Customer Service Management is the key to building customer loyalty and improving customer retention. Are you providing award winning customer service? If not, your competitors are likely stealing your customers!
Small businesses continually tell us:
My customers are buying from my competitor.
My largest competitor keeps lowering his prices and I can’t compete on that
I can get one order and they don’t order again.
My customers are only looking for a lower price.
There is more that they tell us, but these repeat for company after company.
I am sure these have occurred to you as well.
Customer Service Management involves using specific techniques to enhance the service you provide to your customers. In order to gain your customer’s loyalty and, therefore, continued business from them you need to have some basics in place. These basics are Order fulfillment, Product / Service Delivery, and Customer Support Services. These are essential, or you wouldn’t be in business very long. But, you know that.
Customer Service Strategy – Foundational questions
How can I compete on more than price?
How do I get more orders from existing customers?
How do I increase my Customer Retention rate?
How do I build better Customer Loyalty with my clients?
Do I need CRM for my small business?
This is a good starting point.
In order to address these questions and concerns, you need to know….
What does Customer Service Management entail?
There are many things that combine together to create great customer service. Each business and its customers, will have a different definition about what it means to them. The best Customer Service Strategy is designed with the whole environment in view.
This strategy should encompass the following main areas:
1. Customer Feedback – Constant gathering
Superior service and high quality products are essential for satisfied customers. You can enforce better product quality control on suppliers and in your manufacturing process. But, superior customer service is dependent on your people, processes and the tools you use to monitor these levels.
Getting customer feedback is an important part to assist you with building your customer loyalty. You gain that feedback by using customer surveys, tracking customer complaints, asking your customers directly, and monitoring comments on Internet social networking sites.
Take every opportunity you can, to ask them, while you are providing services, handling complaints, and building your reputation through honest and trustworthy business practices, along with constant communication before, during and after the sale.
2. Customer Service Staff - Proper Training
When dealing with the people aspect of customer service, proper training is essential.
Your customer service personnel should be knowledgeable in the products and services you offer, while being given the power to make swift decisions to keep the customer happy. All your employees should know the importance of good customer service to the continued success of your business.
Ask yourself:
Does everyone know what your customer service policies are?
Have you trained them in the procedures and processes you use?
Have you given them enough authority to make your customers happy on the first contact?
Are they committed to ensuring every customer feels they are treated like a “King or Queen?”
Customer retention is dependent on customer satisfaction and the first contact with your people may be the only chance you get to make a good impression. The number one reason for customer defection is “A sense of indifference by customer service representatives;” according to the customers. It is not price!
3. Customer Service Process - Consistent Strategies
You need consistent processes that touch your customers in a good way; as a part of your customer service strategies. Whether it is a customer survey to follow-up after the sale or service call, even a series of emails with instructions on how to use your product, be sure to stay in touch.
You can use an email marketing campaign with a preferred customer discount coupon for their next purchase. It is important to have a consistent approach if you are to keep your company name uppermost in your customers mind.
When you are concerned with retaining customers, you can build loyalty through constant value-based communications which can build long-lasting relationships. A monthly newsletter, either printed or electronic, can give them tips and techniques or other related information of interest to them. (note: this is where market segmentation becomes handy)
Always remember - customers are usually willing to pay more for products or services from a company they trust. If you build customer loyalty through constant emphasis on providing great customer service, you won't lose many customers to low price competitors. A good relationship is great insurance against the low price attempt to steal them away from you.
4. Customer Service Software Tools - CRM Technology
If you are a growing company with many customers, and we hope you are, then all the tasks involved in customer service management might seem overwhelming. That is unless you have a customer service strategy that includes an integrated CRM system.
There are two basic classes of CRM technology software:
Customer Relationship Management (CRM) software
Customer Service Management software
CRM software, is sometimes also known as Contact Relationship Management, and may be used to improve customer retention. This software, if used properly, can insure that customers receive regular and welcome communications (touches). With frequent contact, customers rarely see the company as indifferent to them or their needs.
Customer Service Management software serves a different purpose. It sometimes goes by names such as Help Desk software or Field Service Management software. This software is typically used for a specific area of the company’s service. While its tight focus allows the collection of some useful information for certain types of business, it has limited use for most companies.
CRM software is the better bet for most companies, because most CRM systems have some ability to track, manage, and automate many of the customer service functions; while also using the sales force automation, marketing automation, and other features to increase loyalty and retain your customers.
CRM for small business helps manage all contact touches and can help manage your customer relationships. This is a crucial part of building a loyal customer base. In addition, you can utilize a consistent marketing approach that is tailored to each customer, or potential customer, appropriate for where they are in the buying process. Integrating your customer service management into your crm system leads to more recurring orders and new sales, with less effort.
Customer Service Management summary -
Companies who want to deliver superior customer service in order to build loyalty and retain customers have to move beyond traditional methods. Techniques using call centers, email marketing programs and other communication methods, such as SMS short messaging and text messaging have been unsuccessful when used to gain customer loyalty.
CRM software is a tool that can integrate customer relationship management and your customer service processes. If used correctly it can improve customer retention and build customer loyalty. The result can be increased sales through better account penetration, and referral contact programs that reach more potential purchasers with effective customer communications.
But, it has to start with your Customer Service Strategy.
