As business leaders gear up to improve their company’s performance, many look for a “silver bullet” to give them an edge. However, the answer they seek is not some imponderable mystery. The answer is so simple that we tend to overlook it — treat your customers better.
Customers are the lifeblood of a business. But customer service today has become customer disservice.
In a customer service survey conducted by American Express, consumers shared they would pay more to work with a company that treated them better; and more than half canceled a purchase due to poor service. Shockingly, over a third switched companies after a single poor customer experience. And customers have more options than ever for buying products and services, so negative customer experiences quickly impact customer retention.
Many businesses suffer from “quiet disappearance,” as 96% of unhappy customers do not complain but simply switch to a competitor who offers a better experience. Not only do these consumers go elsewhere, on average they tell nine friends to avoid this company as well.
Of customers with a complaint, research shows that only 4% will make their complaint known. But, if handled properly, between 50–70% will do business again with the company. This number jumps to over 94% if their issue is quickly resolved.
If you’re looking for an industry to model, the hospitality industry is the gold standard for customer care. For a business to succeed today, customer service needs to be a core value and practice, not just a department. Mercedes Benz, Chick-fil-A and the Ritz Carlton all leverage the power of extraordinary customer service.
The Ritz Carlton is legendary for providing their guests with an incredible experience. One such instance involved a guest who was invited to play tennis with a friend but shared that he did not bring any tennis clothes with him, so couldn’t participate. Because the Ritz Carlton provides their employees with a regular allowance of money to meet the needs of guests they encounter, one employee who overheard this conversation asked this guest his shoe size and went out and bought him tennis shoes and clothes. And this amount was not charged to his room. Now, that’s excellent customer service!
To learn more about hospitality, I recommend reading: Unreasonable Hospitality; The Gold Standard; Contagious; Be Our Guest; and The Heart of Hospitality. Consider reading these books as an organization and discussing them with leadership and employees. This is a wonderful way to draw your organization together, encourage employee input and brainstorm ways to improve your business.
Here are four quick tips to help you enhance your customer service:
Value your employees. Your employees are your internal customers. As you treat them with excellence, they will reproduce this with their customers.
Create a welcoming environment. Eleanor Roosevelt wrote, “True hospitality consists of giving the best of yourself to your guests.” Whether online, by phone, or in person, treat your customers, vendors, and visitors as your guests.
Empower your staff. Train your staff to empathize with angry customers and quickly resolve issues. Don’t allow them to pass the problems along to other staff but instead continue to address the issue until resolved. Set a company policy to resolve all customer issues as soon as possible, but not later than 24 hours.
Thank your customers. Input from customers is imperative, so thank them. When customers do share complaints, thank them for taking the time to do so. Thank customers for the opportunity to serve them.
Enhance your customer service this year and watch your business grow by leaps and bounds.
Reen Waterman is a business coach, national speaker, writer and communications professional. Certified by the Charleston School of Protocol, he trains businesses and corporations in effective marketing and communications strategies. He can be found online here.
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