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

 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?  How do you understand the idea of “Customers are God”?

 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%.

Advocate Supporter Client Customer Prospect

 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)

 Talk with your partner about your most delightful or annoying experience with customer service as a customer.

 What were the consequences of your positive and annoying customer service experiences?

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

 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!

 Businesses need to recognize:  The benefits of having satisfied customers;  The costs of having dissatisfied customers.

 Who gives customer service?  Name some job roles…  Shop staff (sales, service, parts)  Receptionists  Service advisors  Counterpersons  AST’s  Managers  Customer service representatives

 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.

 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.

 Listening:

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

 How a company or organization 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.

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

 Answer your phone  Make sure that someone is picking up the phone when someone calls your business.  Don’t 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

 “Customer complaints”  “Telephone complaints”  “Handling difficult situations” “Resolving conflict”  “Active listening”

 You don’t understand.  I don’t know.  I can’t…  You don’t see my point.  Hold on (or hang on) a second.  Our policy says (or prohibits)…  That’s not my job/responsibility.  You must/should…  You’ll have to…  What you need to do is…  What’s your problem?  Why don’t you…?  I never said… “I’ll find out for you”; “I’ll need to check on that and get back to you”; “I’ll have to look that up, when is a good time for me to call you back?”

 Please.  Thank you.  I can/will…  How may I help?  I was wrong.  You’re right.  I understand how you feel.  May I …? / Could we try …?  Have you considered …  I’m sorry for …  It’s my/our fault.  What do you think?  Would you mind?

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”  “I’m sorry about this”  Always say you’re sorry

 Customer service stars: 2009 BusinessWeek Top /02/0219_customer_service/1.htm

 You have bought a new set of tires and the sidewalls blew out on 2 after only one week and you’re very angry about products not being made to last. You want the counterperson to do something immediately. They are offering you a replacement and you want a refund.

 How to deal with different types of customers?

 Ask closed questions  Limit the time available for them to interrupt (don’t have long pauses)  Provide minimal response  Smile and be pleasant, but don’t encourage them  Wind up – thank them for coming, walk them to the door but don’t be rude or dismissive

 Listen carefully without interrupting so you understand the problem  Empathize in a broad way  Stay calm and remain polite  Don’t escalate the problem  Don’t take it personally, be defensive or blame others  Propose an action plan and follow it  Seek support if you are scared, if you can’t agree on a solution or if the customer asks to see “whoever’s in charge”

 Acknowledge what they say  Compliment them on their research  Be generous with praise  Don’t put them in their place no matter how tempting  Don’t try to be smart – you can’t win!  Ask them questions and use them to improve your knowledge

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

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