Showing posts with label customer service. Show all posts
Showing posts with label customer service. Show all posts

Why do we thank businesses for taking our money more than they thank us for spending it with them?

This morning I stopped at McDonald's as I usually do each weekday to pick up a cup of coffee on my way to work (there are no Starbucks nearby, can you believe it?!).  As I handed my money to the cashier, I noticed that she didn't thank me, but when she gave me my change, I thanked her.  It suddenly dawned on me that this had become a routine scenario.  Not just at McDonald's, but at, well, almost everywhere I shop!

Cashiers rarely show gratitude when a purchase is made.  Most of the time, it appears as if they feel I am putting them out by making a purchase because it means they actually have to do something to earn their paycheck.  I suspect many of you have had similar experiences.  I show more appreciation when spending my money with a company, than the company I spend it with shows to me! 

While I must admit that cashiers not even acknowledging my purchase does bother me a bit, I've become accustomed to it.  Though I can't place all the blame solely on their shoulders.  A big part of the problem rests with the companies they work for, that should be training them on basic customer service skills. 

I'm pretty easy to please.  The only thing I expect when I walk into a store is a "hello" and a "thank you".  I'm fairly confidant that anyone capable of communicating with another human being can handle that; yet it seems so rare. 

Market research continually shows that the number one reason businesses lose customers is because they are are dissatisfied with the attitude of indifference shown towards them by an employee.  So why don't companies spend more time properly training their associates on customer service?

I've blogged about this before, but it seems to be a beast that constantly rears its ugly head. 

Some companies are so focused on pushing out more product that they forget that the customer experience is a part of the sales process.  By pulling customers in with a quality product and good experience, a company creates greater demand.  Therefore, good companies place greater emphasis on the CRM side of the demand chain.  Companies with bad customer service often place too much emphasis on the manufacturer/distributer end of the demand chain in an effort to drive profits, forgetting about the end user:  the consumer.
In today's economy, with 10% unemployment and businesses closing daily, you'd think that it wouldn't take a great deal of emphasis to get associates to understand that if they want to keep their jobs, they had better treat customers with a little more attention and respect.  Yet, they don't, and many of the companies they work for don't seem to care. 

Arlines repeatedly and publicly complain about the costs of running their operations, (even as gas prices fall) then constantly jack up prices and charge for everything (possibly even to speak to a live person if Spirit Airlines has its way), while reducing amenities; and then wonder why customers get so angry.  They treat consumers like cattle. 

I have little sympathy for Jet Blue flight attendant, Steven Slater, who was treated like a savior for turning his back on his co-workers and his responsibilities like a spoiled little child.  As it turns out, the story he gave the media was mostly fabricated, and he had actually been treating passengers quite rudely before he finally decided to take his ball and go home.

Hey entrepreneurs - pssst...I've got a hot tip for you.   You can make a fortune if you create an airline that is focused on the customer.  And I don't mean singing songs over the microphone while you're passing out peanuts and charging me for a 3 oz soda.  I mean, treating customers with respect and dignity, while making them feel valued and important.  I know, I know, its a radical concept, but I really believe it may work. 

Take the time to value your customers and your customers will value you.  It will reduce the cost of doing business because you won't have to spend nearly as much on customer acquisition.  It's a simple formula.

Is Your Company Meeting Today's Demanding Customer Service Expectations?

Raise your hand it you feel you work in a customer service based industry.

I’m going out on a limb here by guessing that virtually everyone who reads this blog post raised a hand (at least in spirit!).

Now raise your hand if you believe that YOU personally provide excellent customer service.

Again, I’m taking a stab in the dark, but I’m guessing about 90% of you believe you provide excellent customer service.

Last request…raise your hand if you believe that the business you work for provides excellent customer service.

OK, if you raised your hand, take a moment to really evaluate the quality of the customer service your business provides. Think about all the people in your company who interact with stakeholders, internal or external, including: the finance department, HR, IT, product development, marketing, sales, CEO, and even the receptionist. Do you think that they would ALL score an “A” on a customer service evaluation? OK, for the sake of discussion, let’s assume you do.

Now take a look at your customer retention rates over the past three years and answer that question again.

If your retention rates have dropped significantly over the past three years, chances are that the quality of the customer service your company provides may not be as good as you think it is.

Yeah, yeah, I know… the poor economy has led to a drop in consumer spending across the board, leading to a drop in customer retention. But consumers still need to make purchases. They’ve just become more selective about who they spend their money with. If you’re not meeting their customer service expectations, chances are, fewer consumers have selected to spend their money with you!

Over the weekend, I was having a problem downloading some software that I purchased for my PC. I contacted the manufacturer and couldn’t get anyone to actually pick up the phone. Right off the bat, I would have given these guys an “F” for customer service. I then noticed that they had a customer service chat room. I decided to give it a try. The customer service representative was quick to respond, patient, helpful and generally provided excellent customer service. Had I tried the chat room first, I probably would have given this company an “A” for customer service. However, since speaking to someone was my first choice (which they didn’t satisfy) and communicating digitally was my second, the best score I can give this customer service is a “B”. I would probably buy from this company again, but not definitely, and what’s worse…I’m sharing my negative customer service experience with others. Believe me, your customers do the same thing. Statistics show that a dissatisfied customer will share that experience with 8 to 10 other people.

Would you be satisfied with a customer service score of “B” in today’s economy? I wouldn’t! You know why? Because I guarantee you that one of your competitors is going to be scored an “A”, and I bet you know who that competitor is. Now compare customer retention rates and see if your competitor’s rates are better or worse than yours over the past three years.

A recent statistic at the Trainingzone.co.uk outlined the following reasons why customers quit:

• 1% die
• 3% move away
• 5% develop other friendships
• 9% find the service or product cheaper elsewhere
• 14% are dissatisfied with the product
• 68% are dissatisfied with the attitude of indifference shown towards
them by an employee

If you are COMPLETELY satisfied with the customer service your company provides, then just ignore this blog post. However, if you have even one ounce of doubt, I suggest you take another look at your customer service training. In today’s economy, you can’t afford not to.