58% of Spanish CIOs are concerned about the impact of the Customer Service Act on their companies

More than half (58 percent) of Spanish CIOs are concerned about how the new Customer Service Act to their businesses and, although companies are generally familiar with the legal requirements, around 10 percent of them are not yet prepared for their practical implementation, as revealed by a recent study carried out by the customer engagement platform Twilio.

The report, based on a survey conducted in Spain of 100 information systems directors (CIOs) and 101 Customer Service directors, reveals a significant gap in preparation of Spanish companies to comply with the new Customer Service Law.

This regulation aims to improve consumer rights by instituting several key measures, including: the reduction of the time taken to resolve incidents, the limitation of telephone waiting time to three minutes or the elimination of answering machines, replacing them with human agents. In addition, the law prohibits customer service departments from generating extra income at the expense of the customer or being used to promote other products.

85% OF CIOs ARE AWARE OF THE NEW REGULATIONS

The study shows that a large majority of respondents are familiar with the new requirements. Specifically, 85 percent are aware of the new regulations regarding customer service phone calls and the same percentage are aware of the mandatory deadline for resolving complaints and concerns. In addition, 87 percent understand the need to avoid relying solely on automation and chatbots, and 84 percent is aware of the obligation to offer a 24/7 call center for essential services.

However, enforcement data shows some areas for improvement. While 76 percent believe the law’s goals are achievable for most companies, 58 percent have concerns about the potential impact on their organizations.

Operational reality also highlights areas that may need attention. The current average call response time in Spanish businesses is 2.33 minutes, with 30 percent of businesses responding within 1 to 2 minutes and 25 percent within 2 to 3 minutes.

As for the resolution of complaints, the average time is more than 3 days. 30% of companies take between 3 and 4 days to resolve a complaint, and 15% between 5 and 7 days, which could be a challenge with the new regulations, as the report warns.

IRREGULAR PREPARATION IN KEY AREAS

While 86 percent of companies feel prepared when it comes to staff training, only 77 percent are confident in their financing and 78 percent feel equipped to acquire new technologies. This suggests that while investment is being made in training, other critical areas may need more attention to fully adapt to the new legislation.

“Despite the high level of awareness of the requirements of the new Customer Service Law, many Spanish companies face challenges in meeting its requirements. The main challenges lie in ensure fast response times and effective resolution of complaints, which are key components of the legislation. To ensure that these challenges are addressed, implementing evaluation systems or external audits to measure improvements in customer services can be beneficial,” says Sam Richardson, Customer Engagement Consultant at Twilio.

Richardson adds that “Companies must undertake several initiatives to comply with the new regulations, “It is essential to understand the reasons for the customer’s contact and to identify who they are. Once the motivation has been identified, it will be much easier to opt for self-service or to direct customers to the appropriate contact person,” he added.

The executive says that “giving customer service representatives the right tools, such as Twilio Flex, with the right context will make handling complaints more effective.” “This is essential to resolving queries while building trust,” he adds.

Ideally, adopting a fully programmable contact center platform that supports multiple communication channels, automation, and intelligent routing can greatly improve customer satisfaction. The report also stresses the importance of adopting a platform that can provide real-time analytics and reporting tools to help businesses monitor, track progress and identify areas for improvement.

“Considering that These measures are incredibly difficult Fully implemented, Flex is programmable to accommodate changes and enhance existing systems, providing customer service teams with the tools they need to effectively manage interactions and drive better outcomes,” Richardson concludes.