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Aussies’ patience for poor business communication has worn thin since the pandemic, and businesses that refuse to get with the times may find themselves losing customers, a new report showed.
A recent survey conducted by communication and payment platform Podium showed that Aussies consumers are willing to pay more for convenient communication with local businesses — if it means being spared from a frustrating customer service experience.
Almost 48 per cent of respondents expressed they have less tolerance for local businesses that don’t offer easy, convenient or customer-friendly means of communication.
The report noted that with the pandemic fast-tracking the digital transformation, consumers have “high expectations” that businesses have embraced technological advances.
Data further showed that more than half (57 per cent) would be less likely to reach out to business if the communication channel was viewed as “inconvenient”.
Convenience also trumps cost for most Aussies, with 55 per cent stating they would choose a business that offered convenient communication options — even if it meant paying more.
Podium’s country manager for Australia, Dave Scheine, said that having excellent customer service can help businesses stand out in a competitive market.
“Australia is home to millions of innovative local businesses, but in a saturated market it’s not easy to compete on price or product. Our research shows that many consumers now judge businesses based on communication, with many willing to pay more money for a more convenient experience,” he said.
He said that while Aussies are largely supportive of local businesses, consumers are gun shy of those that don’t “cater to their habits and preferences”.
Survey results showed that this disconnect is felt by a significant portion of consumers, with 36 per cent stating they believe local businesses still don’t understand their preferences.
This disconnect also results in businesses losing customers, with 73 per cent of respondents revealing that they blacklist businesses that spam them with regular or inconvenient marketing. Meanwhile, 70 per cent said they preferred speaking to local businesses with a human presence rather than one that uses bots or AI.
Mr Scheine said that businesses that recognise the changing consumer habits would be better positioned to overcome rising global and local economic headwinds.
“As global economic headwinds circle, and Australian households become more cautious about their discretionary spending, every lead, interaction and sale takes on added significance for local businesses. Those who recognise how their audience is changing, then cater to their habits with convenient communications strategies, will be better placed to succeed,” he commented.
With the average Australian spending almost two hours (119 minutes) a day on their smartphones, it was revealed that SMS is now the most convenient channel of communication for most consumers.
Data showed that half of Australians (49 per cent) perceive businesses that use SMS to communicate as “more professional” than those that don’t.
One of the most notable findings from the report is how reliant the average Australian is on SMS: 76 per cent of Australians rely upon receiving an SMS reminder for their day-to-day tasks, with 69 per cent stating that an SMS reminder has saved them from missing an upcoming appointment.
Additionally, 50 percent of respondents stated they preferred communicating with a business via text or online chat than a phone call.
The rising preference of consumers for communicating with businesses through SMS comes as email becomes less impactful, according to the report.
Almost half (46 per cent) of Australians surveyed revealed they had deleted an email from a business without opening it in the last 24 hours, while almost two-thirds (62 per cent) have ignored an unsolicited call from a business in the last week.
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