Customer service

Basic concept of customer service Basic communication skills of dealing with customers

Review
Do you think companies spend most of the time and energy attracting new customers or keeping existing customers? Which one is more crucial to a company, attracting new customers or keeping existing customers? Why? p.25 How do you understand the idea of Customers are God?

Statistics: Advantages of keeping customers

Repeat customers spend 33% more than new customers. It costs 6 times more to acquire a new customer than it does to keep an existing one. As little as a 5% increase in customer retention can increase profits by 25 to 95%.

Ladder of customer loyalty p.25

Advocate

Supporter
Client Customer Prospect

Strategies of building customer loyalty

Building brand equity - Brand loyalty (From a marketing point of view, brand equity is the measure of customer loyalty to a brand.) Creating customer satisfaction Creating and maintaining relationships - Customer service - CRM (customer relationship management)

I. Customer Service Discussion: Sharing your experience

Talk with your partner about your most delightful or annoying experience with customer service as a customer. Refer to p.84

Discussion: What were the consequences of your delightful and annoying customer service experiences?

Facts about customer service

80% of business leaders believe their companies are doing a good job in the way they treat customers. Only 8% of customers agree.

Facts about customer service

54% to 70% of customers who complain will do business with you again if they feel their problem is resolved. That figure jumps to 95% if the customer feels the complaint has been resolved quickly. According to the above recent reports, outstanding customer service is now rated as being more important than low prices and quality products!

1. What is customer service?

How a company deals with its consumers before, during and after a purchase or use of a service. A series of activities designed to enhance the level of customer satisfaction that is, the feeling that a product or service has met the customer expectation. A proactive attitude that can be summed up as: I care and I can do.

2. Why it matters? Businesses need to recognize: The benefits of having satisfied

customers;

The costs of having dissatisfied customers .

Reading
p.86 Customer delight

3. Who offers it?

Who gives customer service? Name some job roles Shop assistants (salespersons) Receptionists Bank assistants Insurance agents Food servers Bus drivers Customer service representatives

Link: Customer Care

Customer care centre Customer care representative The two terms (customer service and customer care) are often used interchangeably. Customer care is the application of customer service.

3. Who offers customer service?

Excellent customer service can only be achieved by training all employees, even those who do not have direct contact with customers. Happy employees make happy customers.

4. How to offer customer service?

Listening: - p.89

4. How to offer customer service?

Discussion:
What rules for good customer service can you summarize?

4. How to offer customer service?

Excellent customer service is the ability of an organization to constantly and consistently exceed the customer's expectations. Its all about attitude and skills.

Rules for good customer service

Answer your phone
Make sure that someone is picking up the phone when someone calls your business.

Dont make promises unless you WILL keep them Listen to your customers
Let your customer talk and show him that you are listening by making the appropriate responses, such as suggesting how to solve the problem .

Deal with complaints Be helpful, courteous, and knowledgeable

Communication skills of dealing with complaints

Customer complaints p.85, Book 4 Telephone complaints p.131, Book 3 Handling difficult situations p.43, Book 4 Resolving conflict p.73, Book 4 Active listening p.89, Book 4

Words & phrases that damage customer relationship Ill find out for you;

You dont understand. Ill need to check on that and get back to you; I dont know. Ill have to look that up, when is a good time for me I cant to call you back? You dont see my point. Hold on (or hang on) a second. Our policy says (or prohibits) Thats not my job/responsibility. You must/should Youll have to What you need to do is Whats your problem? Why dont you? I never said

Words & phrases that build customer relationship

Please. Thank you. I can/will How may I help? I was wrong. Youre right. I understand how you feel. May I ? / Could we try ? Have you considered Im sorry for Its my/our fault. What do you think? Would you mind?

Express empathy to customers

Use empathic phrases: I can see why you feel that way I see what you mean That must be very upsetting I understand how frustrating this must be Im sorry about this Always say youre sorry

Excellent customer service

Study these winners Customer service stars: 2009 BusinessWeek Top 25
http://images.businessweek.com/ss/ 09/02/0219_customer_service/1.htm

Customer service & CRM

CRM is useful for customer service. Businesses can use automated CRM applications to analyze customer complaints, or compliments, and change the business processes accordingly. Interestingly enough, CRM products also run many automated call-centers for businesses (i.e. customer service systems). CRM applications and practices are used to make businesses more efficient and improve customer satisfaction.

Role play (work in pairs)

You have bought a cell phone and its broken after only one week and youre very angry about products not being made to last anymore. You want the salesperson to do something immediately. She is offering you a replacement and you want a refund.

Homework
Listening pp.84-85 Case study p.90

Appendix
How to deal with different types of customers?

The talkative customer

Ask closed questions Limit the time available for them to interrupt (dont have long pauses) Provide minimal response Smile and be pleasant, but dont encourage them Wind up thank them for coming, walk them to the door but dont be rude or dismissive

The angry customer

Listen carefully without interrupting so you understand the problem Empathize in a broad way Stay calm and remain polite Dont escalate the problem Dont take it personally, be defensive or blame others Propose an action plan and follow it Seek support if you are scared, if you cant agree on a solution or if the customer asks to see whoevers in charge

The know it all customer

Acknowledge what they say Compliment them on their research Be generous with praise Dont put them in their place no matter how tempting Dont try to be smart you cant win! Ask them questions and use them to improve your knowledge

The indecisive customer

Find out what they really want Ask them for the options Reflect back to them what theyve said Assume control gently and point out the best course of action from what theyve told you they need Be logical Confirm a plan of action with them Maybe even put it in writing

The suspicious customer

Establish your credibility Ensure you know your product or service They will try and catch you out so dont guess or tell them something youre not sure of Be careful what you say Be polite Dont take it personally, they dont trust anyone!