Nearly six in ten (58%) consumers will spend more with companies they believe provide excellent service. – American Express Global Service Barometer Price is not the main reason for customer churn, it is actually due to the overall poor quality of customer service. – Accenture Global Customer Satisfaction Report Poor service increases operating costs due to additional contacts the customer has with the organization. These include additional labor time (time is more expensive with each move up the ladder) and sometimes compensating the customer.
Percentage of unhappy customers that don’t complain – 1 st Financial Training Services Percentage of those unhappy customers who will leave and never come back – 1 st Financial Training Services Percentage of the buying experience based on how the customer feels they are being treated – McKinsey Percentage of customers who would pay extra to guarantee better service – Defaqto Research 96% 91% 70% 55%
Anticipate and Exceed Customer Needs Make Every Impression Count Communication and Teamwork
What are your customers’ needs? (could be internal or external customers)
Meet versus exceed their needs Meeting customer basic needs Customers have a choice What does “exceed” mean? How can you do it better? How well do you know your customer’s needs? How well do you meet them?
The touch point is any contact or interaction with the customer: in person, via phone, email, service call, sales call, survey, feedback mechanism, product or service delivery, complaint, resolution, etc.
How Many Touch Points Does It Take To Hook Up New Customer Utility?
Be Courteous and Friendly What does courtesy look like? Smile Make them feel welcome Answer their questions Pleasant voice Giving them your attention
Have a positive “can-do” attitude Willing to help customer Develop alternatives Do what it takes to find the solution
Be Approachable – aware of body language 7% 38% 55% Perceived Communication Verbal (words) Vocal (voice tone) Visual (body language) What kind of message are you sending?
Characteristics of good teamwork Everyone provides service Understand and appreciate each other’s job Cooperation between departments Never say “It’s not my job” If you don’t know, find out Good communication Customers perceive teamwork
Good team communication Improves efficiency Increases productivity Prevents miscommunication
A dissatisfied customer will tell between 9-15 people about their experience. Around 13% of dissatisfied customers tell more than 20 people. – White House Office of Consumer Affairs It takes 12 positive experiences to make up for one unresolved negative experience. – “Understanding Customers” by Ruby Newell-Legner Happy customers who get their issue resolved tell about 4-6 people about their experience. – White House Office of Consumer Affairs If you fix it fast, 96% will stick with you. – Becky Saunders, former Nordstrom Exec and author of Fabled Service
Apologize Listen and validate customer – show empathy Never take it personally Stay professional and calm Don’t judge or correct customer Clearly identify the problem Make every effort to solve the issue Know when to admit wrong and when to compensate to save the customer Follow up when necessary
Develop and outline the “Official Policy” on how various types of problems are handled. Publish these policies in a way that it is quick and easy for everyone to access these policies. Develop and implement training that outlines the process for following these policies. Reward people for following the policies, write up when they don’t. Make sure the policies show people how to fix it, fix it fast, fix it right, and follow up.
Hire people with service focus Train so every team member knows what good service is, how to deliver it, and their authority to deliver it Allow room for people to make mistakes Eliminate barriers to complaints and comments Measure and track complaints “ If you can’t measure it, you can’t manage it.”
Everyone is responsible for service: accounting, finance, warehouse, sales, delivery, customer service, marketing, receptionist, CEO