E-COMMERCE | Staff Reporter, Singapore

Poor customer service costs Singapore's online retailers $1.56b a year

Over four in five shoppers have ditched an online shopping cart from a lack of right customer service.

Online retailers in Singapore have lost a total of $1.56b (S$2.09b) in one year from losing customers from poor customer service, according to a survey from LivePerson.

Singaporean customers were found to be amongst the most unhappy with their customer service experience in the region. Over four in five or 87% of Singaporean shoppers said they have abandoned an online shopping cart in the last 12 months because the right customer service option was not available.

LivePerson's regional manager Wee Tee Lim commented that online shopping is increasing, but customer expectations are not being met too often, mostly because brands have not been offering support to customers in the way they want. Further, many have been lagging in using technologies such as AI for customer service.

“People are far more comfortable engaging with brands through new channels than many retailers think. They want answers to their questions in real time, wherever they are, and through whatever channel they prefer,” Lee said.

For those who have abandoned purchases at checkout, over half (51%) said they wanted to do more research before buying, whilst 35% said they were unhappy with the delivery details or options. About a third (33%) were unhappy with the price.

Further, 79% said that they have missed retail shopping either "a lot" or "a little" during the pandemic, but less than one third of shoppers want in-person support when they have a question.

On improving customer service, nearly half (49%) recommended improving the range of communication channels available, and over two in five (44%) suggested employing "in-line shopping". Further, 35% advised using technology to allow questions to be answered in store by virtual assistants.

Do you know more about this story? Contact us anonymously through this link.

Click here to learn about advertising, content sponsorship, events & rountables, custom media solutions, whitepaper writing, sales leads or eDM opportunities with us.

To get a media kit and information on advertising or sponsoring click here.