The concept of call center technology has evolved over time, and it’s difficult to pinpoint an exact date or year when it was born. From the first automatic call distributors (ACDs) introduced in the 1960s, call centers have improved business outcomes for companies across all industries.

Notwithstanding urban legends, the call center technology isn’t exclusive to large organizations. Small companies can implement it as well and stand out among their competitors as a result.

Your business needs the call center technology

According to a 2022 survey by IDC, 77 percent of companies say offering a good customer experience is a key differentiator in their industry. More than 40 percent of companies say they offer a good customer experience (ranking their efforts at a 9 or 10 out of 10). Yet customers disagree. Only 11 percent of consumers gave brands a 9 or 10 for the experiences they create for buyers.

One way to enhance the customer experience is to provide a call center for people who need help. This is just the first out of these five reasons why your business needs a call center.

1. Reduce customer churn

Every company is different, but it costs businesses $243 on average for every customer lost. This is lost revenue from the consumer plus the marketing costs to replace them. Experts estimate that it is 5 to 25 times cheaper to retain a customer than to recruit a new one.

While churn is a natural part of business operations, you don’t want your customer turnover rate to increase. This is where your call center comes in.

A customer is 2.4 times more likely to stay if a company can solve their problems quickly. If contacting a support specialist is easy and the problem gets resolved, the customer doesn’t have time to get frustrated.

Good customer service can turn a bad experience into a positive one.

2. Make your customers spend more

Not only are customers more willing to stay with your brand if you solve their problems quickly, but they will likely spend more in the long run.

Returning customers already spend 67 percent more than new customers. By lowering your churn rate, you can increase your average ticket because a higher percentage of your customers will already be loyal to your brand.

Communication plays a key role in customer spending. On average, customers are 2.7 times more likely to spend more when companies communicate clearly. If your buyers know how to reach you and their problems are solved, you don’t have to worry about them coming back.

3. Empower your customer service representatives to actively upsell

While good customer service can increase loyalty and sales in the long run, your call center team can also drive up sales. Having direct contact with the customer gives access to upselling and cross-selling opportunities.

Upselling increases revenue by 10-30 percent on average. If your call center team is trained to talk about your products, they can recommend additional items your customers might need.

First, they solve the customer’s problem, then they increase the sale. It’s a win-win for everyone involved.

4. Consumers of all generations use their phones to call brands

Investing in a call center is a key part of offering good customer service and reaping the benefits mentioned above. While chat has become popular, consumers across all generations still feel comfortable and like calling companies when they need help:

• 32 percent of Baby Boomers
• 29 percent for Gen X and Millennial
• 31 percent of Gen Z

Don’t expect call centers to go away just because customers are embracing technology. Even kids born into the world of texting and social media want to make phone calls when they need help.

5. Companies of all sizes can have a call center

Gone are the days of large call centers with endless desks and rows of phones. Modern call centers tap into the trend of remote workers and wireless technology. Use a Unified Communications platforms like VoipNow to deliver call center services regardless of where your employees are located.

What’s more, small companies can:

• Scale their efforts during peak customer purchase seasons—like the holidays for eCommerce brands.
• Easily track reports and other key features to make adjustments for better performance levels.
• Allow call center employees to work from anywhere. More than half (56 percent) of call center workers say they would quit their jobs if they had to commute to an office every day.

At a glance

Call centers offer low-cost, low-risk opportunities for all companies regardless of industry and size. Good customer service reduces churn, builds customer loyalty, and provides opportunities to upsell to customers.

Customers across all generations feel comfortable making phone calls to companies when they need help. Furthermore, modern call center technology makes it easy for small businesses to have a call center without hefty start-up and maintenance costs.

Consider having a call center and see how it improves your business. Ask us more and we will recommend you one of our service provider partners.