Oftentimes, top-level executives think about their businesses as a battle between gains and losses. While it is true that businesses, in order to stay in operations, need to make profit (that’s the whole point) it isn’t always the case especially when you are in the service industry. Customers – their satisfaction and overall experience – factor in whether or not your business will have a good reputation, stay on the market and ultimately, make good profit.
Take into consideration the priority of costs of operation in customer service solutions of businesses. While executives would ask how much it would cost to listen and act on the voice of the customer (VOC), it should be viewed as how much would it cost the business if they do NOT listen to the voice of the customer.
The costs of listening to customers vs. the costs of NOT listening to them
Businesses should NOT think about the costs of investing in good customer service – the employees and its operations. They should think about costs of losing customers because of bad (or even non-existent) customer service.
A recent study by Oracle shows that businesses could lose as much as 20% of revenues as a result of a poor customer experience. You should also factor in the cost of acquiring a new customer against the cost of retaining existing ones. Clearly, investing on customer service wouldn’t be as expensive as pulling out all stops in marketing and advertising to get word of your business out on the street.
Businesses should NOT think about the costs of customer service solutions. Yes, it would probably take much in initial costs but the return of value is immeasurable.
Businesses should be after giving their customers good customer service experience. After all, customers do not only give you their money for your business but they are also placing their trust on your brand. When you show value towards your customers, they would also learn how to value what you offer. The rebound might not be immediately felt, but once it’s there, its effects are often valuable = immeasurable.
While we might sound poetic with what we are saying, think of it this way: How many businesses have their reputations suffer just because of bad customer feedback? Like we have said, customer satisfaction has a rippling effect. Not only will you retain customers, the chances of them recruiting other people to become your customers are very likely. This value is certainly worth more than the costs and even the hard work you will be putting into customer service operations.
Businesses should think of customer service solutions as a tool to build a better version of the brand or service they are offering.
All the things that you probably want to know so you can properly plan and strategize your next business goal? You don’t need to hire a research company for that. Just listen to the VOC. Customers are more than happy to provide feedback as long as they are assured that you are there not only to listen but to ACT on their feedback.
“You learn when you listen. You earn when you listen – not just money, but respect.” – Harvey Mackay
When you gain your customers’ respect, you would know that you have spent the right amount on your customer service solutions. And business executives are wrong. There are no costs to listening to customers but there but there are costs to NOT listening to them.
“The first step in exceeding your customer’s expectations is to know those expectations.” – Roy H. Williams
Nowadays, the traditional landline phone customer service that businesses have may not serve your customers well—considering that we’re living in the technology era. Having customer support in other types of network such as through online and mobile are some of the customer assistance services we have, which can take your entire customer service to a whole new level. Learn more!