Introduction

Many companies underestimate the impact of a high Customer Effort Score (CES). A customer who has to make an effort to buy a product, resolve a problem or find information can generate direct and hidden costs.

In this article, we discuss the hidden consequences of a high CES and how organizations can prevent them by improving processes and making things easier for customers.

What does a high CES mean?

A high CES indicates that customers have to make a significant effort to achieve their goals. This can manifest itself in:

  • Long waiting times
  • Complex processes
  • Many interactions needed to resolve problems

Hidden costs of a high CES

1. Customer loss

High effort leads to frustration. According to Gallup, 68% of customers leave because of poor service or cumbersome processes, regardless of product quality.

2. Higher service costs

Customers who struggle call more often, send more emails and visit physical locations more frequently. This increases operating costs.

3. Lost revenue

Difficult processes discourage customers from purchasing additional products or services. Repeat purchases decline.

4. Reputational damage

Dissatisfied customers share negative experiences on social media, review sites or through word of mouth.

5. Lower employee satisfaction

Employees have to answer more questions and resolve more problems, leading to greater stress and employee turnover.

Real-world examples

  • Telecom: Customers who struggled to change their subscription → many call center interactions → higher costs → increased churn.
  • E-commerce: Difficult returns process → negative reviews → declining revenue → higher support costs.
  • B2B software: Complex onboarding → customers repeatedly request support → implementation delays → uncertain contract renewal.

Improving CES to reduce costs

  1. Identify high-effort processes
  • Use surveys, observations and analytics
  • Prioritize based on impact on customer value
  1. Automate and simplify
  • Self-service portals
  • Chatbots for simple questions
  • Digital workflows
  1. Train employees
  • Empathy and efficiency increase satisfaction
  • Reduces escalations
  1. Monitor and adjust
  • Measure CES continuously
  • Link feedback to improvement actions

Conclusion

A high Customer Effort Score has direct and hidden costs: customer loss, higher service costs, a negative reputation and lower revenue.

By measuring CES, identifying high-effort processes and improving them through digitalization and training, organizations can reduce costs, increase loyalty and improve customer satisfaction.