The Customer is NOT Always Right

Finally, a refreshing take on online customer reviews.  Read it here. Ultimately, some customers will complain and as a business owner you may have to pick and choose the best solutions instead of getting bogged down with this 1 or 2% of your client base.  Trying to hard to please a customer may constantly raise the raise expectations for you and your employees.  A chronic complainer is toxic to your business – sometimes you have to ask if the cost of fixing the problem exceeds the long term revenue the customer will bring in.



What is your Social Strategy?

Social Strategy Types

The article is a bit dated as Social has moved along in its life-cycle, but still has some good information.  Look at the quiz below to see the type of strategy your company employs. Click on the link above for the article from the Harvard Business Review.

Confessions of a Customer Service Agent – I hate customers!

Customer Service Week for 2013 was celebrated October 7-11.  During the event, The Social XChange team interviewed more than two dozen customer service agents representing retail, banking, casual food service, utilities, technical support and telecommunications to better understand the issues facing service professionals.

In this second part of a four part series, we asked agents about the new focus on “voice of the customer“, Net Promoter Scores and having customers in the driver’s seat when attempting to resolve their issues.

Some of the results were not surprising – of the more than two dozen agents interviewed, 88% were aware of the “voice of the customer” and NPS.  These agents are regularly scored by customers for ease of doing business with their company, if their issue was resolved and how likely they are to recommend the company to others.

Of the 88%, more than half felt that that the rating scale was unfair or skewed.  Also, since surveys only cover a small portion of the customer contacts they have on a daily basis, one bad survey can ruin an otherwise excellent monthly or quarterly scorecard.  Customer responses can also be credited to the wrong agent, further skewing the numbers and agent productivity.

A key takeaway for management – almost all the representatives voiced the opinion that they were not trained on or had been briefed as to how NPS and “voice of the customer” data fits into overall customer strategy – the most common question was “what are they doing with that information?”

Although companies are finally listening to customer needs and wants, many have not created the front line buy in or communicated a coherent strategy to make NPS truly effective for their organization.

One result from the survey which was surprising but not unexpected –  nearly 100% of the group had a negative or extremely negative view of the customer with the majority  surveyed believing that customers do not respect them or their profession.

On the heels of customers running amok during Black Friday, as well as a recent incident at a Red Lobster restaurant where a waitress was pummeled for bringing the wrong type of shrimp, service representatives feel they are fighting a losing battle against customers who cannot or will not be satisfied – and a significant number (more than 75%) say they lack the support of their company in dealing with these types of customers.

We have all heard customers say from time to time “I really hate company X”, but in this age of customer engagement and the “voice of the customer”, some seasoned service professionals believe the feeling may be mutual.

Tomorrow: Part 3 of our Series – Management Support?

Confessions of a Customer Service Agent

Customer Service week is an annual celebration held in the first week of October (In 2013, CSW ran from October 7-11).  Unique events including front line feedback forums and excellence recognition are sprinkled throughout each day of the week.  The customer service area is decorated, prizes are won and food is normally served to the entire group.

During the 2013 event, The Social XChange team set out to interview customer service agents in a variety of industries to uncover and spotlight the most pressing issues facing the CSR and how it affects they way they do their job.  Included in our research were questions about how agents deal with the “voice of the customer”, Net Promoter Scores and closed end feedback.  In addition, we were curious to know if agents feel they receive the proper support and tools from upper management and whether they believe their position better fits “customer recovery” instead of “customer service”.

Over the course of Customer Service Week, The Social XChange talked with more than two dozen customer service agents representing retail, banking, casual sit down food service, utilities, technical support and telecommunications.  The results (in four parts) will be published on this blog over the course of the next few days.  Surprising results and comments to follow!

Customer Service vs. Customer Recovery

One of the topics that The Social XChange is exploring in greater depth with Social 3.0 is the difference between customer service and customer recovery.

What is the difference you may ask? For companies such as ZapposSouthwest Airlines, and State Farm, customer service begins with the first sale or interaction and they gain and retain a customer with that initial experience.

In other words, if you get the initial transaction wrong (billing issue, defective product, or a bad internal process) then the client may have to call back, write or chat on your website, use self-service, or post to Social sites in order to have their situation corrected.  This creates a “customer recovery” opportunity.  You broke it, you fix it, but this effort may not save the long term customer relationship and certainly increases customer frustration.

Unfortunately, this is the way most customer facing centers are built – for recovery.  The alliance of FSM (Finance, Sales and Marketing) has long believed that customer service is a “cost center“, built to deliver “world class” customer care by fixing what went wrong on the front end of the transaction while increasing customer satisfaction and retention.

With every new product, price or process put in place, FSM calculates “breakage”.  Breakage, by definition, is the amount of customers affected by a defective, wrong or incompatible product, a price increase or simply a new internal process that benefits the company at the expense of the customer.   The number of people who will leave due to breakage and the number of people that customer facing agents “save” are also calculated.

In most cases, the focus for FSM is squarely on recovery – so it begs the question “how does this increase customer satisfaction?” Eventually, many customers will uncover the fact that they are not receiving “customer service”.

So therein lies the disconnect between customer service and customer recovery.  Unless the emphasis is to fix processes which cause “breakage” on the front end, a company will not be able to truly be known as “world class”.  All companies make mistakes and a flexible “recovery” plan is vital, but it should not be the focus of ones efforts.  Understanding the difference between service and recovery is critical, especially when a company gets only one chance to make it right.

Social 3.0 – moving beyond engagement

Social 3.0 – get ready to move your business to the next level in 2014!