Customer Experience

Updated On: Apr 1, 2024

Top 6 Customer Service Challenges During The Digital Age

Reading-Time 7 Min


With digital media growing rapidly, companies have found themselves in touch with more potential consumers than ever before. However, with an increase in customers comes an increase in the demand for service and which in turn increases customer service challenges. Consumers have grown accustomed to getting their job done at any cost-convenience is key. Today’s customers are quick in sharing their experiences online which eventually reaches a larger audience, and can pull a company’s profile down quickly. Establishing effective customer service is the need of the hour, and the answer lies in self-service platforms driven by knowledge management at call centers.

An effective knowledge management strategy will ultimately create an exceptional end-to-end satisfactory customer experience for your organization. Along with a thorough understanding of your products and services, support agents require access to study materials, reference notes, and customer information. Unifying your organization’s collective knowledge by a KM platform will ensure that team members always have information at their fingertips.

Customer service is a method that your company provides customers before and after they purchase your products or services. This support helps them have a smooth experience throughout the process, as opposed to being a single interaction. Having said that, today’s customer service goes beyond the traditional agent calls – it’s available via email, text, and even on social media platforms. Many companies also provide self-service support to reduce the unnecessary burden on agents and make customers independent in finding solutions. Customer service is more than just answering customer queries; it is a critical parameter to compete with other companies effectively.

In the past, people chose companies for their products, prices, and qualities. But now the choices are driven by customer services and initiatives. When agents are empowered with a help desk solution or are allowed to go a notch higher than expected, they can conveniently upsell relevant services-by doing so they not only create brilliant experiences but also help your brand to stand out.

Top 6 customer service features

1. Active listening

Customers need to be heard patiently about their concerns or queries. This should be actively preached and practiced within every organization. By focusing on active listening, you’re not only going to possess the ability to handle your customers better, but you’ll also improve your relationships with them. A knowledge base keeps agents constantly updated about customer’s information, preparing them beforehand and enabling them to better solve customer service challenges.

2. Empathizing with customers

Empathy is the ability to put yourself in another person’s shoes and see their point of view. This is vital in customer service because unless you make the customers feel understood you cannot bring them to any kind of agreement.

3. Upgrading technical skills

To improve your skill as a customer service agent it is imperative to constantly elevate your technical skills. While on a call, you should be capable of answering their queries and updating them with relevant solutions. KM tools help in achieving this conveniently. Instead of having to switch between multiple systems, screen pop-ups, and relevant details of the customer help in providing a hassle-free customer experience.

4. Learning about products and services

You must have in-depth knowledge of your products and services to be efficient at your work. This enables you to answer their queries and offer faster solutions without wasting any time. Tips and tricks around your products further help you to guide your customers. LMS allows you to access information and train yourself consistently to deliver a better customer service experience.

5. Clear communication

The capability of communicating both verbally and by writing is an asset in the customer service department. LMS platforms allow agents to enroll themselves in training programs for personal development. The agents can also access various articles, and, workshops to constantly upgrade themselves.

6. Feedback analysis

The best way of handling your customers is to be aware of their issues before taking their calls. With a knowledge management database, you can easily be updated about the latest call, inquiry, and a detailed report of the customer’s concerns. This helps you to approach the problem with confidence.

Top 6 customer service challenges and their solutions

1. Serving multiple customers at the same time

Being in the customer service department, you need to be prepared to cater to multiple customers. However, if you specify the reason to keep a customer waiting, they most likely will. You can utilize this time to serve another customer and parallelly find a solution for the first one. Make sure to give a relevant reason and never leave the customer on hold without an explanation or on hold for long whatsoever may the reason be.

2. Pressured for a response when you do not have one

There are times when customers want an immediate solution but you either do not understand the problem or do not have enough information to solve that matter. In such situations, you should be patient, hold your ground, and insist on giving you time to investigate the problem. Rushing with the solution is not advisable. You should take some time in your hand and provide a satisfactory solution to your customer.

3. Dealing with angry customers

There are plenty of points to be adopted while dealing with angry customers. Being patient is the first quality that helps. Customers aren’t angry at you – they’re angry at a failure or lack of service. Show them you’re on their side, and they’ll confide in you, as opposed to fighting you.

4. Unable to give a discount

In such a situation being honest is the best option. For example, “Our service/product cost is quite low, and lowering it further would just make it far too challenging for us running the business. I hope you understand.”

5. Admitting to lack of a service or feature of the product

You need to stand your ground and say no without misleading the customers. Dishonesty might sell a unit in the short-run but will destroy a company’s reputation over time.

6. Dealing with a crisis

The correct approach for dealing with a crisis is admitting to a fault, taking some time, and resolving the issue.

1. 44% of consumers reported having received an incorrect answer from a customer agent in the past.

2. 72% of consumers are found explaining their problems to multiple agents and are unhappy with the service.

3. After a bad experience, 39% of customers will avoid the company and look for an alternative.

4. 56% of people around the world have stopped doing business with a company due to unsatisfactory customer service.

5. Four out of ten consumers will not recommend others a business with which they had poor customer experience.

A knowledge management platform is a medium that can substantially improve the customer services of a company. Tracking calls, customer information, emails, and queries can be easily accessed through KM solutions keeping the agents constantly updated. Many companies have also introduced self-service options that benefit their customers by quicker results and reduce the burden on the agents. Using KM platforms to enable self-service ensures a great customer service experience, and tackles much of the problems modern call centers face today.

Yatharth Jain


Yatharth has over 8 years of experience in CX, KM, and BPM. He founded Knowmax to make knowledge a genuine superpower for CX teams. He blends his experience working with CX and KM leaders across industries with the latest technology trends to build products people love.

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