Human customer service drives loyalty & up to GBP £100 spend

New research from customer experience agency Ventrica has found that positive customer service enquiries can generate up to GBP £100 in additional revenue per interaction for brands, but the use of AI is frequently failing to meet consumer expectations or resolve their issues.

The survey of over 2,000 UK consumers provides insight into the impact of customer service channels on revenue and loyalty, challenging prevailing industry expectations regarding automation and self-service options.

According to the research, only 4% of positive customer service experiences over the past twelve months were delivered solely by AI, while 18% resulted from a combination of AI and human interaction. Human involvement proved critical, with almost three-quarters (76%) of positive experiences delivered exclusively by a human agent.

Just over half (53%) of respondents found chatbots to be a successful way of resolving queries, compared with a significantly higher 87% success rate for telephone calls. Of all customer service interactions, regardless of how they began, 72% were ultimately resolved by a person.

The research indicates that this preference for personal interaction translates into higher future spending for brands. On average, consumers said they would be willing to spend up to GBP £100 more with a brand following a positive customer service experience. For consumers aged between 18 and 34, this median figure rises to between GBP £100 and £199.

The data further highlights the role of customer experience in fostering brand loyalty and repeat business. The study found that 53% of consumers are likely to make repeat or multiple purchases following a positive customer service encounter, with an additional 16% intending to repurchase. Altogether, 79% of consumers said that positive experiences improved their loyalty to a brand.

When asked which sectors were most likely to see increased spending following a positive customer service interaction, respondents cited retail (29%), marketplaces (23%), and financial services (20%). On average, UK consumers specified that they make around five customer service enquiries each year, suggesting that effective service could result in a potential additional spend of up to GBP £500 per person annually.

The findings suggest that, contrary to narratives promoted by many technology providers, there is a significant consumer preference for the human element in customer service. While digital channels and automated systems are frequently touted, the Ventrica survey results indicate that empathy and human emotional intelligence remain vital to delivering positive experiences.

Speed also emerged as a priority for consumers, with 69% identifying quick resolution as the most important factor in a positive customer service experience. Clear and easy-to-understand communication was selected by 45%, and nearly one-third (31%) named empathy as a primary driver of satisfaction.

Despite shifts toward digital communication, traditional phone calls remain the dominant channel. The research found that 82% of respondents called customer service in the past year, compared with 75% who used email, 65% chatbots, 39% messenger services such as WhatsApp, and 36% who contacted companies via social media platforms.

The adoption of newer digital channels is more pronounced among younger consumers, with over half of those aged 18 to 44 reporting use of social media or messaging apps for customer service enquiries.

Resolution times average 24 minutes, and the research identified calls and emails as the most successful channels for resolving enquiries efficiently.

Significantly, nearly half (41%) of all positive experiences cited by respondents arose from the resolution of a problem, such as a faulty or lost product. The data suggests that the manner and speed with which these issues are addressed can have a lasting effect on brand reputation and customer loyalty.

Iain Banks, CEO of Ventrica, commented, "Rather than seeing customer service as just a cost centre, brands should recognise it as a powerful driver of revenue and loyalty. Our research highlights that when customers receive fast, empathetic, and emotionally engaging support, they develop a stronger connection to the brand, leading to increased loyalty and higher spending."

Banks continued, "The human touch is essential - consumers value authentic, emotional connections that create positive experiences, especially when resolving issues. By focusing on emotionally intelligent, high-quality service, businesses can turn every customer interaction into a revenue-generating opportunity, fostering stronger relationships and increasing lifetime value. In an era where consumers reach out to customer service teams an average of five times a year, brands have a golden opportunity to build trust and differentiate themselves."