How to Keep the Customers You
Have
If anything strikes fear in the heart of a business owner who is proud of
his company's customer service, it's the unhappy customer telling others how
displeased he is. The old adage was that one person upset by Company X's
treatment told an average of eight to ten friends. Then those people told
even more, and before long, maybe one hundred people knew of the bad
experience at Company X.
Now, one unhappy person can tell hundreds, thousands, millions or more
people just by typing his tale into a blog or a broadcast e-mail and
pressing send. Soon the tale, fair or not, is on its way around the
world! If the old eight to ten figure gave you chills, the eight to 10
million is likely to knock you off your feet.
If your company truly values great customer service and backs it up with
actions, then you have a good foundation to survive the occasional
dissatisfied customer. Loyal customers will forgive a stumble if you
quickly put it right. But if you treat the mistake casually or repeat
it, your most solid supporters are likely to remind you that they have
choices, and take their money elsewhere.
Given that the cost of acquiring each new customer is ten times the cost
of keeping the ones you already have, you need to get out the polishing
cloth and burnish the skills of everyone in the organization. That's
right – everyone. The customer sees you as Company X, not just a loose
collection of departments under the same roof. If one department errs,
it's Company X's responsibility to correct the error as quickly as
possible. That means no telephone tag, no sending the customer from
person to person, no shoulder shrugging and no instructions to the
customer that begin with, "You will have to" or "You need to".
Because you know the actions that drive customers away, emphasizing to
employees the behaviours and qualities that keep your loyal clientele
returning is a positive step you can take. A wise manager will observe
his employees at work and ask his customers often what they like and how
to improve. Some of these will pertain only to certain businesses, but
many customer answers are universal, and here is a sampling from various
surveys:
- Customers want knowledgeable,
helpful staff. This means employees must know both the product and
the company well. Your goal is to build trust and credibility in the
workers as well as the rest of what you sell. If someone likes your
brand of appliances but your service or delivery department has a poor
reputation for timeliness, your whole company is operating at a
disadvantage.
- Customers want flexibility. If a
loyal customer needs help now, not tomorrow or the next day, what can
you offer him? Do you know your customers by name – well enough to know
their special needs, and do you listen when they have a problem? Or do
you operate by a rigid set of one-size-fits-all rules?
- Customers want to feel they are
getting an item equal in value to the price they paid. If you sold
an expensive product that doesn't hold up under normal conditions, your
customer will likely feel cheated. If she brings the product back for a
refund, you might have to swallow the loss. But you will have gained a
customer for life, and probably learned an important lesson about the
product – and maybe about your vendor, depending on what he does about
the product.
- Convenience. Are you easy to
find in the phone book? If someone wants to visit your store, is your
address clearly visible from the street? Is your parking lot cramped and
always full, or is parking always available? If customers dial your
number, will they talk to a real person? If your use an automated phone
system, is it clear and easy to operate?
- Help when you need it.
Twenty-four hour service is only good if it's actually 24 hours. Don't
promise more than you are willing to deliver. If you prefer not to have
someone answering the phone at ten at night and seven in the morning, or
on weekends, don't advertise 24-hour service. Don't put phone customers
on hold for "a minute" that stretches into five, then seven, then more.
If researching the issue will take longer than a minute or two, offer to
call the customer back the same day.
This customer wish list is deceptively simple. Just because it makes
sense does not mean every worker agrees with it and does everything on
it. Good leaders will state specifically what they want – but that's
only half of the job. The next step is hiring people who buy into your
organization's values and training them continually to deliver what your
customers want. Monitoring customer service behaviour throughout the
organization and correcting missteps quickly are always good ideas.
The excellent customer service you offer may mean you are soon worrying
about another kind of math – so many happy customers telling so many
others about you that you and your workers almost can't keep up
with demand.
Jim Sirbasku, CEO
Profiles International
Pop Quiz
What's
Your Customer Service IQ?
1. Conventional wisdom says that upset customers tell eight
to 10 people if they were unhappy about a company's poor customer
service. Now they can tell eight to 10 million or more because
of _________________.
a. the Customer Service Reporting System
b. the increasing population
c. the local media
d. the Internet
2. The software process a company uses to track and organize
current and future customers is called _________________.
a. customer service reporting
b. customer relationship management
c. customer care
d. human resources universal software
3. The software process mentioned in question 2 above is not
foolproof because some organizations __________________.
a. fail to maintain their computer systems
b. employ too few customer service employees
c. do not take full advantage of the software after installing
d. have outdated computers
4. Each year, the average business loses __________ of its
customers because of poor customer service.
a. 10 to 15 percent
b. 50 percent
c. 90 percent
d. 1 percent
5. What department of any company should carry 100 percent
of the load of good customer service? __________________________
a. The customer service department
b. Human resources
c. No matter the department, it is every employee's responsibility
to supply excellent customer service.
d. The CEO's office
6. The word(s) used to describe the number of customers lost
over a period of time is _________.
a. slash
b. churn
c. the ones who got away
d. rollover
7. The most important thing to do when confronted with a
customer service problem is _____________.
a. Listen to the customer's concerns
b. Say you are sorry for the problem.
c. Correct the problem quickly.
d. All of the above.
