The Customer Service Department Is King
NFI Research indicates that customer service is the top department that business leaders say provides their companies with the most strategic competitive advantage. Just over half (53.3%) voted service as the number one department. Behind service was Information technology, marketing and then sales.
Chuck Martin of NFI Research says, “Businesses still perceive that the customer is king. This also means that smart companies should ramp up their focus on customers into the future.”
Why not take the approach that I’ve written about many times before. We know customer service is important, but it shouldn’t be limited to just a department. It should be part of the company culture and everyone should be involved. Simply put, customer service is an attitude.
Shep Hyken, CSP is a professional speaker and author who works with companies who want to develop loyal relationships with their customers and employees. For more information on Shep's speaking programs, books, tapes and learning programs please contact (314) 692-2200. Email: shep@hyken.com – Web: www.hyken.com – Click here for information on The Customer Focus™ customer service training programs (www.TheCustomerFocus.com).
Wednesday, June 28, 2006
Monday, June 12, 2006
Will Customer Service Enough
Recently Dell has admitted that HP has making a run at Dell’s very strong place in the computer market. HP and other computer vendors have been slashing prices. Dell’s response has been to take them head on. Computers are a commodity. They have been for a long time. So, what is Dell doing to break away from being a commodity? They are offering service.
Kevin Rollins, Dell’s CEO has promised investors to spend $100 million on customer service. In addition to new Web-based support, Dell has increased employment from 1,000 to 4,500 at their Nashville, TN call-center and added or expanded global call-centers around the world.
So, is this effort enough? Dell has to be competitive in the market they created, which is a low priced quality computer. While competing on price, they have always offered service. However, so have some of their competitors.
My comment to all of this is simple. Unless Dell can make a compelling argument to the new consumer that their computer is a better value because of the service, they will continue to erode margins because of price wars. However, market share can hold and even gain once the consumer experiences this high level of service that Dell is promising.
Can Dell deliver on their service promise? I’m a Dell fan and customer, so I hope so. I’m also from Missouri, the “Show Me State.” So, show me!
Shep Hyken, CSP is a professional speaker and author who works with companies who want to develop loyal relationships with their customers and employees. For more information on Shep's speaking programs, books, tapes and learning programs please contact (314) 692-2200. Email: shep@hyken.com – Web: www.hyken.com – Click here for information on The Customer Focus™ customer service training programs (www.TheCustomerFocus.com).
Recently Dell has admitted that HP has making a run at Dell’s very strong place in the computer market. HP and other computer vendors have been slashing prices. Dell’s response has been to take them head on. Computers are a commodity. They have been for a long time. So, what is Dell doing to break away from being a commodity? They are offering service.
Kevin Rollins, Dell’s CEO has promised investors to spend $100 million on customer service. In addition to new Web-based support, Dell has increased employment from 1,000 to 4,500 at their Nashville, TN call-center and added or expanded global call-centers around the world.
So, is this effort enough? Dell has to be competitive in the market they created, which is a low priced quality computer. While competing on price, they have always offered service. However, so have some of their competitors.
My comment to all of this is simple. Unless Dell can make a compelling argument to the new consumer that their computer is a better value because of the service, they will continue to erode margins because of price wars. However, market share can hold and even gain once the consumer experiences this high level of service that Dell is promising.
Can Dell deliver on their service promise? I’m a Dell fan and customer, so I hope so. I’m also from Missouri, the “Show Me State.” So, show me!
Shep Hyken, CSP is a professional speaker and author who works with companies who want to develop loyal relationships with their customers and employees. For more information on Shep's speaking programs, books, tapes and learning programs please contact (314) 692-2200. Email: shep@hyken.com – Web: www.hyken.com – Click here for information on The Customer Focus™ customer service training programs (www.TheCustomerFocus.com).
Wednesday, June 07, 2006
Be the Brand
Once a month or so I write an article that is published through my website. (If you don’t get it, it is free and you can subscribe at the website mentioned below.) This last month’s article was about a woman having a bad day. The message was that no matter how bad the day may be, the customer doesn’t need to know it. When you are in front of the customer you are “on stage.”
Jim Coyte, director of marketing for UPAC Premium Finance, took the “on stage” concept even further. He says, “We believe that you are "On-Stage" in everything you do... and your "personal" brand as well as who you may represent... is at stake. From a branding perspective, one could make a pretty good case for the idea that YOUR "customers" are everyone you have come in contact with... every hour of the day... every day of the week... since you were born. Their CUMULATIVE exposures to you... who THEY believe you are... what THEY believe you stand for... what THEY have read, know or heard about you... how They feel about you... and so on up to this very moment... the sum total of all the touch points they have encountered along the way... have helped them form their perception of you are AND in the case of the example below, who you represent too. And, right or wrong... to them, this is who you are... this is your brand. As a result, we think that we are "On-Stage" ALL THE TIME. If you are only on-stage some of the time, what is your brand then?”
