C O R P O R A T I O N September 13, 2013 MPS CPE Day

The Value of a Penny

 Nearly six in ten (58%) consumers will spend more with companies they believe provide excellent service. – American Express Global Service Barometer  Price is not the main reason for customer churn, it is actually due to the overall poor quality of customer service. – Accenture Global Customer Satisfaction Report  Poor service increases operating costs due to additional contacts the customer has with the organization. These include additional labor time (time is more expensive with each move up the ladder) and sometimes compensating the customer.

 Percentage of unhappy customers that don’t complain – 1 st Financial Training Services  Percentage of those unhappy customers who will leave and never come back – 1 st Financial Training Services  Percentage of the buying experience based on how the customer feels they are being treated – McKinsey  Percentage of customers who would pay extra to guarantee better service – Defaqto Research

 Anticipate and Exceed Customer Needs  Make Every Impression Count  Communication and Teamwork

Know your customers and their needs  Know your customers ◦ When we remember them, they’ll remember us  Know their needs ◦ Talk with customers ◦ Question them about their needs ◦ Listen to what they say

What are your customers’ needs? (could be internal or external customers)

 VIP = _______ ________ ________

Meet versus exceed their needs  Meeting customer basic needs  Customers have a choice  What does “exceed” mean?  How can you do it better?

How can you exceed your customers’ needs?

Customers have a choice-are they choosing you?  Personal touch – know customer / VIP  Consistent quality – meet and exceed expectations

How Many Touch Points Does It Take To Hook Up New Customer Utility?

The touch point is any contact or interaction with the customer: in person, via phone, , service call, sales call, survey, feedback mechanism, product or service delivery, complaint, resolution, etc.

 Customers form their own opinions and customers’ perception is everything  You have the power to influence customers  Make the most of every opportunity because every customer encounter leaves an impression

Be Courteous and Friendly What does courtesy look like?  Smile  Make them feel welcome  Answer their questions  Pleasant voice  Giving them your attention

Have a positive “can-do” attitude  Willing to help customer  Develop alternatives  Be realistic

Be Approachable – aware of body language Perceived Communication  Verbal (words)  Vocal (voice tone)  Visual (body language) What kind of message are you sending?

People return because of people (not just a product)  Be courteous  Be friendly  Have a “can-do” attitude  Be approachable

To the customer, everyone is the company  Working together  Communicating well  Delivering best image for organization

What does Team mean?  T =  E =  A =  M =

Characteristics of good teamwork

Good team communication  Improves efficiency  Increases productivity  Prevents miscommunication

To the customer, everyone is the company  Work as a TEAM  Understand each job  Good communication delivers results

 Anticipate and Exceed Customer Needs  Make Every Impression Count  Communication and Teamwork What are the consequences of not providing good customer service?

 A dissatisfied customer will tell between 9-15 people about their experience. Around 13% of dissatisfied customers tell more than 20 people. – White House Office of Consumer Affairs  It takes 12 positive experiences to make up for one unresolved negative experience. – “Understanding Customers” by Ruby Newell-Legner  Happy customers who get their issue resolved tell about 4-6 people about their experience. – White House Office of Consumer Affairs  If you fix it fast, 96% will stick with you. – Becky Saunders, former Nordstrom Exec and author of Fabled Service

How do you handle customer complaints?

 Develop and outline the “Official Policy” on how various types of problems are handled.  Publish these policies in a way that it is quick and easy for everyone to access these policies.  Develop and implement training that outlines the process for following these policies.  Reward people for following the policies, write up when they don’t. Make sure the policies show people how to fix it, fix it fast, fix it right, and follow up.

Companies lose customers when employees don’t care  Unhappy customers tell others  Always be professional and customer focused  Fix problems quickly  Set up policies to guide the team

 Hire people with service focus  Train so every team member knows what good service is, how to deliver it, and their authority to deliver it  Allow room for people to make mistakes  Eliminate barriers to complaints and comments  Measure and track complaints “ If you can’t measure it, you can’t manage it.”

Everyone is responsible for service: accounting, finance, warehouse, sales, delivery, customer service, marketing, receptionist, CEO

Thank You