Social media has changed the way we all interact with each other. But more than each other, it has also changed the way we interact with the brands and businesses we use. These days, many of the world’s top companies have invested into streamlining their customer care on social media, in order to drive sales and increase customer loyalty.
According to facts and data from Websitebuilder, companies with the best social customer care have a 92% customer retention rate. Good social media customer care pushes customers to spend 20%-40% more. On top of that, the fact that it only costs 1/6 the price to solve an issue with social media, than it does with a conventional call center, clearly tips the balance in favor of social media customer care.
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In order to further understand the positive effects, we look at case studies of some major brands, and how their social media customer care efforts have boosted their brands visibility, ROI and profits.
Acme Telecom decreased customer care costs by 10% in the last 3 years by using social media customer care. Cost per contact decreased by 37% and ROI increased by 272% in those same three years, due to the switch to social media. This represents significant savings and improvements in cost effectiveness and overall returns. Acme was also able to see incremental sales increase by 50% for this same 3-year period, representing a huge jump in revenue and, therefore, profits.
KLM (Royal Dutch Airlines)
In 2010, when handling over 219 social media queries through a critical situation, KLM was able to increase brand value and customer retention. KLM’s social media customer support team generates 25 million dollars in annual revenue, due to up-selling inbound interactions from customers.
The car manufacturer was able to sell a vehicle for £90,000 GBP through their social customer service division in 2014. The team was able to convert an inbound social media query into a hard sale by answering the customers concerns and directing them towards purchase.
Domino’s pizza was able to leverage their social media customer care into media coverage in 2015. The brand was able to do this by accepting deliveries through pizza emoji and tweets. Furthermore, Domino’s has been outpacing competitors in many of their international markets, by allowing customers to place orders and queries directly through social media.
Xbox, Microsoft’s gaming system, was able to increase brand awareness and get them a Guinness World Record with their social media customer service campaign. Xbox’s Twitter account won the Guinness record by having the fastest response rate to twitter queries of 2min 42sec.
Check the Infographic below for a more visual approach to this topic
These are just a few examples of how better social media customer care can boost a business. There are many more examples, and many of the major players and brands in the global marketplace have begun refocusing customer care efforts to social media.
With a high adoption rate, ROI and lower costs to the business, social media customer care creates brand loyalty and increases sales by quickly and efficiently handling queries and pushing those queries to appropriate sales funnels. Social media customer care, like these examples, can boost any business if used properly.
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