Yes, you read it right. There is a difference between customer service and customer experience. What’s more, you can’t provide the quality of experience your customers expect without a well-considered customer service strategy. So understanding what sets both terms apart is vital for your business.
In this article, we’ll dive into the definitions of customer service and customer experience, explore their differences, and explain which one gives you the most opportunity to win more sales.
What Is Customer Service, and What Does It Involve?
Customer service (CS) is the assistance and support you give to customers before, during, and after a purchase. It involves addressing their inquiries and concerns through in-person interactions, email, phone, live chat, and other channels.
Naturally, the level of care you show your customers impacts your relationship with them. Delivering great customer service builds trust and loyalty that wins you increased sales and positive word-of-mouth recommendations. The challenge today lies in how fast customer expectations are rising: industry research shows that over 65% of people today have higher expectations of customer service than they did several years ago.
Great customer service means doing three things well:
- Helping customers use your product or service. Customers often have questions about how to use what they’ve purchased, so it's important that your CS agents give clear guidance and instructions.
- Addressing issues. When customers encounter problems with your product or service, customer support agents should be available to help resolve them.
- Acting on customer feedback. Customer support agents should be open to receiving feedback from clients and using it to improve your company’s offerings. This means listening to customer suggestions, identifying areas for improvement, and implementing changes to better meet user needs.
Customer service representatives play a critical role in delivering quality service in each of these areas. They should be knowledgeable about the products or services they are supporting and be trained to handle a range of customer situations with empathy, professionalism, and patience.
Factors such as fast resolution, a personalized approach, an omnichannel experience, self-service options, 24/7 support, and proactive help also contribute to providing exceptional CS.
Now we’ve seen what customer service involves, let's shift our focus to customer experience (CX).
What Is Customer Experience, and What Does It Involve?
Customer experience (CX) is the overall impression that your customer has of your business, based on all of their interactions with it. CX involves every aspect of a buyer’s journey, from their initial awareness and consideration of your product or service to post-purchase support and advocacy.
Three things shape an overall customer experience:
- People. This includes all the people who provide customer service, including frontline employees, managers, and support staff. The way these people interact with your customers and the level of expertise and empathy they bring to their roles can greatly impact the customer experience.
- Processes. These are the systems and procedures your company uses to provide products and services. These can include everything from the way customers order products to how they get support.
- Product or service. Your product or service itself is a crucial element of customer experience. Quality, design, and ease of use can all impact how clients feel about a company.
Just like customer service, customer experience can make or break consumer loyalty. Customer engagement platform Emplifi found that 86% of consumers will leave a brand after only two poor customer experiences. This makes creating a positive CX vital to sales.
Luckily, there are many things you can do to improve customer experience, such as delivering a product that addresses user needs and works without a hitch; ensuring seamless POS processing; offering frictionless product returns and refunds — and, of course, offering excellent customer service.
In summary, both customer service and customer experience serve to drive your business growth, but they work in different ways. Let’s explain.
What is the Difference Between Customer Service and Customer Experience?
The main difference between customer service and customer experience lies in their scope.
Customer service is about addressing a buyer’s individual needs, inquiries, and concerns and focuses on providing timely, accurate, and effective solutions. In contrast, customer experience spans all touchpoints a customer has with your business, including their interactions with your products, services, and employees. CX focuses on creating a positive and seamless experience for buyers throughout their entire journey.
Other differences between CS and CX include
- Your level of control. While your company can directly influence its customer service, its control over the entire customer experience is more limited, as there are also external factors that influence how your customers perceive your brand.
- Ownership. Customer service is typically the responsibility of a specific team or department within your company, such as a call center or customer support team. Customer experience, however, is the responsibility of your entire company, including product design, marketing, sales, and customer support.
- Metrics. Customer service metrics are usually tied to your CS activities and platform, and include response time, resolution time, and customer satisfaction scores. On the other hand, customer experience is measured by a wider range of metrics such as customer loyalty, customer retention, and Net Promoter Score (NPS), which give you a broader understanding of a customer's overall experience with your company.
It should be clear by now that customer service is just one element of customer experience, so CS quality has a significant impact on your overall CX. Here’s what that means in more detail.
Understanding the Impact of Customer Service Impact Customer Experience
Customer service plays a critical role in shaping your company’s overall customer experience. Microsoft’s State of Global Customer Service Report shows that an overwhelming 95% of customers feel that customer service is a significant part of their choice and brand loyalty, and 61% have switched brands because of poor customer service.
So if both CX and customer service are important, why is CS so influential?
Customer service interactions are also often the first contact a person has with your brand. A positive first impression can set the tone for their entire customer journey, while negative interactions can create a barrier to further engagement and relationship-building.
Finally, customer service interactions can provide valuable feedback, which helps you identify areas for improvement in products, services, and processes. You can use this feedback to continuously refine and improve your overall customer experience, which drives long-term growth and success.
Why Prioritizing Customer Service Is Crucial for Improving Customer Experience?
While customer service and customer experience are closely related, they’re not the same thing: CS is just an element of CX.
Still, as CS is such a significant component of the customer journey, delivering great customer service is crucial for a positive customer experience. Prioritizing customer service as part of your customer experience strategy will help you build strong and loyal customer relationships, stand out from the competition, and increase sales.
What Is the Importance of Integrating Customer Service and Customer Experience for Business?
It's imperative to recognize the pivotal role that the integration of customer service and customer experience plays in driving business success. In today's hyper-connected digital landscape, where consumers have a plethora of choices at their fingertips, businesses must prioritize delivering exceptional customer experiences at every touchpoint.
- Enhanced customer satisfaction. By seamlessly integrating customer service and customer experience strategies, businesses can ensure consistent and high-quality interactions with customers. This leads to greater satisfaction, fostering loyalty and repeat business.
- Improved brand reputation. A positive customer experience, coupled with efficient customer service, contributes to building a strong brand reputation. Satisfied customers are more likely to become brand advocates, spreading positive word-of-mouth and attracting new customers organically.
- Increased customer retention. Businesses that prioritize integrating customer service and customer experience strategies typically experience higher rates of customer retention. When customers feel valued and supported throughout their journey, they are less likely to churn and more inclined to continue doing business with the brand.
- Better understanding of customer needs. Integrating customer service and customer experience allows businesses to gain valuable insights into customer preferences, pain points, and expectations. This deeper understanding enables organizations to tailor their products and services to better meet customer needs.
- Increased revenue. The integration of customer service and customer experience directly impacts the bottom line. Satisfied customers are more likely to make repeat purchases, spend more per transaction, and become loyal patrons of the brand, resulting in increased revenue and long-term profitability.
Conclusion: Customer Experience vs Customer Service
The distinction between customer service and customer experience is not only crucial but essential for businesses aiming to thrive in today's competitive market. Customer service focuses on addressing individual inquiries and concerns, providing timely solutions, and fostering customer satisfaction. On the other hand, customer experience encompasses every interaction a customer has with a business, from initial engagement to post-purchase support, emphasizing the overall impression left on the customer.
While both elements are vital, customer service plays a significant role in shaping the broader customer experience. Positive customer service interactions build trust and loyalty and also serve as valuable feedback mechanisms for continuous improvement. Therefore, integrating customer service seamlessly into the broader customer experience strategy is paramount for businesses looking to drive growth and success.
By prioritizing the integration of customer service and customer experience, you can enhance customer satisfaction, improve brand reputation, increase customer retention, gain insights into customer needs, and ultimately drive revenue growth. Today, consumer expectations continue to rise, and delivering exceptional customer experiences at every touchpoint is no longer a luxury but a necessity for sustainable business success.
