Customer service software: Challenges and ways to overcome them

zoho.com/desk

Customer service software:

7 enterprise challenges and

ways to overcome them

Desk

many businesses struggle with. It's important to find software that benefits your

With this in mind, many companies have turned their focus to enhancing customer

experience.

Overview

Every business in the market understands the value of customer satisfaction. Poor

customer service has been identified as the main reason for customers ending their

journey with a business, increasing churn rate.

Research shows it costs five times1 more to acquire a new customer than to retain an

existing one. But one negative experience can have a big impact on a customer's

journey, even causing them to end their relationship with your business. That's why

customer satisfaction is essential for business success, potentially increasing

revenue 4-8% above your market2.

The demand for a high-quality customer experience has drastically increased over

the years, particularly since the start of the Covid-19 pandemic. With increased use of

digital platforms, the CX industry has become vital for business success. According

to data from Genesys Cloud CX™, the use of voice, email, and live web chat channels

has doubled since 20203.

many businesses struggle with. It's important to find software that benefits your

Customer service software has empowered businesses to foster these enhanced

experiences, providing employees with a platform to connect with customers

effectively and efficiently. The right customer service software increases employee

productivity and improves customer satisfaction, further increasing revenue. With

the many customer service software solutions on the market, it has become essential

for businesses to identify and invest in the right software for their needs.

Unfortunately, implementing and utilizing a suitable customer service software

solution is something many businesses struggle with. It's important to find software

that benefits your business from the beginning of your journey and beyond. That

means it should be easy to use and should include features to meet your unique

needs, even as your company grows and expands.

of business leaders

consider customer experience to be the

engine driving growth for their companies4

87%

Table of contents

Introduction

Challenges faced by large enterprises

Integration

Security concerns

Scalability

Market Opportunities

Employee satisfaction

Contract management

Cost management

Hidden costs

Deployment time

How to choose the right customer service software

Solution

Introduction

The evolution of technology has changed the expectations of customers. Efficient

and personalized service is the need of the hour. Customer service software caters

to these needs by leaving customers happy, while making the lives of your

employees easier. Importantly, customer service software helps agents adapt to

the expectations of your customers.

In the age of social media, convenience has become essential to the customer

experience. Customers want the option to be heard on any platform they choose.

Of course, It would be impossible for any agent to monitor all the available

platforms at once. But with omni-channel support, customer service software

makes it possible to connect with customers on any platform, at any time.

Similarly, many pain points of customers, agents, and leaders can be addressed by

various features of customer service software.

With customer service addressing a vast range of needs across several platforms,

it is essential to have the right customer service software for your business. Here

are the essential questions you should consider before making your selection:

What are the challenges faced by enterprises using customer service software?

How to choose the right customer service software?

Challenges faced by enterprises

Integration

What is integration?

Why is integration essential?

To excel in the area of customer service, it is important to evolve in terms of productivity and

efficiency. The needs of your business will continue to increase and change over time; your

customer service software solution must adapt accordingly. Most customer service software

providers offer third-party integrations, which provide solutions to a variety of challenges.

However, these tools can be expensive, and in some cases, can leave your business

vulnerable to security breaches. Though they are intended to reduce the work of your

employees, they can end up causing additional stress instead.

Integration is the process wherein software subsystems work together to present a unified

solution to a given challenge.

Subsystems of a customer service software work together like a team of experts, bringing

knowledge from each of their fields to guide a project toward success. In the case of

customer service software, the goal is to enhance customer experience. One tool might

provide service agents with reports and insights, while another could empower them to

provide remote assistance to customers, and so on. With specialization in each area, different

applications come together to make the customer's journey smooth and easy.

But what if the experts working on a project all speak different languages? If there are

language barriers, it will probably become difficult for every individual to contribute

effectively. Similarly, when software cannot integrate, the outcome is usually disappointing.

