Five Reasons You Need Great Customer Service
- Customer Satisfaction
The better your customer’s experience is, the greater the value you provide to them. Great customer service is a necessity in today’s business environment because of the range of offers that are available to customers as a result of globalization. The days where competition was limited to who was on your block are over. Businesses are now competing on a global scale, increasing the importance of maintaining a great relationship with clients. For markets that are highly competitive, customer satisfaction is a major point of differentiation. So much so, that it’s become a competitive advantage. It’s not just about treating customers right when you want to attract them, but about working to build and maintain a healthy relationship after you’ve found them.
- Repeat Business
Keeping customers is cheaper then attracting new ones. An increase in customer retention of 5% can equate to an increase in profit of at least 25% (source). This is because repeat customers are 67% more likely to purchase from a brand they’ve purchased from before (source). If you’ve landed a client, chances are you’ve spent a considerable amount of resources on getting that sale. This client knows who you are and what you offer, so it only makes sense that the next sale with this individual will be much easier because trust has already been established. Therefore, its crucial that existing customers experience excellent customer service when they come to the business with an issue they are facing.
Customer service represents a business’s brand, image, mission and values. Customers are forced to make assumptions about a business based on their marketing efforts, which include advertisements, social media presence, public relation activities, etc. They have no idea if a company really delivers on the values that are being presented to them. However, a customer service team has a direct link with customers. They represent a business’ brand and showcase how an organization truly values their customers. It’s essential that your customer service team can resolve customer issues quickly and provide them with a great experience.
- Employee Satisfaction
Its easy to be nice when things are going smoothly. So, the question at hand is: how can you make things easier for your customer service reps to do their job? Providing tools that enhance their ability to handle customer service issues makes their jobs less stressful and helps them close tasks quickly, making them feel at ease and effective. This increases employee satisfaction and decreases the turnover rate for your customer success agents.
- Decreases Negative Word of Mouth
Equally as important as generating positive sentiments for one’s business is avoiding negative word of mouth. This is because an unhappy customer is likely to tell 10-15 people about their bad experience with your business. Negative word of mouth is especially important when dealing with b2b solutions, as one terrible review can have leave business’ in your target market skeptical. Skepticism can lead to a businesses early demise, as the negative experience of one customer can turn thirty potential clients away.
Customer service must be a primary concern for businesses. The ramifications of a customer service interaction extend far beyond just the single interaction. Customer satisfaction has become a competitive advantage in the highly competitive global market that most business operate in. It’s not only important in building brand loyalty in clients, but also in representing a measure of an organization’s loyalty to it’s customers. Good customer service speaks volumes of a brand, because it affects the reputation of the business deeper than marketing efforts. It is a true testament to a business’s sentiment towards its clients. Excellent customer service also increases employee satisfaction. Employees are looking to work in a position where they’re effective and can be proud to work for a company that treats its clients well. Most importantly, good customer service impacts the bottom line for the better, avoiding negative word of mouth or lawsuits that may occur if customers aren’t handled the way they want. So, the question is: what actions are you taking to make your business great at customer service?