Does good customer service really matter?

Does good customer service really matter?

April 9, 2013
Does good customer service really matter?

You’’ve read every article, watched all of the webinars, and you’’re convinced: today is the day we take our customer service to the next level. But it turns out that buying into the importance of good customer service is the easy job. First you have to uncover the definition of good customer service. Then you have to providing proof to management in sales, product, and other departments that good service has a material impact.

First and foremost, you need to help your colleagues answer a few questions:

  • What is good customer service?
  • What is bad customer service?
  • What effect will providing one or the other have on your company?

With the help of Dimensional Research, we conducted a study and wrote an article to answer these very questions. The results, while sometimes surprising, ultimately back up what we’’ve been saying for a long time: providing your customers with great service can lead to customer loyalty that is long-lasting.

Dimensional Research went through the process of interviewing more than 1,000 consumers to try and understand what defines a good customer service experience, the ways customers reward companies that offer it, and all of the ways a customer will broadcast (publicly and privately) their experiences.

Good customer service definition
One of the more surprising results of the survey was the way people answer the question: “what is good customer service?” It might seem like a given that most people would list achieving their desired outcome as the most important factor. The key factor to customer satisfaction was this:

The problem was resolved quickly.

OK, so clearly the customer getting their way must work as the second highest-rated factor, right? Nope. Here it is:

The person who helped me was nice.

Makes sense; nobody likes to be treated poorly. The customer getting their way has got to be the third most important factor for good customer service. Wrong again:

The problem was resolved in one interaction;no passing around to multiple people.

Less than half (47%) of those interviewed indicated that the customer service interaction was positive because they got what they were originally hoping for.

When support management invests in great customer service:

  • 81% tell their friends and family about it
  • 45% broadcast their experiences on social media
  • 35% will write about it on review sites like Yelp
  • 52% will continue to do business with your company
  • 24% will choose you over your competitors for up to two years

What is good customer service?

Good customer service means resolving customer problems quickly in a single interaction while treating the customer exceptionally well. If a customer is willing to tell others about the experience, it is a strong indicator of good customer service. The key thing to remember is your customers are reasonable: they can handle not always getting their way every time, they just want to do the job of offering fast, convenient service.

And they want to be treated with a little respect. Give it to them. Your customers will thank you. And so will sales.

Read the full article: Customer Lifetime Value