customer service program

1. PRESENTATION
ON
RETAIL STORE MANAGEMENT
BY
MUSKAN KAUR -121320090017
SEMESTER II
BATCH 2020-2021
SUBMITTED TO
MS. SHALINI WILLIAM
BACHELOR OF VOCATION (RETAIL
MANAGEMENT&IT)
ST. FRANCIS COLLEGE FOR WOMEN
BEGUMPET, HYDERABAD-5000016

2. 2
TOPIC
Customer service program
- loyalty program

3. Introduction
 Taking care of a customer’s needs and solving their problems is called
customer service. Customer service begins the moment you connect with the
customer to fulfill his needs and continues even after the requirements are met.
The services might be required before, during and after the customer purchases
a product or service.
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“Your most
unhappy customers are
your greatest source of
learning.”
 Customer Loyalty is the measure of success of the supplier in retaining a
long term relationship with the customer. Customer loyalty tends the
customer to voluntarily choose a particular product against another for his
need. The loyalty may be product specific or it may be company specific.

4. What is customer loyalty?
The term customer loyalty is used to describe the behavior of repeat customers,
as well as those that offer good ratings, reviews, or testimonials. Some customers
do a particular company a great service by offering favorable word of mouth
publicity regarding a product, telling friends and family, thus adding them to the
number of loyal customers. However, customer loyalty includes much more. It is a
process, a program, or a group of programs geared toward keeping a client happy
so he or she will provide more business.
“loyalty is developed over a period of time from a
consistent record of meeting, and sometimes even
exceeding customer expectations”

5. Customer retention programmes
give encouragement to customers
to remain active and ensuring
that they choose their brand as
the exclusive brand. It is a
strategy that creates rewards to
profit customers and the firms.
With loyalty customers,
companies can maximize their
profit because loyal customers
are willing to purchase more
frequently, spend money on
trying new products or services,
recommend products and
services to others, and give
companies sincere suggestions.
5
There are
six points
that
measure
customer
loyalty:
1. Share information
2. Say positive things

6. 10 Main Tips to Build
Customer Loyalty
6
1. Communicate – Whether it is an email newsletter, monthly flyers, a reminder
card for a tune up, or a holiday greeting card, reach out to your steady
customers.
2. Customer Service – Go the extra distance and meet customer needs. Train the
staff to do the same. Customers remember being treated well.
3. Employee Loyalty – Loyalty works from top to the bottom. If you are loyal to
your employees, they will feel positive about their jobs and pass that loyalty
along to your customers.
4. Employee Training – Train employees in the manner that you want them to
interact with customers. Empower employees to make decisions that benefit
the customer.
5. Customer Incentives – Give customers a reason to return to your business. For
instance, because children outgrow shoes quickly, the owner of a children’s
shoe store might offer a card that makes the tenth pair of shoes half price.
Likewise, a dentist may give a free cleaning to anyone who has seen him
regularly for five years.

7. 10 Main Tips to Build
Customer Loyalty
7
6. Product Awareness – Know what your steady patrons purchase and keep these
items in stock. Add other products and/or services that accompany or compli-
ment the products that your regular customers buy regularly. And make sure
that your staff understands everything they can about your products.
7. Reliability – If you say a purchase will arrive on Wednesday, deliver it on
Wednesday. Be reliable. If something goes wrong, let customers know
immediately and compensate them for their inconvenience.
8. Be Flexible – Try to solve customer problems or complaints to the best of your
ability. Excuses – such as “That’s our policy” – will lose more customers than
setting the store on fire.
9. People over Technology – The harder it is for a customer to speak to a human
being when he or she has a problem, the less likely it is that you will see that
customer again.
10. Know Their Names – Get to know the names of regular customers or at least
recognize their faces.

8. Significance of customer loyalty
1. Purchase products
and services again
and again over
time.
2. Increase the volume
of their purchases and
buy beyond
traditional purchases,
across product-lines.
3. The company’s sales
are increased through
word of mouth.
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Customer loyalty is very essential for the
growth of an organization because loyal
customers:
5. Become immune to
the pull of the
competition
4. If something goes wrong,
the customer gives the
benefit of doubt to the
company.

9. 9

10. 10
Customer Loyalty Programs – Value of
Reward Programs
1. Rate of Earning:
Should reward earnings be equal, or accelerated? Should customers earn
the same points for each dollar spent or more points per dollar as they
near the program goal?
2. Aspirational Value:
Two rewards can have the same cash value, but different psychological
value — groceries versus vacation travel. Consumers engage in mental
accounting by placing funds/resources in different mental accounts.
3. Cash or Cash Value:
Rewards should offer real economic value. Some programs pay cash;
airline frequent-flier programs provide free travel. Relatedly, should
products/services be limited to firm offerings?
4. Deterministic or Probabilistic Rewards:
Deterministic- Customers accumulate points, then collect rewards.
Probabilistic- Customers win large rewards, or nothing.

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Customer Loyalty Programs – Value of
Reward Programs
5. Ease of Collecting:
Should be straightforward to redeem rewards. Retail stores face
criticism for not having much options in redeeming offers.
7. Hard versus Soft Rewards:
Hard Rewards- Denominated in dollars and cents, points. Soft
Rewards- Toll-free information numbers, premium restaurant
seating, hotel/airline upgrades.
6. Time to Earn:
Many consumers engage in hyperbolic discounting — the tendency
to increasingly choose a smaller-sooner reward, versus a larger-
later reward. Hence- Should the program have smaller rewards
earned frequently, or larger, delayed rewards?

12. “
12
REFERENCES
https://www.businessmanagementideas.com/crm/custo
mer-loyalty/20951
https://www.tutorialspoint.com/customer_service/custo
mer_service_introduction

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Thank You!