Session 5 Attendance Discuss Chapters 6 & 7 One Minute Paper #5 Assignment #5 Presentation Outlines are due on Wednesday. Go to room 114 for the Midterm

Recognize and Deal with Customer Turnoffs Session 5: Ch 6

People remember about a 1/3 of what they read, 1/2 of what people tell you, but 100% of what they feel. The question is: How do they feel about doing business with you? Session 5: Ch 6

What turns you off as a customer? Session 5: Ch 6 Pet Peeves/Turnoffs

Being ignored or receiving rude or indifferent service Waiting too long Poor quality work Sale items not in stock Prices not marked Dirty restaurants or restrooms High pressure sales tactics Inflexibility when you make a request and more Session 5: Ch 6 Pet Peeves/Turnoffs

Session 5: Ch 6 What is Value? Quality relative to price paid Example: 79¢ pen vs. $79 fountain pen

Session 5: Ch 6 3 Categories of Customer Turnoffs 1. Value Turnoffs 2. Systems Turnoffs 3. People Turnoffs

Session 5: Ch 6 Value Turnoffs Customers feeling that they received poor value from a product or service. – “I didn’t get my money’s worth.” The major responsibility for providing customers with appropriate value lies with the top leadership of the organization.

Session 5: Ch 6 Systems Turnoffs What are systems? – Process, procedure or policy used to “deliver” the product or service to the customer – The elimination of customer turnoffs is primarily the responsibility of managers Systems include: – Company location, layout, parking facilities – Employee training and staffing – Policies regarding guarantees and product returns – Customer follow-up procedures

Session 5: Ch 6 People Turnoffs Usually are communication problems – Employees who fail to greet or even smile – People who give inaccurate information – Employees chatting among themselves – High pressure sales tactics – What are some others?

Session 5: Ch 6 Activity

Session 5: Ch 6 Zone of Indifference Dissatisfied Satisfied Motivated Dissatisfied Satisfied Motivated Zone of Zone of Indifference Indifference The challenge is to get customers beyond satisfaction (absence of dissatisfaction) to motivation.

Session 5: Ch 6 Value Service Recovery You need to remember the payoff for recovering potentially lost customers is the increased likelihood they will become loyal customers. They will be motivated by the model.

Session 5: Ch 6 Maximize Connectivity Create a climate of warmth before the customer approaches you Send out warm and positive signals to each customer Be sensitive to the customer’s emotional state Listen Find something you like in each customer

Session 5: Ch 6 Loyalty Comes From Customers’ Awareness That Service Is Your Business Earn your customer’s loyalty 1. Reduce or eliminate value, systems and people turnoffs 2. Exceed customer expectations to create a positive awareness Recognize and Eliminate Customer Turnoffs – 1 st step in reducing turnoffs is to recognize they exist

Session 5: Ch 6 A Final Thought Repositioning customers from that reasonably satisfied zone of indifference into the category of motivated, loyal fans requires close analysis of what may be turning them off. This should be an ongoing process.

Session 5: Ch 7 Insight to Emerging Trends in Customer Service: A Peek into the Future

Session 5: Ch 7 3 Areas of Change 1. Personalization 2. Technology 3. Globalization

Session 5: Ch 7 Personalization Customers don’t want a “one-size-fits-all” mentality Customized messages Employers can offer cafeteria-style benefits that employees can choose from based on personal needs or desires.

Session 5: Ch 7 Technology Technology has changed the way organizations do business Technology allows for much customization – Amazon remembers billing and shipping information – Suggests other products customers may like based on past purchases – back to personalization – Coupons or discounts based on past purchases Internet shopping Virtual reality shopping (VRS) Interactive TV

Session 5: Ch 7 Globalization The global economy will require many business to be more aware of a broad range of cultures People are more mobile Be aware of changing customer demographics – ↑ single parent families – ↑ two-income families – ↑ educated workforce

Session 5 Read Chapters 8 & 9 Assignment #5 Presentation Outlines are due on Wednesday. One Minute Paper #5 Go to room 114 for the Midterm Put your belongings along the perimeter of the room Nothing at your workspace! Electronic devices off Good luck on your midterm!