Research Unveils Growing Gap in Customer Service Expectations

SOCAP Australia

[Sydney, 18 February 2025] – Australian consumers are increasingly dissatisfied with the service they receive, with a significant gap emerging between their expectations and actual experiences, according to a groundbreaking new study by SOCAP Australia and Deakin University's Better Consumption Lab.

The research, which surveyed a nationally representative sample of 1,500 Australians in June and July 2024, found that two-thirds (66%) of respondents believe service quality has declined over the past five years. Across key service sectors—including mobile, banking, electricity, home insurance and government services—customers consistently reported that organisations are failing to meet their expectations.

"This study provides a critical snapshot of shifting consumer sentiment in Australia. Consumers are telling us that they are experiencing a decline in service quality, with reliability, responsiveness, and transparency being the most valued and yet most frequently unmet expectations," said Melanie Lawrie, CEO of SOCAP Australia.

According to Dr Jeff Rotman, Co-Director of the Better Consumption Lab at Deakin University, "At Deakin University's Better Consumption Lab, we focus on finding solutions that benefit both consumers and organisations. This research reveals that consumer expectations have risen while perception of service quality has deteriorated, creating a perfect storm of customer frustration. By identifying this gap between expectations and experiences, we hope to help organisations improve the quality of service they provide to their customers."

SOCAP Australia has released the key findings in the report Exploring the service expectation versus service experience gap. These findings include:

  • Banks ranked highest in customer satisfaction.
  • Over half of customers reported making a complaint when they encountered a service issue, yet complaint handling remains a major pain point, particularly in terms of speed, ease and resolution outcomes.
  • Customers expected quick responses, with 69% anticipating a reply to emails within 24 hours and 79% expecting the same for social
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