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Post Info TOPIC: MSN's Customer Service Hall of Shame


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MSN's Customer Service Hall of Shame


These companies topped a list of more than 400 nominated by MSN Money readers. An MSN Money-Zogby poll ranked the 'Bottom 10,' and the 'winner' is . . .
By Christopher Oster

Who hasn't gotten lost on an automated phone line, wandered aimlessly around a store trying to find a sales clerk or waited hours for the repair technician who never comes?

We asked readers to tell us about their worst customer-service experiences, and more than 3,000 responded within 24 hours of our request. Now, with the help of pollster Zogby International, we are introducing MSN Money's Customer Service Hall of Shame, a ranking of the companies whose service is most often rated "poor" by consumers.

The results are in, and one company ranks below all the rest: Sprint Nextel, one of the country's largest wireless-phone carriers.A remarkable 40% of people who had an opinion of Sprint's customer service said it was poor. And Sprint was hardly the exception. All of the companies that ranked in our Bottom 10 had customer service rated "poor" by at least 20% of the respondents who expressed an opinion about their service.

[Below] is the Bottom 10, ranked by the percentage of people who said a company's customer service was "poor."

Customer Service: The Hall of Shame

You'd think that people unhappy with their service would just switch companies, right? Or that 40% of Sprint's 53 million customers would take their business elsewhere. Not so fast.

What many of these companies have in common is that, even though they appear to take their customers for granted, their customers have little choice but to swear and bear it. Want to change your cell-phone company? Be ready to pay up and lose cheap calling to many of your friends. Want to dump your Internet provider? Dial-up service might be your only alternative. Want to change banks? Set aside a couple of days to figure out the record-keeping hassles.

And these companies know it. Bank of America, second on our list, can't resist making acquisition after acquisition, setting in motion a painful process for its acquired customers. The less choice you have, the less pressure companies will feel to offer quality service.


Dishonorable mention


Sprint was among more than 400 companies identified by MSN Money readers this year after columnist Scott Burns
asked them for nominees for our Customer Service Hall of Shame. We took the top vote-getters from that list to Zogby, which asked a random sample of 5,000-plus people to rate the customer service of companies on that list.

One company that notably did not make it into the Hall of Shame is Home Depot. It was an article about deteriorating customer service at the home-improvement giant that sparked our interest in customer-service problems. Readers responded to
that column, also written by Burns, with more than 6,000 posts in our message boards and thousands more e-mails, most agreeing that Home Depot wasn't properly taking care of its customers.

It turns out Home Depot's customers don't feel nearly as ill-served as some other companies' victims. In the MSN Money-Zogby poll, Home Depot ranked 14th -- consider it a dishonorable mention -- with 13.3% of respondents who had an opinion calling its service "poor." Rival Lowe's ranked 18th.

When the original Home Depot story ran, the deluge of message-board posts about miserable customer service caught Home Depot's attention and prompted CEO Frank Blake to post two messages in MSN Money's boards, the first apologizing for our readers' experiences and admitting "we let you down."

For each of the five companies at the bottom of our customer-service rankings, we've posted their responses and created message-board threads to allow readers to pass along their own experiences, good or bad.

The bad with the good

A few of the companies that earned lots of "poor" ratings also received many "good" ratings. Wells Fargo is a prime example: While 21% of respondents who rated the bank's service said it was "poor," 52% said it was "good" or "excellent." The numbers for DirecTV were 20% "poor" and 50% "good" or "excellent."

"A lot of companies will come up on both lists, simply because they have so much contact with their customers," says Joe Calloway, a customer-service expert and the author of "Work Like You're Showing Off." "Think about the thousands of customer contacts these companies have. It's no wonder that they're going to be on a worst-of list."

But that doesn't let them off the hook, either, particularly because there are companies that operate in these same areas that do deliver the customer-service goods. Calloway points to Wachovia, a huge competitor of the big banks on the list and one renowned for its quality service.

'Rude, inaccurate and uncaring'

Sprint's sheer size didn't help its ratings, with twice as many people reporting fair or poor service as good. That just confirmed the venom on display in our message boards.

"Sprint has the type of customer service that makes you want to find a bridge and jump from it," read one post in our message boards. "I am not sure who the Anti-Christ is, but I feel certain he (or she) is working at Sprint (customer service) and just waiting until it's time to take over."

MSN Money isn't the first to call attention to Sprint's customer service. J.D. Power recently rated its customer service a two out of five, ranking it behind top-rated T-Mobile (five stars), Verizon (four stars) and Alltel (two stars). Verizon ranked eighth on our worst-customer-service list, while phone company AT&T came in at No. 5.

Some MSN readers bemoaned the fact that they felt stuck with Sprint because their friends and family also used Sprint's service. "Seriously, if not for the fact that the majority of the people I talk to are on Sprint (thus giving upwards of 2,000 mobile to mobile minutes), I would have switched companies a long time ago," wrote one MSN Money message-board poster.

Other readers said they'd rather endure the pain of switching than put up with bad service: "Bank of America took over my credit card account from MBNA and have ruined my ability to do online monitoring of card activity, to pay bills online and to get intelligent customer service," reads another message-board post. "Their online banking reps are rude, inaccurate and uncaring. I am going to pay off my balance and stop using my Bank of America credit card."

Investors take notice

The issue of customer service isn't just a problem for customers. Shareholders need to pay attention, too. Look at Home Depot. For years it was famous for having knowledgeable floor staff who could tell you what you needed to fix a leak or build a garage. Its stock, no coincidence, was a rocket, climbing from a split-adjusted $10 to $70 at the end of the decade. Now, with customer service faltering, the stock has fallen to $39.

"If you want to know how a company is doing, look at their sales," Calloway says. "If you want know how they're going to do in the future, look at their customer service. You can only tick people off for so long."


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OMG I finance my car with Wells Fargo. It is SUCH A PAIN! AND HOLY CRAP TO SIMPLY GET SET UP ONLINE TO MAKE ONLINE PAYMENTS, SOMETHING YOU'D THINK THEY'D ENCOURAGE?? NEAR IMPOSSIBLE!!! DIFFERENT WEBSITE, NOT LINKED TO THE MAIN ONE, OFTEN CRASHES...IF YOUR PASSWORD DOESN'T WORK FOR 3 TRIES, YOU NEED TO CALL, GET LOST IN THE PHONE TREE. TERRIBLE!!!!furious

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Whoa...did you remember to breathe during that rant JD? wink  Do you need to do some more verbal "ash-kicking" or has your pulse returned to normal yet? giggle.gif

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aw, I guess I meant it more as a whining more than a  shouting....a shout whine, like Britney Spears does....smile

whiner.jpg

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Oh man, I definitely agree with the AT&T one!

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The Chosen Woo

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wells fargo online paymrnt drives me mad too!

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The Chosen Woo

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the few times we had to call Verizon- we have never had a problem.

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Woo Hoo wrote:

wells fargo online paymrnt drives me mad too!



yea woo hey? its bizzare! terrible set up!!cry

 



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"And like Web, I enjoy throwing JR under the bus.  Problem is, it's usually under the special bus that I ride every day". Ghostdancer 12-18-09


The Chosen Woo

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I believe they are the ones that won't let you use Firefox too. They gotta be special. furious

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What surprised me is how many of them I use: Time Warner, AT&T, Wells Fargo, Wal-Mart...and I used to have DirecTV. Maybe I better rethink my consumer choices. laughing.gif

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