8. What's the best thing to do when confronted by an angry
customer? _______________________
a. Deny everything; after all, your company is always right.
b. Put the phone receiver down and walk away while he details the
problem.
c. Let him/her do a certain amount of venting as long as it's not
personal.
d. Let him bully you personally because someone at your company
deserves it.
9. _________ customers are usually more profitable to an
organization.
a. Long-term
b. Wealthy
c. Older
d. Complaining
10. Complete this quote Walt Disney made about customer
service: "Do what you do so well that they will
__________________________________________."
a. copy it in their own organizations
b. want to see it again and bring their friends
c. return to see you at least once a month
d. call everyone they know to report what a good time they had
Answers: 1. d; 2. b; 3. c; 4. a; 5. c; 6. b; 7 d; 8. c; 9. a; 10. b
Source: Various customer service experts
Put Muscle Into Customer Service with CSP™
True or false? All employees should flex their customer service muscles,
even those who do not wear the job title.
The answer is "true," of course, but the reality is that some workers
are more inclined than others are to see customer service as part of
their job. It is also true that each organization must clearly define
what customer service means to that organization, then strive to
recruit, hire and develop workers who match the definition.
The Customer Service Profile™ can help.
A well-rounded definition of customer service includes several universal
ingredients: attention to detail, consistent performance, a helpful
attitude that includes a smile. From there, a company needs to define
other elements that pertain specifically to its operation. This might
include everything from the basics – how employees answer the telephones
– to the more complicated – how much freedom an employee has to solve
problems on the spot, without seeking supervisory approval.
With such a definition in place, CSP™ can aid in the recruitment and
selection of employees who match the organization's standards. It can
also shine a spotlight on the areas where the company would benefit from
coaching.
Communicating what good customer service looks likes is easier if you
hire people with the right attitudes. This is where the CSP™ provides
invaluable help by assessing the beliefs and customer service
proficiency of both current employees and job candidates. This gives you
important information you need to hire people with the skills you
desire, improve training in a vital area and broadcast the message that
every employee has a role to play in customer service.
CSP™ measures such characteristics as tact, trust, empathy, conformity,
focus and flexibility. It also assesses skill level in vocabulary and
mathematics. It measures how each person’s perspective on serving
customers aligns with the organization’s policies and attitudes.
With Customer Service Profile™, you receive three types of reports:
- A Placement Report.
The Job Match Percentage, part of this report, tells you how well job
candidates match your standards and the degree of alignment between a
candidate’s perspective and the company’s.
- A Coaching Report. It
reveals the areas in which individualized training/coaching will instil
the attitudes you want in all employees.
- An Individual
Report. Through heightened awareness,
each employee gets the opportunity to improve his skills.
True or false? You need to keep your best customers. True. And
Customer Service Profile™ is your answer. Call Marcourt
Communications Inc. at (519) 893-1933 today.
STRATEGIES FOR WINNING: Talk ’em Down! *
Make Customer Complaints Work for You
One day, we received a call from one of our Strategic Business Partners
who said she was about to lose her biggest client because of a glitch in
our e-mail system. How did this happen?
The first step in fixing the problem was to gather facts. The e-mail
problem had originated when we installed new software that was not
properly configured. The situation got worse when the client called our
office seeking technical assistance and was given instructions that
didn’t work.
We quickly called a meeting of the people involved and soon had a
temporary solution to use until we developed a permanent solution. Our
Operations Vice President implemented the appropriate actions
immediately. We called the Strategic Business Partner and gave her an
update on the situation. Next, we contacted the client and explained our
situation, apologized for the inconvenience, and presented the temporary
solution.
We not only saved the account, we were also complimented for how quickly
we responded to the situation. Through quick attention to the problem
and attention to the client, we turned a potentially bad situation into
a very positive one.
We recommend you consider customer complaints in a positive frame of
mind and see them as suggestions for improving your products and the way
you do business.
No matter how good you and your people are, or how good your
products/services are, you will occasionally encounter an angry
customer. A normally reasonable, happy customer who gets angry
transforms into a flesh-eating beast, bent on your destruction.
Sometimes they come at you foaming at the mouth and demanding
satisfaction. How do you talk ’em down?
