It should be a no brainer for companies to do everything in their power to retain the customers they have. However, on many occasions, I’ve despaired at how some companies seem hell bent on doing exactly the opposite. It can be up to 7 times more expensive to get a new customer than retain an existing one so why then, is that such a difficult thing to do?
According to a Lee Resource Incs survey, it can take around 12 positive Customer Service incidents make up for one negative experience. That’s an awful lot of extra time, effort and money, which could have been avoided by ensuring the customer, was happy in the first place. More Customer Service facts can be found via the CSM (The Magazine for Customer Service Managers & Professionals).
The customer may not always be right but the satisfaction of the customer should still always be top of a company’s agenda. According to Internet research, companies who do strive to make Customer Service a priority make about 60% more in profit. Surely definitely worth a shot then?
Through social media, the world has in many ways become impersonal and it’s more difficult than ever to try to ensure that customers do feel appreciated and value. In some companies, you have to wade through five tiers of management and be passed from pillar to post until you finally find someone who can even start to deal with the issue you have raised and even then, you’ll be lucky if it is resolved before you’re cut off and then have to go through the whole saga again with customer service agent number 2, 3,4 and then 5.
The bottom line is that customers pay wages but the sad fact is that an increasing amount of companies nowadays seem to have completely lost sight of this. Instead of remembering who their customers are and looking after their staff properly, the focus seems to be on cost and products rather than the quality of service provided. Time to re-address this balance.