has become essential to customer service.

US companies now risk losing more than $856 billion per year due to the poor customer services they provide.

(Qualtrics)

The latest research also found that at the global level, companies risked $3.7 trillion in revenue losses due to poor customer experience in 2024, marking an increase of 19% from the year before.

Retaining existing customers is significantly cheaper than acquiring new ones. In fact, it’s five to 25 times more expensive to get new customers.

(Bain & Company)

The data suggests that increasing customer loyalty by just 5% can increase profits by 25% to 95%. The conclusion? Customer service costs should be regarded as an investment in boosting sales. Loyal customers are worth up to 10 times as their first purchase.

The customer service software market is worth $11.01 billion in 2025.

(The Business Research Company)

In fact, the market is expected to grow at a 19.5% CAGR until 2029, indicating a high level of adoption and development of customer service software solutions in the coming years.

81% of consumers in 2025 believe that AI has become essential to customer service.

(Zendesk) 

The rate that AI is changing the CX market is staggering. Both consumers and customer service agents are increasingly relying on AI to improve their experience. For example, the same report found that 76% of customer service agents believed that having an AI as a co-pilot was 'supercharging' their abilities at work.

87% of customer support teams in 2024 said that customer expectations regarding their service have increased in the past year.

(Intercom)

Once again, the presence of AI is heavily affecting the customer support market, with 68% of professionals claiming that artifical intelligence has directly influenced customer expectations, especially when it comes to response times.

68% of executives in 2024 stated that retaining customers was harder than a year before.

(Intercom)

With the customer expectations increasing ever higher and the technology rapidly changing our world, the way customers and agents interact is having to change as well.

61% of Americans prefer to engage with human customer service for their online shopping needs in 2025.

(Statista)

While some countries like Japan where only 38% of respondents preferred human customer support interaction are much more open to chatbots, Americans still prefer the human touch.

More than 86% of customers in 2024 stated that they would completely abandon a brand after just two poor customer service experiences.

(nShift)

The most important things that can lead consumers to abandon a brand have to do with delivery issues, damaged packages or unsatisfactory delivery options.

For 64% of customers, customer service is more important than price.

(Gartner)

This is especially true in crowded markets. Research suggests that businesses operating in markets with lots  of competition will achieve better results if they compete on the basis of customer experience instead of price. 

Improving customer experience was a top-priority for 86% of customer service leaders in 2024.

(Gartner)

The latest report also found that 65% propritized improving customer retention and 64% stated that improving customer loyalty was their top priority.

More than 70% of consumers expect brands to provide personalized reponses to their needs.

(Sprout Social)

The same report found that 63% of customers find the quality of the customer service to directly impact their loyalty to the brand.

The amount of feedback customers leave companies has dropped by 8% in the 2021-2025 period.

(CX Dive)

The latest data tells us that consumers are increasingly silent, and do not share feedback either to brands or through social media and their friend circles. 

In 2024, elite brands evoked 25 positive emotions for each negative emotion.

(Forrester)

This was down by 4 positive emotions compared to the year before, showing a drop in customer experience quality. The same report found that the overall efectiveness of customer experiences fell to 64%, which is a new all-time low.

Good customer service would make 88% customers more likely to purchase again.

(Salesforce)

The same report found that 65% of customers expected brands and companies to adapt to their changing needs and preferences.

More than 79% of customer service organizations used messenger apps in 2024.

(Salesforce)

This represented an increase of 9% compared to just four years earlier, with Facebook Messenger and WhatsApp being the most apps last year.