Survey shows outdated tech frustrates UK & US consumers

A recent survey by YouGov, conducted in collaboration with Pegasystems, has revealed that consumers in the US and UK are increasingly dissatisfied with customer service, attributing their frustration to outdated technology used by major businesses.

The survey, which included 4,000 respondents, highlights a prevalent sentiment that corporations prioritise profit-increasing technological investments over those that would enhance customer experiences.

Specifically, 69% of those surveyed believe that businesses are more focused on financial gains than on modernising IT systems to serve customers better.

Don Schuerman, Chief Technology Officer at Pegasystems, commented on the findings, stating, "Businesses have to start taking the amount of technical debt they are managing seriously and examine ways they can use new innovations such as generative AI to make the existing systems they have in place work better for everyone."

He further elaborated, "In an age where customers are more demanding than ever, many of their needs are not being met as a direct result of organisations carrying technical debt. Tools like Pega GenAI Blueprint can jumpstart transformation projects and enable organisations to rethink and replace inefficient, siloed systems and applications that are not only causing internal problems, but significant external damage to customer experience – and, as a result, brand reputation too."

The research outlines several challenges that consumers face, which contribute to a declining trust in business operations. Among these issues, slow and fragmented customer service processes were cited, with 63% of respondents identifying long wait times as a significant pain point.

Furthermore, 51% reported frustration with having to repeatedly provide the same information to different representatives during interactions.

Additionally, technological disruptions on both sides of the interaction were noted, with 29% of participants indicating that service agents often blamed system issues for delays. Similarly, 28% of consumers experienced problems with slow or malfunctioning websites and apps when trying to connect with businesses.

The study also suggests that poor customer experiences lead to reactive consumer behaviour, with 48% of respondents stating they would share negative experiences with their network as a warning. Meanwhile, 37% confirmed that they would switch to competing businesses that better meet their service expectations.

A related global survey of C-level leaders conducted by Protiviti highlights that technical debt—stemming from outdated and disjointed systems—is a major hurdle in modernising operations and leveraging innovations effectively.

This aligns with the consumer perspective, underscoring the ongoing impact of legacy system issues on overall customer satisfaction and experience.

Pegasystems suggests that tackling these legacy issues with innovative solutions like generative AI can significantly improve both internal and external operational efficiencies. The cost of managing this technical debt is substantial, estimated to be USD $2.41 trillion annually in the US alone, according to the Protiviti survey.