Objectives What is Customer Service? Why is Customer Service important? Why are Customers important?...

Objectives

What is Customer Service?

Why is Customer Service important?

Why are Customers important?

What is your role?

How to provide good service to the customers?

What is Customer Service?

Meeting / exceeding the expectations of customers.

It is the ability of the organization to constant and consistently give the customer what they want and expect.

Expectations means needs and wants of the customers.

Types of Customers

InternalExternal

What is the main purpose of Business?

To create customersThere is no business without customers

Why are Customers important?

Customers are the reason that we exist in business.

A customer is not an interruption – he is the Purpose.

A customer is not dependent on us – We are.

Why is Customer Service important?

Stiff competition from Product competitors.Basic philosophy is change from Sales to

Marketing.

Bad Service

One can get away with bad service if:MonopolyCompeting on priceEveryone provides a similar levels of

service

If you want to build relationship

Understand the Customer.Understanding Customer’s need.Understand Customer’s Psychology.

Why are Contact Centers important?

Contact Centers are setup so that they can give best service possible to the customers.

To update customers about product features, services, etc without the customers physically going to the particular company.

Saves time for both the parties.Prompt Service

A Moment of Truth

“ A moment of truth is an episode in which a customer comes into contact with any aspect of the company, however remote and there by has an opportunity to form an impression”.

Factors influencing Performance of Contact Center

Customer Service FocusVision of the companyLeadership to carry out the vision across

the companyTeamwork to achieve visionCommunication Interpersonal Skills

Skills & Knowledge

Technical SkillsProduct KnowledgeMarket Knowledge

Support

TrainingCoachingClarity of Role

Impact of Good Service

RepurchasingReferral BusinessIncrease in Profits

Impact of Bad Service

ComplaintsNegative Public RelationsLoss of BusinessIncrease in replacements of lost customers

Service Oriented Companies

Charge 9% moreGrow at twice the rateProfitable

Good Customer Service

QualityReliabilityEnvironment

Intangible points of Service

Sense of CaringCourtesyWillingness to helpAbility to solve problemEnhanced service developmentEmployee SatisfactionIncreased ProfitabilitySurvival

Customer Relationship Management

Importance of Satisfied Customers

Cost of getting new customer on the board – 5 times more than keeping existing customer

Unhappy customer tells – Minimum 10 peopleHow many customers can good service retain – 80%Satisfied Customer tells – only 3 – 4 peopleHow many unhappy customers complain – Most of

the customers don’t complain, just walk out of your business.

CRM Framework

The true Customer Centric strategy

CRM Definition

A marketing initiative for acquisition, retention and growing of profitable customers selectively.

Understanding CRM

It encompasses all processes where the customers are involved be it internal or external customers.

An initiative which acts as the front end for integration of all business functions of a customer centric organization.

Defining Customers

Customer is any person who buys a product or avails a service

Customers can be of 2 types Internal and External

Customers are human beings – so it is the experience of the customer which is important in any customer related process / initiative

Relationship Unrevealed

Interaction is the first step towards relationship building

Repeated interactions lead a healthy relationships and knowledge about customers

Interactions are repeated if there is no breach of trust and commitment.

Management of Customer Relationship

A planned, focused value based approach to deliver quality of service

Increase use of customer channelsIncreases profitability by delivering what

customers need, want or desire rather than deliver feature and technology

Trust one to one customization effort leads to potential business benefits like cross-sell, up-sell and customer loyalty.

Advantages

Reduces advertising costsMakes it easier to target specific customers

by focusing on their needsEasier to track effectiveness of a campaignOrganization compete on services not pricesSpeeds the time it takes to develop and

market a productImproves use of customer channels

Why CRM?

Change in market scenario – companies compete on services

CompetitionIf you don’t deliver – your competitor does80% of business comes from 20% of

customersAcquiring a new customer costs 5 times

more than retaining existing customerReferrals are the cost effective way for

customer acquisition

CRM Cycle

Define business visionSet up access points for customers and prospectsUse technology to capture customer data during

interactionsUse stored data for gaining knowledge and insight

about customersUse the same for development / improving products

and servicesAutomate work processes for quick service in supply

chain automation and sales force automationAcquire new customers

Before CRM

A Vendor study says:

68% of customers walk away without concluding a sale

80% of a company’s income is from repeat customers

It costs 5 times as much as to get a new customer as to keep an existing one

After CRMA Vendor study says:

A 51% of increase in sales20% of increase in customer satisfaction2% increase in profits and organization21% reduction in cost of sales and service