People are naturally drawn to people who are kind to them. When you ask customers why they love a restaurant, their answers could either be because the food is great or because of how well they were treated throughout the service.
Customer service has become a crucial part of a business’s success its importance parses with the quality of products and services nowadays. It has come to a point where even your regular customers can quickly turn away from you once they get dissatisfied with your services.
Most big corporations invest massively in customer service training and tools to ensure that they do not lack in that department. Sonary offers a list of payment-processing software that can help improve customer service.
Companies often prioritize their service to make sure that their customers are always well-taken care of before, during, and after the service, mainly because the longer they exist in the industry, the more customers will come to them. Being excellent in customer service is a huge advantage to have when you are surrounded by intense competition.
Here are 5 Clear-cut reasons why customer service is essential:
1. It Promotes Customer Retention
When you are known for providing quality customer service, it’s only natural to acquire more loyal customers to your brand. As proven by research, customer retention is cheaper than customer acquisition because loyal customers are more likely to spend 57% more on the brand they are devoted to. Customer acquisition, on the other hand, is more costly and time-consuming, and it doesn’t give any assurance that you will be getting loyal customers from new customers.
Aside from the fact that loyal customers are more likely to spend multiple times on one brand, they also help promote the trustworthiness and reliability of a brand, which can help get you more new customers.
2. It Makes Customers Happy
Customer service employees are trained to always be attentive and cheerful toward customers, and in return, the customers will feel comfortable and at ease with the employees. When customers are happy, they tend to say appreciative words or show kind gestures to the employee that makes them happy, which motivates them to work harder and provide even better service.
Most of the time, when customers are happy, they will not stop talking about the company or place that made them happy, and this creates free marketing to the business. Remember that satisfied customers always refer the brand to others, and it is what we call word-of-mouth in marketing. You’ll be surprised to know that one of the main reasons people try out a new brand is because they heard it from a friend or have seen it from someone who posted good things about the brand on social media channels.
3. It Helps You Retain Employees
In any business, it’s vital that you not only make your customers happy but also your employees. The best way to keep employees, apart from paying them competitive, is to provide a healthy and a happy working environment, and satisfied customers contribute significantly to that environment.
Another factor why excellent customer service helps you retain employees is because most employees are drawn to companies that treat their customers well. When employees see how much you give value to your customers without showing that you are only after their money, they will be willing to stay longer and do their work better.
4. It Reflects Your Mission And Vision And Boosts Brand Reputation
Your mission and vision should always reflect on the actions you make as a stakeholder of the company. When customers see what your brand represents through how you treat them, they can easily understand your brand and look at it on a brighter side. It gives enlightenment to them on what your brand is all about, instead of making assumptions based on what they only see online and on social media channels rather than experiencing it firsthand.
5. It Increases Customer Lifetime Value
Customer lifetime value, or CLV, is the total worth of how much you will get from a single customer throughout your relationship. Having good customer service is a surefire way to boost CLV. One of the reasons why customers repeat their purchase on a company is when they have a good shopping experience. It’s also hard for a customer to transfer to other brands once they like the service they got from the first brand.
Repeat customers are highly likely to trust new products or releases of the brand they’ve been loyal to, and it’s also highly likely that they will purchase anything from that brand and repeat it over time.
Conclusion
Customer service is indeed crucial nowadays, especially since customers are becoming more meticulous and vocal about how they feel about a product or service because of the influence of various social media channels. One word or post from them can make or break a company.
Any world-class company is known for its excellent services, so if you want your business to grow and glow, invest in quality customer service.