Great comment, Jim! Basically, you walk the talk. You are the brand – all of the time. You can’t be you (and your brand) just some of the time!
Shep Hyken, CSP is a professional speaker and author who works with companies who want to develop loyal relationships with their customers and employees. For more information on Shep's speaking programs, books, tapes and learning programs please contact (314) 692-2200. Email: shep@hyken.com – Web: www.hyken.com – Click here for information on The Customer Focus™ customer service training programs (www.TheCustomerFocus.com).
Once a month or so I write an article that is published through my website. (If you don’t get it, it is free and you can subscribe at the website mentioned below.) This last month’s article was about a woman having a bad day. The message was that no matter how bad the day may be, the customer doesn’t need to know it. When you are in front of the customer you are “on stage.”
Jim Coyte, director of marketing for UPAC Premium Finance, took the “on stage” concept even further. He says, “We believe that you are "On-Stage" in everything you do... and your "personal" brand as well as who you may represent... is at stake. From a branding perspective, one could make a pretty good case for the idea that YOUR "customers" are everyone you have come in contact with... every hour of the day... every day of the week... since you were born. Their CUMULATIVE exposures to you... who THEY believe you are... what THEY believe you stand for... what THEY have read, know or heard about you... how They feel about you... and so on up to this very moment... the sum total of all the touch points they have encountered along the way... have helped them form their perception of you are AND in the case of the example below, who you represent too. And, right or wrong... to them, this is who you are... this is your brand. As a result, we think that we are "On-Stage" ALL THE TIME. If you are only on-stage some of the time, what is your brand then?”
Great comment, Jim! Basically, you walk the talk. You are the brand – all of the time. You can’t be you (and your brand) just some of the time!
Shep Hyken, CSP is a professional speaker and author who works with companies who want to develop loyal relationships with their customers and employees. For more information on Shep's speaking programs, books, tapes and learning programs please contact (314) 692-2200. Email: shep@hyken.com – Web: www.hyken.com – Click here for information on The Customer Focus™ customer service training programs (www.TheCustomerFocus.com).
Thursday, June 01, 2006
Going beyond customer service - Create a Great Customer Experience.
Plaza Motors is the largest luxury car dealer in St. Louis, MO. They carry numerous high-end brands such as Mercedes, Lexus, Range Rover, Porsche, Cadillac and more. As great as the cars are, it is the service that keeps customers coming back. That’s true in just about any car dealership.
John Capps, general manager of Plaza reported that the company just spent $23 million to upgrade their facilities for Lexus and Mercedes. The cars may be great, but the follow-up experience has to be even better. For example, Capps added wireless Internet, a coffee bar, an area for kids, a big flat-screen TV, comfortable leather chairs and a fireplace. While Plaza offers free loaners to their customers, Capps says that many customers would rather just stay at the dealership and work if it’s only going to take an hour and a half.
What Plaza has done is made the servicing of the customer’s car a pleasant and positive experience. Why not meet a friend for coffee while the car is being fixed. Or return some emails and phone calls in the plush lounge. Makes me want to go get an oil change!
So, what’s next? Maybe get a massage while your car is being service? Not a bad idea?
Shep Hyken, CSP is a professional speaker and author who works with companies who want to develop loyal relationships with their customers and employees. For more information on Shep's speaking programs, books, tapes and learning programs please contact (314) 692-2200. Email: shep@hyken.com – Web: www.hyken.com – Click here for information on The Customer Focus™ customer service training programs (www.TheCustomerFocus.com).
Plaza Motors is the largest luxury car dealer in St. Louis, MO. They carry numerous high-end brands such as Mercedes, Lexus, Range Rover, Porsche, Cadillac and more. As great as the cars are, it is the service that keeps customers coming back. That’s true in just about any car dealership.
John Capps, general manager of Plaza reported that the company just spent $23 million to upgrade their facilities for Lexus and Mercedes. The cars may be great, but the follow-up experience has to be even better. For example, Capps added wireless Internet, a coffee bar, an area for kids, a big flat-screen TV, comfortable leather chairs and a fireplace. While Plaza offers free loaners to their customers, Capps says that many customers would rather just stay at the dealership and work if it’s only going to take an hour and a half.
What Plaza has done is made the servicing of the customer’s car a pleasant and positive experience. Why not meet a friend for coffee while the car is being fixed. Or return some emails and phone calls in the plush lounge. Makes me want to go get an oil change!
So, what’s next? Maybe get a massage while your car is being service? Not a bad idea?
Shep Hyken, CSP is a professional speaker and author who works with companies who want to develop loyal relationships with their customers and employees. For more information on Shep's speaking programs, books, tapes and learning programs please contact (314) 692-2200. Email: shep@hyken.com – Web: www.hyken.com – Click here for information on The Customer Focus™ customer service training programs (www.TheCustomerFocus.com).
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