Any two software applications you are trying to integrate could have different data or even

different formats, which could slow down the integration process or result in a faulty

integration. Even if the initial integration is successful, there are other possible issues that

could affect business operations.

Security concerns

With the transition to the SAAS-based delivery model, there has been a noticeable

increase in security concerns

of businesses relying on

third-party vendors have experienced

security breaches6

51%

Security breaches can tarnish the reputation of a company and erode the trust of

customers. They can also result in financial losses and legal battles.

Further complicating matters, it has become essential for SAAS providers to meet data

privacy mandates including the European Union’s General Data Protection Regulation

(GDPR), Brazil’s General Data Protection Law, and the California Consumer Privacy Act.

To stay compliant, providers must monitor the continuous changes taking place in data

privacy laws.

Will a customer service software provider who relies on third-party vendors be able to

provide your business with a tightly integrated and fully compliant security system?

Unfortunately, that's usually not the case.

When there are several joints in a pipe, most of the water spills out before reaching its

desired destination. These potentially leaking joints in a pipe are similar to third-party

vendors, which can cause security concerns and affect the trust of your customers.

Scalability

Can a provider remain compliant with data privacy policies when relying on multiple

third-party vendors?

It's certainly difficult. And as a business, you'll have to ensure that all your third-party

vendors are complaint with the latest policies. This calls for an additional investment

of time and administrative efforts.

On the other hand, maintaining a single pipe reduces the likelihood of spillage.

Similarly, a unified platform to serve your business needs can improve your

customer experience and save your business from any potential security threats.

Scalability refers to the ability of software to be accommodative to the changing

demands of a business to serve the needs of their customers.

The needs of a business increase as it grows. As your customer base expands, it

becomes more challenging to provide a personalized customer experience. In most

cases, it's only possible if your customer service software provider grows with you to

accommodate your changing needs.

Consider what happens to your phone when it reaches its maximum storage capacity.

It slows down. That's frustrating when you have to make important calls or read

important emails, or even prepare for an approaching presentation.

When customer service software reaches maximum capacity for requests, it results in

slowness. That means your customers experience a delay in reaching you. Will this get

you a good CSAT score? Definitely not. Your customers will give you a poor rating.

Daniel Wright, Admission Counselor

A single vendor who can readily accommodate your growing business will make your

growth process smoother and more efficient. But if you're working with several

third-party vendors, you'll experience limitations. Often, this means your employees

have to shift to a different software solution and learn everything from scratch.

Customer service software that grows with your company is essential. It's especially

helpful when your software solution has in-house capabilities to grow without

significantly impacting your budget.

Market opportunities

In business, seizing the right opportunity at the right time helps you stand out from

the crowd. But this can only be done when you have the right resources on hand.

Without a scalable customer service software product, it's difficult for businesses to

stay ahead of the competition. Slow software results in employee frustration,

impacting customer experience. The resulting customer frustration negatively

impacts your opportunities to widen the scope of your business in the market.

Slow

software

Employee

frustration

Negative

customer

experience

Reduced

business

opportunities

Employee satisfaction

It is necessary to ensure that your employees embrace new technology when it's

introduced. If implementation of your customer service software is too difficult, or the

product is too complicated to understand, your employees will not be able to provide an

ideal customer experience.

What if your agents have to manually create workflows even to receive simple

notifications instead of just turning on the toggle? This would mean spending additional

time not only on creating workflows but also on figuring out ways of doing it.

This is just one scenario. When using customer service software, there will be many

instances where the included features will either simplify, or drastically complicate, an

agent's job.

Dissatisfied employees result in dissatisfied customers. A simplified user interface

increases employee satisfaction, which ultimately results in customer satisfaction.

Contract management

When your customer service software provider relies on various vendors, you're usually

bogged down by numerous contracts. Tracking renewal dates with multiple vendors

can become difficult—and it leads to a 9% loss of revenue each year7.

