How Much Does Customer Service Training Cost?

Costs of customer service training

Customer service training typically teaches representatives to remain patient while being empathetic, flexible, accommodating and well-informed about the company’s products and services. The goal is to foster positive customer relationships that build loyalty and satisfaction.

How much you pay for customer service training usually depends on three things: 

• Type of training: A brief and general introduction to customer service costs less than a longer, more in-depth training that involves role-playing and education on handling various scenarios. The more hands-on the training, the more it will cost.
• Amount and length of training: One-off sessions are more affordable than multi-day or multi-topic courses that dive deeper into customer service strategies.
• Number of employees receiving training: Smaller classes tend to be less expensive. Larger groups often require more materials and a greater allocation of the instructor’s time and attention, which can increase costs.

Average costs by training type

Customer service training costs can vary significantly depending on the format and level of interactivity. Here’s a general breakdown of average prices, from the least to most hands-on. Keep in mind that actual costs may vary by location and provider.

• Distributed training materials: You may spend anywhere from $50 to $1,000 on materials you purchase or create yourself and distribute to new hires.
• Online courses (on-demand video): Expect to pay around $10 per employee for basic, self-paced training programs.
• Customer service software: Subscription-based training platforms typically charge between $19 and $800 per month or more, depending on the features and the number of users.
• Virtual training with a live instructor: More interactive sessions with real-time guidance generally start at $1,000 and up.
• Onsite in-person training (full-day): Costs typically range from $500 to $3,000 and may increase based on your employee count, travel needs or custom program design.

Types of customer service training

Here’s a more in-depth look at the various customer service training options mentioned above to help you evaluate the best solution for your business. 

1. Purchase and keep customer service training materials.

Buying customer service training materials is a cost-effective solution. You can keep these materials for repeated use with new employees. These resources may include videos, workbooks and audio recordings. However, they can quickly become outdated, and you’ll likely need to reinvest every few years.

Ask experienced employees what customer service elements and materials they believe the training should include, and incorporate their suggestions to improve the program.

2. Register for on-demand customer training courses.

Many companies use virtual customer service training for the following benefits:

• Online training is uniform: Global businesses can provide consistent training opportunities no matter where employees are located.
• Online training is accessible and flexible: Courses are stored in the cloud, allowing employees to access them 24/7. Team members can complete training at times that suit their schedules.
• Online training is always up to date: Customer service is an evolving industry. Employees must have access to the latest information to enhance customer satisfaction and support their needs.

Multiple corporate learning providers offer online courses for customer service training. The following are a few respected providers of online training courses for customer service professionals:

• Alison Online: Corporate learning provider Alison has thousands of virtual corporate training lessons and tests. Costs and course lengths vary, but some programs are offered at no cost, and most provide certificates or diplomas upon completion. Visit Alison online to learn more.
• LinkedIn Learning: LinkedIn Learning offers courses on customer service best practices for professionals, representatives and managers. Prices, levels and course lengths vary. Topics include communication, call centers, CRM software and more. Visit LinkedIn Learning for more information.
• Cornell University: Multiple colleges and universities offer non-degree courses for customer service training. For example, Cornell University provides five virtual courses that explore subjects such as customer service leadership and fostering a culture of service excellence. Cornell faculty members teach and develop the programs, which are conducted entirely online. Participants who complete the course receive a certificate. Visit eCornell to learn more.

3. Buy customer service training software.

Customer service training software offers the same scheduling benefits as online learning, but also includes special features such as worksheets, quizzes, printable notes and interactive graphics. Many customer service software packages allow you to add company-specific information and customize your training with actual policies and scenarios that your reps may encounter.

“This is the perfect tool for customer service training if you find the perfect software,” said Mike Thompson, CEO of Learner Mobile. “The right customer service training software should be scalable, on-demand and customizable.”

Thompson shared an example of a makeup company using customer service training software that’s up to date on all the latest trends, even if the employee isn’t.

“Did Taylor Swift just wrap up a concert, and her eyeshadow look is going viral? Then your software needs to allow for near-instant content updates,” Thompson explained. “That way, when customers ask your frontline staff at the makeup counter about Swift’s look, the employees are prepared to answer with how to achieve it, and with which product.”

4. Access virtual customer service training with a live instructor.

E-learning sessions taught by live instructors are frequently conducted via Zoom or other live video conferencing platforms.

