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Poll finds a negative view of local service providers

KUALA LUMPUR: Service providers need to buck up as a recent survey found that two out of three Malaysians experienced at least one occasion of dissatisfactory service in the past six months.

These negative experiences were cited for services provided by retail and food and beverage companies (18 per cent), insurance and banking services (13 per cent), and the most with telecommunications companies (27 per cent), according to a recent poll by Ipsos Malaysia and Survey Sampling International.

The online survey, which was conducted last month, polled 873 Malaysians between the ages 18 and 65.

For those who had negative experiences, only 42 per cent provided feedback to the organisation, while the rest chose not to do so, saying they did not believe the company would react to the feedback, or lacked access to a readily-available feedback channel.

Ipsos Malaysia executive director Katharine Davis said it was fair to assume that at least half of all the negative experiences would go unnoticed by the organisations.

“This is a matter of concern as our study shows that 44 per cent of dissatisfied Malaysians are likely to use less of the brand or stop using it altogether.

“When you look further at the numbers, 93 per cent of these customers go on to share the negative experiences with their family and friends, as well as on websites, creating negative brand perception, even among those who don’t use or haven’t used the brands recently.”

Of the few Malaysians who did report their negative experiences, the response time by the organisations differed greatly, with about 20 per cent taking immediate action, while 10 per cent took more than a week to resolve the issue. In addition, a quarter of Malaysians who took time to provide feedback and expected a response did not get one at all.

Service providers need to realise that they face a great risk of losing customers today than in the past, warned Ipsos Malaysia and Singapore chief executive officer Miranda Cheung.

“There are a growing number of online platforms and applications that now act as a substitute to services traditionally provided by brick-and-mortar stores, often at a lower cost and greater convenience to the customer.

“One effective retention strategy is being able to respond immediately, and with genuine concern, to a customer’s feedback but this is only the first step a service organisation needs to take.”

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