Tracking renewal dates with

multiple vendors

9% loss of revenue each year=

Vendors can introduce frequent and unexpected contract changes, requiring

administrative efforts from your agents. Loss of time spent on contract renewal is

directly related to the productivity of your employees.

Cost management

Having to pay additional costs for additional features can become an accounting

nightmare. Add-ons are meant to boost the productivity of your agents and increase

customer satisfaction. But in many cases, they only increase workload.

Calculating software costs is not the end of the accounting cycle. Continuous upgrades,

new features, and maintenance have a great impact on the final cost of your software

solution. Investing in customer experience is essential for the goodwill and revenue of

your business—but you must evaluate the costs before investing.

Frequent

contract changes

Increased

admin efforts

Loss

of time

Decreased

agent

productivity

Hidden costs

Chuck Phillips, a JP Morgan analyst, cites a US Department of Commerce study

which indicates that only

The rest covers labor and implementation. Having to pay for add-ons on top of this

not only increases your expenses, but calls for additional work and time contribution

towards contract management and policy changes.

Spending effectively on your customer service software ensures an increase in ROI.

It is essential to consider the costs of investment and adopt a balanced approach

towards investment.

IDC reports9, “Many companies underestimate the cost of managing

applications. When you consider the annual costs of administering the

applications and the cost of managing issues around performance,

changes, and availability, it is likely to be significantly greater than the

application purchase price.”

of total costs invested

in software can be attributed to the

software license8

30%

Deployment time

Now that we are aware of the challenges, let's find ways to overcome them.

On average, software implementation takes around two years. Deployment time

is essential for an organization, but a long deployment period leaves employees

working within a half-baked system.

This can directly impact the customer experience.

The amount of time spent on research for a business usually takes up to one

year

, while getting comfortable with software takes around two years. This

further necessitates businesses to save time as much as possible to concentrate

on other things. Productivity of an agent can only be increased if they have suffi-

cient exposure to the software and time to learn it.

Imagine working in a store that is under construction. Employees would be run-

ning around, trying to navigate the mess to find products requested by custom-

ers. It would take twice as long to bring the product to the customer. Will the

customer return to this store? Probably not.

How to choose the right customer

service software

Is it easy to use?

When you browse online for a customer service software, the results can be

overwhelming. You will find tons of vendors offering their own solutions. With so

many options available, choosing the best for your business can be a challenge. Now

that you are aware of the challenges using a customer service software, here are 10

questions you should ask before choosing one.

Does it adapt well with

every business type?

Software with a shallow learning

curve ensures faster agent

onboarding. Essentially, software

should simplify agents' work, and

the agents and software should

complement each other. Ease of

use will vary according to your

requirements (such as number of

users, process complexity, and

customization needs).

Irrespective of the size and nature

of your business, the best software

can be molded to fit your unique

business needs. Your service

process reflects your business;

similarly, your customer service

software should reflect your

service process. It should have

enough customization options to

suit a variety of conditions.

Does it provide flexibility?

Is it scalable?

Does it increase agent

productivity and efficiency?

Does it integrate effortlessly?

Flexible software runs anywhere, in

any situation. Your software

shouldn't hold your company back

from shifting to a new platform,

device, or database. It must be able

to work on whatever new system

you deploy, and should function on

all smartphones, tablets, and PCs.

You often need multiple apps to run

your operations. Your service solution

must be able to integrate with these

apps to ensure the seamless flow of

data. This allows for agents to provide

more personalized service. Your

service provider must offer a wide

selection of integration options that

connect with your unique setup.

Switching platforms as your business

grows is an extensive project

altogether. It's important to find

software that scales along with your

business. Consider costs, features,

and user limits for each edition to

better forecast your future needs.

Easily scalable software should

flawlessly accommodate increases in

your workforce and workload.

Collaboration and productivity

capabilities can reduce agent burnout,

improve internal communication,

prevent agent collision, and decrease

response time. Productivity tools equip

agents with the right context to handle

tickets efficiently, and facilitate

collaboration with other teams to

resolve complex issues.

