5.0 Understand the Selling of Fashion Objective 5.01: Understand the impact of customer service in the fashion industry.

Customer Service The goal of retailers is to serve customers. Customer Service is the total of all enhancements offered to customers. Services are directly related to the sale of goods and include having the right items when customers want them. Customers reward businesses that keep them happy with the desired merchandise, efficient transactions by knowledgeable and courteous salespeople, in pleasant and comfortable surroundings.

3 Main Levels of Retail Service Self-service retailing: uses a price positioning strategy in which customers locate products themselves, compare items, make unassisted decisions, and carry their selections to a cash/wrap area. Discount stores operate with this strategy.

3 Main Levels of Retail Service Medium-service retailing: involves selling products for which customers need more information. They follow a value positioning strategy, with middle price point merchandise. They offer more services than self-service retailers and have slightly higher prices to cover their increased operating costs. Many national chain organizations, such as Sears and JC Penny are medium-service retailers.

3 Main Levels of Retail Service Full-service retailing: involves sales associates assisting customers one-to-one in every phase of the shopping process. Specialty boutiques, designer shops, and upscale department stores have more salespeople to wait on customers and provide many services. They pursue a service positioning strategy, with higher prices to cover the higher operating costs of offering so many services.

Service Quality Service quality is how well services are performed. It is the degree in which a retailer approaches, meets, or exceeds customer expectations. Salespeople must be friendly, polite, and approachable. They must have great verbal communication/active listening skills to provide the speaker (customer) with feedback indicating the message has been received and is understood.

Service Features Service features are the actual service offerings. They include such features as: Accessible location and parking Convenient shopping hours Complaint resolution Knowledgeable salespeople Credit Gift wrapping Fast check-out

Customer Relationship Management (CRM) Customer relationship management (CRM) merges database information technology with customer service to analyze customers, respond individually to their needs, and build and maintain lasting relationships. Computer-collected customer information is used to provide customized services that give a competitive advantage.