There are two traditional ways. The first is to eat crow immediately,
accept the blame fully, beg forgiveness, kiss up, and do everything the
customer-turned-beast asks in order to satisfy them. You’ll likely keep
the customer, but after you’ve crawled like that more than a few times,
can you look at yourself in the mirror and smile?
Another approach is to get angry back at the customer, slug it out
(verbally, at least), exchange blame and insults, deny all
responsibility and tell the customer where to get off. That way you
needn’t worry about repeat complaints. After all, no customers, no
complaints.
Calming angry customers and resolving complaints to their complete
satisfaction need not mean sacrificing your self-respect. Experts have
demonstrated that the following guidelines will resolve more problems
more easily, and turn a complaint into a more positive experience for
the customer. And you will still be able to look at yourself in the
mirror and smile!
1. It’s Your Problem, But Don’t Take it Personally
It may not be your fault, but it’s still your problem. Approach all
angry customers with this attitude. Even if it is your fault, don’t take
the complaint personally. Customers complain because they want you to
address a perceived shortcoming, not because they don’t like you. Resist
the temptation to fight back. Even if you win the battle, you’ll lose
the war. And the customer.
2. Listen
In order to address the customer’s problem, you’ll need to know exactly
what the problem is. As with all other endeavours, listening is a key
skill. Besides giving you some insight into the reason for the
customer’s distress, it also helps to exorcise some of the initial anger
the customer is feeling.
3. Don’t Interrupt
Let complainants express themselves. Don’t stop them mid-flow. Let them
vent their anger; it will be easier to reason with them afterwards.
4. Calm Your Complainant and Clarify the Problem
When your customer has finished complaining, show some empathy. Explain
that you understand why he or she is so upset, and you’re going to try
to sort things out. Then clarify your understanding of the problem. Ask
questions and qualify comments. This will calm your customer and ensure
that your suggested solution will address all aspects of the perceived
problem. Step into your customer’s shoes. Look at your company, your
products, the problem and your actions from the customer’s perspective,
and then decide whether or not the complaint is justified.
5. If it’s Your Fault, Say So. If it’s Not, Don’t
When you fully understand the complaint, decide whether or not your
company is at fault. Don’t automatically accept blame before you know
it’s warranted. But if it is clearly your fault, admit it early in the
process. Accept responsibility and don’t hide; don’t try to pass the
buck. Adopt a genuinely humble tone.
6. Solve the Problem
Think about how best to solve the customer’s problems. If you need some
time to come up with a response, tell him so and commit to getting back
to him on a specified timetable. Do so. Make sure all of your responses
project a clearly concerned, but calm, manner. Stress your eagerness to
resolve the problem, and project a calm confidence that you are the
person to do it. When you have a suggested solution, agree with the
customer about the steps you’ll take and the timeframe for correction.
Assure the customer that you’ll take personal responsibility for seeing
the resolution through, and do so. Nothing is more important than
resolving customer complaints. Attend to them with the utmost urgency.
Research shows that it costs as much as ten times more to recruit a new
customer than to retain one you already recruited.
7. Don’t Accept Abuse
Don’t accept it if a complainant steps over the line between the
reasonable right to complain and outright personal abuse. Calmly explain
that you will address problems, but you can do so only if they speak and
act courteously and respectfully. If the complainant continues the
abuse, terminate the conversation. You don’t need that kind of customer!
8. Pin Down Moving Targets
If you’re dealing with a problem that seems to grow every time you
implement an agreed solution, ask your customer to put the complaint in
writing so you can better understand and address it. This will help you
to focus upon an agreed solution. Also, working things out on paper can
sometimes make a complainant recognize if his is an unreasonable
viewpoint.
9. Stop it from Happening Again
Try to prevent angering customers in the future:
- At purchase time, let your customers
know it is your policy to resolve any difficulties they might encounter
with their purchase. Then, should they call to complain, their stress
levels should be a little lower given their confidence of receiving good
support.
- Keep in touch. If something’s about to
happen that might upset customers, let them know before it’s an issue.
- When a customer identifies a problem,
change what you do to minimize the chance of the problem recurring.
Customers who take the time to complain are generally telling you they
want to continue doing business with you, but with some changes. Put a
high priority on resolving their difficulties, but don’t ever feel you
must sacrifice your own self-esteem to do so.
*From the book 40 STRATEGIES FOR WINNING IN BUSINESS by Bud
Haney and Jim Sirbasku. © S&H Publishing Co., 5205 Lake Shore Drive,
Waco, Texas 76710-1732. All rights reserved. Contact S&H Publishing Co.,
(254) 751-1644, for reprint permission.
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