Is the pricing transparent?

Does it require minimal training?

Does it adhere to the d

ata

and privacy policies?

Does it offer high-quality support?

Take time to compare options and find

the solution with the greatest return on

investment, based on your budget.

Consider costs above the basic license

fee, like add-ons and future upgrade

costs. Choose vendors who are

transparent from the outset. Watch out

for any hidden costs (such as data

migration, training, and support costs)

and binding contracts.

Adopting your new platform should

require minimal training, which

should be free or low-cost. Establish

what is required for training, and

whether the basic level of training

comes at an additional cost. The

provider's website should have clear

onboarding and advanced guides,

tutorial videos, articles, FAQs, and

community help forums.

Customer service software also needs

customer service. No matter how easy

the software is to use, you will need

support at some point. Consider the

hours and channels of support offered.

Basic support should be available free

of cost. You can check the quality and

time of responses by sending a simple

email to the support team.

Often overlooked, a crucial factor when

considering any customer-facing software

is whether it is designed to keep your

customer data safe. If you deal with

customers from different countries, pay

attention to compliance with local

regulations. Take into account everything

from basic security settings and access

controls to GDPR compliance features.

Ensure that your business data is in safe

hands. Ask about vendor's data center

locations and compliance certificates.

Zoho Desk

Customer

insights

Issue free

software

Customer

engagement

Unified

business analysis

Self-service

Remote

access

AR/VR

support

Solution

Desk

A comprehensive customer service solution to address all your customer

service needs on one platform, with omni-channel support, workflow

automation, performance insights, self-service, team collaboration, and more.

Remote access: Help is just a click away! Remotely access your customer's

device to provide effective solutions without any field visits. Save customers the

trouble of elaborate explanations with technical jargon. Simply view their screen to

assess the problem and provide effective assistance at anytime, from any location.

AR/VR support: Zoom in on the problem through an augmented reality software

solution. Access a customer's smartphone camera, draw on and highlight images on

the screen, freeze the incoming stream, and more. Lens empowers you to trouble-

shoot equipment without ever setting foot on site.

Self-service: This self-service platform empowers customers to solve problems

on their own with the help of virtual agents in the language of their choice. Create

pre-defined flows that provide smart solutions to commonly asked questions and

save time on repetitive tasks.

Customer insights: Gain essential insights with interesting surveys that are easy

to distribute to your customer base—with or without an internet connection. Use a

variety of question types to gain a comprehensive understanding of your product's

performance, your customer satisfaction level, and more.

Customer engagement: Never miss an opportunity to interact with potential

customers. Zoho Sales IQ helps you communicate with your website visitors and

engage them at every step of their buying journey. With Sales IQ's analytics, you'll

gain valuable insights into how your brand page is performing.

Unified business analysis: Zoho Business Intelligence helps you easily tap

into your customers' experiences to understand your business performance. Gain

useful insights so you can make better decisions and provide an unparalleled

customer experience.

10.

References

https://uplandsoftware.com/kapost/resources/blog/customer-acquisition-versus-

customer-retention/

https://hawkemedia.com/insights/how-the-customer-experience-drives-business-growth/

https://content.genesys.com/state-of-customer-experience

https://www.forbes.com/sites/blakemorgan/2021/08/09/10-stats-showing-the-growth-of

-cx/?sh=dd815fd5f237

https://www.mckinsey.com/business-functions/risk-and-resilience/our-insights/securing-

software-as-a-service

https://securityboulevard.com/2021/06/third-party-data-breaches-a-rising-threat/

https://www.worldcc.com/Resources/Content-Hub/View/ArticleId/1207/Poor-Contract-

Management-Costs-Companies-9-Bottom-Line

https://www.datamation.com/applications/the-hidden-cost-of-software/

https://technologyadvice.com/vendor-resources/software-implementation-benchmark-report/