Customer Service

2009-06-18T14:16:00.009-04:00

What is poor customer service costing your company?
The cost of losing customers is not only a threat to an organization’s existing market share, but also to its potential for future growth in the market. And, the expenditures in time and money necessary to overcome negative customer experiences consume budgets and manpower that are most likely already overextended.

The following statistics indicate the impact of a negative customer service experience:

· It costs an average of five times as much to attract a new customer as to retain an existing one.
· On average, dissatisfied customers tell 10 to 16 people about their negative service experiences.
· It takes 12 good service experiences to overcome a single bad one.
· 91 percent of unhappy customers won’t buy again from the company that displeased them.
· Of customers who switch to a competitor, up to 80 percent say that they were satisfied with the provider they left.

AchieveGlobal researchers interviewed service providers, their managers, and their customers, collecting over 3,000 “critical incidents” (short examples of good and bad customer experiences). In each incident, one or two key behaviors were central to the experience. Those behaviors were sorted into similar categories, then further sorted out and combined until four main qualities appeared.

The final report found that, regardless of industry, product, type of service, or country, customers value four qualities in the service they receive. Delivering on these four expectations is essential to creating positive defining moments in any customer service experience.

● Seamless: The ability to manage service factors that are invisible to the customer (behind the scenes) so that supporting processes and systems are aligned with the experience. Customers want to take advantage of the full range of services your organization offers; however, they do not want to talk with numerous people or worry about the service details. Customers expect you to coordinate events on their behalf.

● Trustworthy: The ability to provide what was promised, dependably and accurately. Customers want to feel they are in capable hands and that promises will be kept. They want things to be right the first time. Should something go wrong, customers expect a quick and thorough recovery.

● Attentive: The ability to provide caring and individual attention. Customers want you to acknowledge them quickly and politely—and to treat them with respect. They want you to meet their business needs in a way that helps them feel good about the interaction, and to welcome the opportunity to serve them.

● Resourceful: The ability to provide prompt service and creative solutions. Customers want a flexible approach to service. And they expect you to meet and handle their needs in prompt and creative ways.

This research is from the The Four Keys to Customer Loyalty, AchieveGlobal, 2005.

Want to improve your bottom line with exceptional customer service?

Contact Cathy Gellenbeck @ pdcctrt1@ucrwcu.rwc.uc.edu to find out more information about training programs, organizational consulting and coaching provided by the University of Cincinnati, Professional Development Institute at Raymond Walters College. You may also call 513-936-1730 or go to www.ucpdi.com for detailed products and services.

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Customer Service