2 What Is Customer Service


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2 What Is Customer Service

  1. 1. “ Managers do not control the quality of the product when the product is a service . . . . The quality of the service is in a precarious state – it is in the hands of the service workers who ‘produce’ and deliver it.” -Karl Albrecht
  2. 2. Customer Care Week Two What is Customer Care?
  3. 3. Objectives <ul><li>Describe customer service </li></ul><ul><li>Discuss the implications of achieving good customer service </li></ul><ul><li>Discuss the insights obtained from a the triangle of services marketing </li></ul>
  4. 4. Learning Criteria <ul><li>Identify the reasons for using customer service policies </li></ul><ul><li>Explain the central role of the customer in a business and services environment </li></ul><ul><li>Explain the benefits of improved customer service to a given business and services operation. </li></ul>
  5. 5. Pressures on service providers
  6. 6. Effects of organisational and customer pressure
  7. 7. Protecting providers from the pressures
  8. 8. What is customer service? <ul><li>Anything we do for the customer that enhances the customer experience. </li></ul>
  9. 9. Customer satisfaction: <ul><li>The customer’s overall feeling of contentment with a customer interaction. </li></ul>
  10. 10. Customer expectations: <ul><li>Our personal vision of the result that will come from our experience. </li></ul>
  11. 11. Customer perceptions: <ul><li>The way we see something based on our experience. </li></ul>
  12. 12. Examples of customer service <ul><li>Free car wash with fill-up </li></ul><ul><li>Calling the customer by name </li></ul><ul><li>Easy return policy </li></ul><ul><li>Updated map of the area or GPS in rental cars </li></ul><ul><li>A doctor calling you back to see how you are feeling after a professional visit </li></ul><ul><li>On-time delivery </li></ul><ul><li>Courtesy </li></ul><ul><li>Enthusiasm </li></ul><ul><li>Showing the customer that you care </li></ul><ul><li>Excellent follow-up </li></ul><ul><li>Empathy in handling customer complaints and questions </li></ul><ul><li>Well-explained instructions </li></ul><ul><li>Illustrations of encouragement </li></ul><ul><li>Suggesting a less expensive option </li></ul><ul><li>Package carry out </li></ul>
  13. 13. Service quality and its factors
  14. 14. Why is excellent customer service so difficult? <ul><li>Customer service is difficult because it requires two things that the average person and organization are unwilling to commit to: </li></ul><ul><ul><li>Spending money </li></ul></ul><ul><ul><li>Taking action </li></ul></ul><ul><ul><li>Or attitude? </li></ul></ul>
  15. 15. The five needs of every customer <ul><li>Service </li></ul><ul><li>Price </li></ul><ul><li>Quality </li></ul><ul><li>Action </li></ul><ul><li>Appreciation </li></ul>
  16. 16. External customers: <ul><li>Customers we do business with outside our organization. </li></ul>
  17. 17. Internal customers: <ul><li>The people we work with throughout our organization. </li></ul>
  18. 19. External Marketing
  19. 20. Internal Marketing
  20. 21. Interactive Marketing
  21. 22. The results network
  22. 23. Barriers to Excellent Customer Service: <ul><li>Laziness </li></ul><ul><li>Poor communication skills </li></ul><ul><li>Poor time management </li></ul><ul><li>Attitude </li></ul><ul><li>Moodiness </li></ul><ul><li>Lack of adequate training </li></ul><ul><li>Inability to handle stress </li></ul><ul><li>Insufficient authority </li></ul><ul><li>Servicing customers on autopilot </li></ul><ul><li>Inadequate staffing </li></ul>
  23. 24. Cost of Losing a Customer <ul><li>We lose the current dollars that our business relationship created. </li></ul><ul><li>We lose the jobs that our clients provide. </li></ul><ul><li>We may suffer from a loss of reputation . </li></ul><ul><li>We may lose loyalty and the intangible variable of future business. </li></ul>
  24. 25. Reasons for not complaining Adapted from Johnston and Fern (1999). 32
  25. 26. Service failures by type
  26. 27. Customer reactions to service failures
  27. 28. Figure 11.3 Relationship between satisfaction and loyalty
  28. 29. NPS = % of promoters – % of detractors (Reichheld, F. 2006)
  29. 30. Seminar <ul><li>Presentation on Hotel groups from last week – best practice </li></ul><ul><li>Feedback </li></ul>
  30. 31. Next Week <ul><li>Dealing with customers complaints article – role play next week </li></ul><ul><li>Restaurant </li></ul><ul><li>Check in </li></ul><ul><li>Hair in Food </li></ul>