“Often referred to as ‘Huddles,’ this is where teams get together and go through the customer service training session with an instructor who is live and ready to field questions throughout the session,” Thompson said.

Virtual sessions give your company the flexibility of multiple locations, a lower price than in-person instruction and an engaging format. Participants can ask specific questions and receive answers in real time, and a live instructor can better maintain participants’ attention than an on-demand, pre-recorded video.

5. Enroll your team in traditional customer service training classes.

Customer service classes led by in-person instructors or consultants can provide up-to-date, industry-specific training. These classes provide materials and valuable training techniques like role-playing. However, they’re also the most expensive option. Having an actual person in the room leads to the highest engagement level, especially if the instructor is dynamic. Since this type of training typically takes at least half a day, it may generate some grumbling among employees.

Jared Koll, CX advisor at Outsource Consultants, noted that the effectiveness of traditional training depends on how it’s structured. “For training to work, it needs structure — good content, the right tools, regular QA,” Koll said. “It’s not just a one-off course. That’s why some companies choose to partner with outsourced providers who bring all of that to the table. You get the benefits of great training without having to build or manage the whole system internally.”

How to evaluate training programs and their cost

When evaluating the pricing and costs of customer service education and training programs, consider the following questions:

1. What is the value for the money? Does the customer service training program incorporate crucial elements that will make it worth your money? Courses should address listening skills, workplace conflict resolution, stress management and crisis communication strategies. “A lot of small businesses go straight to pricing: ‘How much is this course or platform?'” Koll noted. “But that’s just the tip of the iceberg. The real cost includes how long it takes to train, how much time agents spend off the phones, and what it takes to reinforce that training after the fact.”
2. Is there potential for transfer of learning? Which training type will result in the best transfer of learning? Will your employees pay attention, digest and use the information as presented in training? If your employees don’t put the skills and techniques they learned into practice, the training is useless, and you’ll have wasted money.
3. What is the importance of customer service in your business? How critical is good customer service to your company? If you have few customer service interactions and can easily resolve most issues, you may not need to pay a lot for customer service training. But if you have a complex or expensive product and a relatively high interaction volume, your customer service staff needs highly developed skills.
4. Is there a critical customer service person? Consider giving one key employee in-depth customer service training. That employee can then develop a customized training program for subsequent hires.
5. Could you train an escalation team? An alternative route is to give in-depth training to your escalation team. When a complex problem or a particularly difficult customer appears, the issue can be escalated to this team for resolution. The rest of the customer service representatives can receive a more fundamental level of training.
6. Are there relevant cross-training options? Review cross-training options relevant to your business, such as implementing sales or technology skills.

The benefits of customer service training

Providing excellent customer service is a must, now more than ever. Customer expectations have never been higher, and companies that lack in this area will pay the price. 

“Customers are, unfortunately, less likely to ‘forgive’ a small business for lacking customer service,” Thompson cautioned. “If a Walmart customer receives bad customer service, [they] still may shop at Walmart. Not so true with a retailer who might have 10 locations.”

Here are some of the benefits of customer service training:

• Customer service training protects a company’s reputation: A well-trained customer service rep can strengthen your company’s reputation by using techniques that make the customer feel heard and valued. When they can kindly and professionally solve a customer’s problems, your company’s reputation benefits from customer loyalty, referrals and positive customer reviews. 
• Customer service training enhances employee job satisfaction and retention: Customer service can be stressful, as representatives deal with problems and upset customers throughout the day. Lack of preparation can easily result in frustration and feelings of overwhelm, which can lead to an employee quitting. In contrast, developing great employees helps retain them. Robust customer service training empowers new hires with the confidence to excel in their roles. 
• Customer service training contributes to a culture of customer care: You may tell new hires that the company is customer-focused. Still, that ideal will only be a reality if you follow through with a thoughtful and comprehensive customer service training program. A good customer service training program tells employees that your company culture prioritizes excellent customer service, and this feeling will translate into their customer service interactions.
• Customer service training supports employee stability: Koll stressed that customer service training unlocks consistency. “It ensures your agents handle issues the same way, speak in the right tone and know how to turn a tough moment into a positive experience,” Koll explained. “That directly improves [your customer satisfaction score], resolution times and even employee confidence.” 

Amanda Hoffman contributed to this article.