The Impact of Customer Service on Your Company’s Bottom Line

It’s important to organize and run an efficient business in which the customer remains first. In doing so, the bottom line could become stronger on its own.

Customer Service

What is a more important factor to the business: customer service or price? One might think that cost is the number one factor and that everything else takes a second seat. In reality, that isn’t always true. Many shoppers are willing to spend a bit more for improved attention and courtesy. Why is that? You might think the pocketbook drives decisions. While people don’t want to overspend, they often prefer to collaborate with an institution that is trustworthy and kind. The financial output often comes in second.

It’s important to organize and run an efficient business in which the customer remains first. In doing so, the bottom line could become stronger on its own.

What Do the Numbers Show?

What is the impact of treating the client right? Is it really worth the investment or time? Isn’t a sale a better gimmick? As owners, the object is to strengthen your position in the industry, gain loyal customers, develop a solid reputation and make money. It’s a tall order, and many of these qualities rely on your patrons speaking well of your organization.

Research in this area reveals a strong correlation between client happiness and sales. A recent Forbes article on customer experience points out that revenue increases anywhere between 4-8% compared to similar businesses when an establishment prioritizes the buyer’s encounter. In addition, statistics show that over 80% of operations that concentrate on enhancing customer service saw profit increases. The data seems to indicate customer service could lead to better financial benefits for the company.



Why Might This Relationship Be So Important?

In further interviews and studies, Forbes reports that consumers believe that their loyalty is tied to how they felt about the interaction. Over 90% of people say they return because the experience was good. Furthermore, approximately 70% of shoppers indicate they are less likely to buy again if the connection was poor. Encounters, therefore, should be a major consideration for management.

Look at communication. Responding to questions, complaints and concerns is a tedious process, demanding either an owner stopping current work to provide a thoughtful and timely response or hiring someone who can manage the situation. For some, the right decision may seem to be delaying the call until after the project is complete. That choice allows for consistent attention to one thing at a time.

The problem with prolonging contact, though, is that it diminishes the client’s need for an answer. In fact, it exacerbates negative feelings and worries. By the time you get in touch with the customer, it’s likely to take a great deal of talking and effort to appease the rising emotions. Battle this by being a proactive communication establishment. Teams with virtual phone systems like a ninja number may take calls from various places. The virtual system permits multi-tasking. Stop, listen and respond. Keeping buyers happy is vital.

How Do You Create This Solid Connection?

The golden rule may work in the business world. Treat others how you want to be treated. Start by telling staff members to emphasize manners and pleasantries. Greet people with a nice welcome. Learn names, especially of long-term clients. Write out protocols for how you want people to represent your brand and what they shouldn’t do. Be specific. Should workers wipe off shoes before going into a residence? Should booties be put on to prevent dirt? Are there forms of conversation that should be off the table? It’s best to be explicit than hope your workers know how to act.

Next, establish return contact timelines, so you get back to the customer as soon as possible. Also, leave cheerful or humorous voicemail greetings to combat negativity.

Also, acknowledge and compensate for your errors. A task done wrong is infuriating, and it makes for a poor reputation with few recommending you for more work. Own up to a mistake. Offer a discount. Look for a way to get people to see you care.

At the end of the job, ensure that customers are smiling. Happiness is a good sign that a return may be in the future. Even if they don’t need you again, it’s more likely that your name will be passed one; thus, stay focused on superior service and kindness.