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July 26, 2022
Customer Support – Why Quality Service is Important
Businesses have a great deal of moving parts, even if you are not an expert. The responsibility of leadership is to set goals for the team and manage the company’s strategy. You must be thinking why quality service is important ?
Marketers and salespeople have revenue goals to meet and different methods to bring in new customers to test. At the heart of all of these efforts, however, is a team-wide commitment to providing excellent customer service.
Because of this, no matter how big your team is, how old your company is, or what your future goals are, you cannot underestimate the importance of having excellent customer service.
Even a 5% increase in customer retention can translate into a 25% increase in profit. Basically, repeat customers are more likely to spend more with your brand – 300% more, to be precise – which means less operating costs for your business. Reasons why quality service is important and will always be the bedrock of a business!
Let’s explore some of the most essential reasons as to why customer support should be on the top of your agendas.
Your Customer Service Speaks Volumes About Your Brand’s Mission and Values
Perhaps you already know what your brand represents. Nevertheless, your customers cannot read your thoughts and make assumptions based on social media, advertisements, content, and other external marketing efforts.
You have more control over this perception when you have your customer service team on board. When they interact with existing or potential customers, these individuals represent your brand directly to them.
According to 96% of customers, customer service is a critical part of their brand loyalty. In the absence of a customer service team, you lack a direct line of communication. It is therefore essential to convey to your customers the image you want your brand to portray. Doing so can influence customers and convince them to choose you over your competitors.
Why quality service is important? Reasons You Should Know
Referrals Come from Happy Customers
Happier customers are more likely to recommend your business to their friends, family, and coworkers. When you have an incredible experience with a brand, you’re most likely to tell your friends about it at dinner later that evening. The desire to get your loved ones to follow a brand you trust is natural.
As a result, a chain reaction occurs. Happier customer service staff will work harder to satisfy and exceed customers’ expectations. These customers will then endorse your brand and recommend it to others. When you give your customers a reason to rave about your business, you can get the best – and cheapest – word-of-mouth publicity.
You Increase Employee Morale and Reduce Turnover Costs
Employees love being able to effectively and quickly assist their customers. A satisfied customer means a job well done. Then again, no one enjoys receiving bad news or an angry rant from a dissatisfied customer.
You can boost morale and reduce turnover by equipping your Customer Service staff with the right tools and training (Turnover is expensive!).
All employees are affected by this, not just your customer service representatives. People don’t want to work for a company that has a bad reputation or one that is constantly criticized or flooded with negative reviews.
Increased Customer Lifetime Value Comes from Customer Service
The cost of retaining a customer (CLV) is a very important metric to consider when running a business. That metric shows how much revenue each customer account generates. You are growing your value when your customers spend more money with you or shop more frequently.
You can increase lifetime value by investing in the importance of why quality service is important. Your customers will be more inclined to shop again at your stores if they have a great experience with your service and support team. Your customers will, at the very least, tell their friends about your positive experience, which will increase your customer base.
By doing so, you gain new customers who are more aware of your business and can easily upsell and cross-sell additional products. It will create a smoother buying experience for your customer and employees if you are confident that your sales team is recommending products that truly fit their needs.
The Foundation of Good Customer Service is Trust and Loyalty
The more satisfied customers are, the more likely they will trust and remain loyal to a company. Positive customer service can create repeat business and referrals by creating a positive customer experience.
An organization’s success relies on its customer service. If you don’t get some of those customers to come back, you won’t be able to keep your business profitable. You can slash prices and offer promotions to attract as many new customers as possible. Keeping customers coming back is the essence of good customer service.
A Better Customer Care Program Reduces Churn
Churn refers to how many customers leave a business after purchasing something. Churn provides a straightforward measure of customer satisfaction. When customers aren’t happy, they churn.
Churn rates are clear indicators of the importance of customer service: 89% of consumers start doing business with a competitor after a poor experience. Having seamless customer service will, however, make people forgiving.
To prevent customers from churning, focus on excellent customer service rather than pushing them into the enemy’s arms.
Customer Satisfaction Correlates With Employee Happiness
The options don’t just apply to customers. Good employees are in high demand regardless of the economy. The happiness of startup employees goes beyond the paycheck (and I am not talking about snacks).
The Service-Profit Chain model developed by Harvard University emphasizes the circular relationship between employees, customers, and shareholders.
When employees are understaffed and undertrained, customers won’t receive satisfactory service, resulting in a loss of business.
To improve shareholder returns, efforts must be made to attract, motivate and retain employees like they are for customers. The higher shareholder returns mean more money is available to invest in employees, which perpetuates the cycle.
Creating a company whose employees return more often to seek out new ways to please customers should be your mission. You can allow your team to be part of something larger than themselves. Show your team how essential their contribution is to every customer.
Motivating people longer than free food may ever be able to do is an intangible feeling of purpose.
Exemplifying Excellent Customer Service
Each business has its approach to customer service and quality. The staff at a restaurant is likely to pay a lot of attention to diners, while retail shoppers occasionally want to browse alone. It is necessary for IT companies to staff a help desk, but not for food trucks. However, some principles are consistent throughout the journey of quality service:
Make eye contact with them right away when they walk through your doors. Be sure to smile as you do this. Greet them verbally, asking how you can help them by welcoming them into your business.
Be respectful of your customers. Don’t lose your cool even if they request an unreasonable return, such as when they want a cash return without a receipt, but the store won’t let you. It’s a matter of such actions that you can show how the customer service matters to you!
Be mindful of what your customers want. Help them figure out what they need if they’re not sure. For instance, buyers may need assistance selecting the right model when purchasing new technology. Often, customers searching for a specific book aren’t aware of anything other than the cover color.
Take the time to listen to your customers. Tell them the truth; if you don’t know the answer, do your best to find out what they need to know.
Be familiar with your products and services. Without knowledge of how your new software works, it is difficult to explain it to customers.
Accept returns and complaints with grace.
If your customer wants to make a deposit or try on a suit, make every process as quick and effortless as possible.
Take your customers’ feedback into consideration. Think of ways to improve next time.
Think about it, and you will probably come up with more ways of good customer service that can benefit a company and impact your revenue. Knowing why quality service is important, the next step is to implement what customer service means to you.
According to a Forrester report, digital marketing spending by companies will reach $146 billion by 2023. With the existing and new digital marketing trends in 2023, you can prepare yourself to take your business to phenomenal heights.
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