Poor customer service negatively impacts how your customers behave, in some cases causing customer attrition. A study from Accenture found that of those reporting the bad experience, 97% changed their future buying decisions, 58% stopped buying, 52% switched, and 52% told others not to buy. Yikes. Frederick Reichheld, who created the Net Promoter Score survey, found that increasing customer retention rates by 5% increases profits anywhere from 25 to 95%. So you can see why it’s so important to prevent customers from leaving.

But how do you measure customer attrition? For you, maybe it’s a report that’s readily available. You might have surveys or point of sale data, or maybe you have a loyalty program or a subscription-based service. If not, watch this video from my LinkedIn Learning course Measuring the Value of Customer Service for how to calculate customer attrition.

Customer defection from Measuring the Value of Customer Service by Brad Cleveland