Today’s market is far too competitive to ignore the importance of great service delivery, however more and more customers feel like yet another commodity with call centres and apps taking over. Businesses often want to scale their services and move customers through the system based on doing more in less time, leaving customers feeling unheard. Even small businesses are often chasing the money rather than paying attention to what it really takes to win and keep customers.
How often have you walked into a large retail store or tried to speak to a service provider telephonically, only to feel like your time is wasted, they care more about their conversations with colleagues, ignoring you or transferring you from pillar to post?
For a long time golf has been seen as an elite sport where egos are pampered and players feel important. Playing golf at prestige clubs is quite an expensive hobby, yet the golfers who play, go back week after week after week and others strive to become members . Prestige golf clubs treat every member as if they are the only customer they have.
Reality is that no business can exist without customers. Brian Jude said: “A customer cannot interrupt our work. The customer is our work.”
Larger companies spend large sums of money finding new customers, only to lose them soon after due to bad service. On the other side smaller businesses feel discouraged thinking that their budget is not big enough to grow a large customer base, while with that same discouragement hoping that word of mouth will bring in more customers. Reality is that you cannot buy customers. Discouragement further gives customers you do have, the impression that they are in the way.
According to research 14% of customers leave because they are dissatisfied with the product or service while 70% are lost due to an attitude of indifference by a member of staff or management.
It costs more to regain lost customers than to keep them through excellent service.
The Japanese has a philosophy to constantly improving customer service - Kaizen, a Japanese term meaning "continuous improvement."
It involves making constant small, incremental changes to improve efficiency and quality. In the context of service delivery, Kaizen encourages companies to continuously seek ways to enhance their processes and services.
IMPACT ON BUSINESS AND CUSTOMER RELATIONS
Exceptional service delivery and the implementation of Kaizen have profound impacts on business and customer relations:
- • Customer Loyalty: When customers receive exceptional service, they are more likely to return and do repeat business. This loyalty translates into sustained revenue and long-term business success.
- • Brand Reputation: Companies known for great service build a positive reputation. This not only attracts new customers but also differentiates the company from competitors.
- • Employee Satisfaction: Engaging employees in the service delivery process and Kaizen efforts increases their job satisfaction and motivation. Happy employees are more likely to provide excellent service.
- • Operational Efficiency: Continuous improvement efforts lead to more efficient processes, reducing costs and improving profitability.
- • Customer Trust: Consistently exceeding expectations builds trust. Customers are more likely to trust a company that demonstrates reliability and commitment to their satisfaction.
CREATING VALUE BEYOND CUSTOMER EXPECTATIONS
Creating value beyond customer expectations involves delivering exceptional service that surprises and delights customers. This can be achieved through several strategies:
- • Personalisation: Tailoring services to meet individual customer needs can create a more meaningful and memorable experience. This might involve customising products, offering personalized recommendations, or providing individualised attention.
- • Quality: Consistently delivering high-quality products and services is fundamental. This means paying attention to detail and ensuring that every aspect of the service meets high standards.
- • Responsiveness: Being responsive to customer inquiries and issues shows that the company values their time and business. Quick and effective communication can significantly enhance customer satisfaction.
- • Going the Extra Mile: Offering additional value, such as complimentary services, unexpected discounts, or follow-up support, can make customers feel appreciated and valued.
In conclusion, great service delivery is essential for small companies to thrive in today’s competitive market. By thinking like entrepreneurs, creating value beyond customer expectations, and implementing Kaizen, small companies can build strong customer relationships, enhance their reputation, and achieve long-term success. Real-life examples from companies like Zappos, Toyota, and Ritz-Carlton illustrate the profound impact of exceptional service and continuous improvement on business and customer relations.
Lack of attention to service delivery is only one of the reasons why businesses find themselves in survival mode. The Start Entrepreneuring courses delve deeper into the reasons and pitfalls causing businesses to struggle. To find out how to move your business from surviving to thriving, look at the Start Entrepreneuring courses.