Badly Served Britain Votes With it's Feet
We’re only weeks into the New Year but already signs are showing that 2008 will finally be the year consumers give shoddy customer service the boot..
According ABa Quality Monitoring, as figures show
nearly six in ten people have ditched a trusted bank, telecoms service or
other provider for delivering bad customer service.
The issue has been a slow burner – only in 2006 did findings reveal 65% of
people move their business elsewhere after experiencing a ‘poor shopping
experience.’
Now, trend research by the mystery shopping specialists, who’s client list
boasts the likes of Sainsbury’s, Virgin and Orange, has shown that it’s not
just the reputation, but the balance sheet that takes a hammering when
customer service goes awry; a trend retailers can ill-afford at present with
the January sales in full swing.
“Our vantage point within the mystery shopping arena means we’re privy to
both sides of the fence; what works, what doesn’t and the knock-on effect
that organisations face when they get it wrong. We’ve found that happy
customers stay loyal and spend more,” says ABa’s Jill Spencer, “whilst
unhappy ones vote with their feet. Many even feel their loyalty has been
betrayed when they’ve been on the receiving end of poor customer service.”
The research highlighted below par service across the suite of customer
‘touch points’, both in-store and in a call centre environment. Major gripes
included staff with poor product knowledge, being put on hold for a long
time and lengthy, automated voice responses.
Spencer also cites the online customer service environment as a key focus
for retailers in 2008 - over £17billion was spent over the Internet in the
last quarter of 2007 - and concedes it too is an area blighted by the
problem. The research showed consumers were turned off by poor response
times to email queries and complaints: “More people purchase online now than
ever before and it shows little sign of abating. Therefore, retailers need
to introduce measures on the web that allow their customers to register poor
service, and for it be acknowledged and acted on swiftly.”
Even in light of this however, Spencer warns businesses not to eliminate
face to face customer contact either: ”Irrespective of the manner in which
goods are purchased, consumers remain ‘real’ people. Its imperative
retailers keep this ‘front of mind’ to avoid falling foul of customer
disengagement.”
Spencer advocates firms adopt a more robust, pro-active stance when it comes
to treating their consumers correctly: “Employing systems and measures that
monitor and measure service effectively is far more cost effective than
trying to win back lost custom. Organisations need to be acutely aware that
the shopping experience is a multi layered beast, from first contact to
payment collection and beyond. The result spells increased cash flow and
more profitable customers.”
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