Customer Loyalty

Don’t think of Customer Sevice as something you do, it needs to be the core of your company if you want to make loyal customers. True customer loyalty is hard to get so every part of the business has to be focused on it if you are going to find more than one or two.

Loyal customers, they don_t just come back, they don_t simply recommend you, they insist that their friends do business with you. - Chip Bell

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Simple Customer Service (or How to lose a customer for $0.30)

It’s a well-known statistic that a happy customer tells 9 people on average and an unhappy customer tells 16. Unfortunately, if you provide poor customer service to a marketer they are likely to turn it into a lesson for thousands. Every company I know is constantly looking for new customers but it is always cheaper to retain the ones you have. On average it is 6-7 times more expensive to get a new customer than to keep an old one. How do you keep them? Most cases it is all about the customer experience. Today is a lesson on flexibility during the customer experience.

The short version of the story is that a popular fast food chain had an advertisement on the menu board showing the price of an Italian sub. The main menu board had a different price. The manager was already at the register due to an issue with the computer freezing while taking my groups order. The discrepancy was pointed out, he said there was no difference in the sub so a member of my group ordered the cheaper version. Of course, the more expensive version was what was in the computer. No problem, punch in the discount, change the difference, reduce the price down to the advertised price right? Wrong, apparently corporate sets the prices in the computer and the manager can’t do anything about it. Let me repeat that, the manager has no control to give customers the price they are advertising on the menu board. He absolutely refused to give the reduced price. It was a matter of $0.30. Lost a loyal customer for $0.30 due to inflexibility. Not to mention the company, famous for its social media work, has ignored the post pointing it out all day. Granted, it’s a big company, but when your business is tagged in the same post as #customerservicefail, you might want to be paying attention. Now there’s a couple tweets, a blog post, two Facebook posts and a spot in an upcoming lecture. All this fuss for $.030? Well, yes, it’s my $0.30. If I spent $0.30 more on every transaction through a year when I wasn’t supposed to I would lose a couple hundred dollars. It eventually adds up so I tend to be aware when I am not paying the advertised price. Plus I feel such tactics are underhanded and it makes me feel unappreciated when a company thinks it’s ok to overcharge their customers.

 

The lesson is about flexibility. The customer doesn’t want to hear what corporate policy is. The customer doesn’t want to hear what you can’t do. Tell them what you can do, what the solution is. In simple cases like a price screw up, get them the advertised price. If it is truly against policy and there is no way you can change something, tell them what solutions you can provide, not what you can’t. Don’t hide behind policy and procedures, it’s bad customer service.

 

Arbys fixed
Of course, as we ate the manager “fixed” the problem.

 

 

The Do’s and Don’ts of Customer Service

Customer service is the lifeblood of a business. No matter what business you are in there is some element of customer service involved. Here is an infographic giving some of the Do’s and Don’ts of customer service to use as a baseline.

Do's and Don't of Customer service

It’s All About Customer Service

If there is one thing I have learned in my 25 plus years of business it’s that customer service should be a top priority because it is part of every aspect of your business. Marketing? Begins with good customer service. Sales? It is customer service. Accounting? Ok, maybe not EVERY aspect, but accounting can be helped by good customer service. Here are some stats to keep in mind as we explore customer service this week.

Why Customer Service Matters