The utilities sector trails behind in customer service, report finds

New research has revealed that the utilities sector is trailing behind in the customer service experience, after it ranked in seventh place out of 15 industries analysed. 

The ‘Customer Service Report’, by WhatsApp business communications specialist Esendex, analysed Trustpilot review data to give each industry a weighted index score out of 100, factoring in overall review scores and average sentiment ratings for customer service terms. The report then examined average wait times for customer support and the total number of communication channels available across key industries.

With a score of 82.7 out of 100 and an average Trustpilot score of 4.3, utilities emerged in seventh place out of the 15 industries analysed –  indicating an urgent need for investment into maintaining positive customer relationships and leveraging exceptional service to build loyalty and long-term success.

Sentiment analysis found the sector received reasonably average scores for:

  • Customer ‘service’ (4.4/5)
  • ‘Satisfaction’ (4.4/5)
  • ‘Experience’ (4.0/5)

Utilities also ranked third out of five in customer standards research, with customers waiting on average of 3 minutes and 4 seconds to speak to a human representative – which is slightly better than the overall average of 5 minutes and 6 seconds.

However, overall performance was average in both the index score and the customer standards. While utilities had the highest number of communication channels, this is not translating to better customer satisfaction, suggesting that the quality of service and resolution of issues, rather than customer support accessibility, may need to be improved.

As utility businesses provide essential services for gas, electricity, and water, which directly affect customers’ health and financial wellbeing, the sector’s overall score indicates an urgent need to prioritise better customer service.

Reliable, responsive support remains critical for maintaining trust and enhancing the customer experience, particularly as a recent survey found two in five customers struggled to reach support teams or to have issues resolved.

Despite this, utilities still scored higher than the overall average across all industries, which saw an average Trustpilot score of 4.1 and an index score of 76.8.

esendex

This comes as the Institute of Customer Service revealed UK customer satisfaction hit its lowest rating in nine years by July 2024, estimating that poor customer service was costing UK businesses over £87.6 billion per year.

Meanwhile, 83% of customers cited good customer service as their top motivator in purchasing decisions and 88% stated positive service experiences increase repeat purchases.

Construction and manufacturing lead the rankings with a score of 89.9 out of 100 and high sentiment scores for customer ‘service’ (4.6), ‘satisfaction’ (4.4), and ‘experience’ (4.3) across the board.

Following closely behind are HR and recruiting and health and medical in second and third place, with index scores of 89.7 and 88.0 respectively.

Retail ranked the lowest for customer service, scoring just 51.4 out of 100, suggesting widespread consumer dissatisfaction. This comes as pressure on e-commerce providers has intensified in recent years, with Ofcom’s annual post-monitoring report revealing an 8.3% increase in UK parcel volumes from 2023-2024.

Elsewhere, the housing associations and the banking and money sectors ranked second and third worst for customer service with 55.7 and 61.9 respectively.

Richard Hanscott, CEO of Esendex, said:

“Customer service is a critical part of business operations and reputation management, which is why it should never be relegated to the bottom of the priority list. As consumer demand and expectations expand year after year, businesses must implement fast, flexible, and multi-channel communication solutions that will align with the needs of customers.

“The findings from our ‘Customer Service Report’ highlight how industries such as utilities are falling behind the expected standard for customer service, and need to prioritise efficiency, clear communication and building positive customer relationships. With an index score of 82.7, the Utilities sector must focus on providing customers with timely support to enhance satisfaction and drive long-term business success.

“To be competitive, businesses must proactively build trust, a positive brand reputation, and improve customer service. By investing in the right customer service solutions – including WhatsApp for Business, AI, and chatbots – companies can streamline communication, reduce response times, and ensure support is available when and where customers need it. Even sectors with average customer satisfaction scores, like utilities, need to continue investing in the right tools to maintain these standards.

“Beyond strengthening customer relations, these tools also reduce pressure on customer support teams, cut response wait times, and provide 24/7 assistance, so that customers get the support they need, when they need it and in a way that’s tailored to them.”

SourceEsendex

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