Poor customer service leads to loss of customers

Professor Tor W. Andreassen and associate professor Line Lervik Olsen of BI Norwegian School of Management have carried out a broad-ranging study of 899 bank customers to see how good and bad customer service affects the customer’s opinion of his/her bank.

Their findings were published in a research article in the international scientific journal Managing Service Quality. This article earned Andreassen and Olsen the research award ”MSQ 2008 Highly Commended Paper Award”.


They got an award for stating the blindingly obvious?

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  1. petoskystone

    do they work for a governing body?

  2. Tor W. Andreassen

    If we were stating the blindingly obvious why is it that service managers in pressing times are cutting customer serivce ? Is it because they know, think, hope, or pray that reduced cs does not impact key customer variables?

    Our study also documented customer service to be a sustainable competitive advantage – something Business Week also concluded in their resent top story.

    • IanVisits

      Poor customer care = lost customers is obvious.

      A much more interesting study would be to find the tipping point where the cost of good customer care is greater than the revenues it generates – or to put it another way, when the savings from cutting customer care are less than the loss of income from lost customers.

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