Importance Of Good Customer Service

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Why good customer service is important

Customer service has a huge impact on overall customer experience; it is often the only contact a customer has with a company. When customers have a question or concern, they expect your company’s customer service department to fix their issues. How your company handles a problem determines the damage the problem has on your brand reputation.

Customer service as a competitive differentiator

Companies today are primarily competing not around price or proximity; rather, the main differentiating factor between today’s businesses is customer service: customers are 5x more likely to purchase from companies that provide great experiences (Temkin Group)

Customer service drives retention and revenue

If your company has outstanding customer service, customers are more likely to purchase from you again, boosting sales and profits. On the other hand, if your company has poor customer service, customers are unlikely to return, and may instead turn to one of your competitors. Retaining customers is much less expensive than acquiring new ones, so making your customers happy with above-and-beyond service is in your best interests.

Customer service accelerates customer acquisition

Great customer service can turn loyal customers into brand advocates: people that have a positive customer service experience tend to share this experience with 2 to 3 others (Consumer Affairs). They are also likely to leave you a great review online. Happy customer voices are the most powerful advertisement, and make potential customers feel confident about doing business with you. In contrast, a customer who has a bad customer service experience is likely to tell between 9 to 20 people about it, steering away potential customers.

The importance of proactive customer service:

Rather than just reacting to problems after they occur, it’s important to also be proactive in your customer service initiatives. This means identifying potential pain points and reaching out to customers before issues even surface.

The BirdEye platform helps you offer proactive customer service across the web. With BirdEye, you can:

Send real-time customer surveys: Asking for feedback instantly after a transaction increases response rates and lets you address any issues while the customer is still on-site. This way, you can turn negative situations into outstanding customer experiences.

Engage with customers on social media: Hear every brand mention from customers and non-customers alike across social channels, blogs, discussion forums, and news sites. Flag any negative mentions and assign them to customer service reps as support tickets. This ensures swift issue resolution, and surprises and delights customers who did not even have to reach out to get support. All customer engagement should be personal and authentic. Canned responses suggest your company doesn’t care enough to take the time to help its customers, and don’t foster brand loyalty like a genuine response from a real person does.

Monitor and respond to online reviews: With BirdEye, you can spot potential problems on a larger scale with deep insights into customer feedback from reviews, social media, and surveys. BirdEye runs Natural Language Processing (NLP) on your reviews so you can understand what’s driving low ratings and what you can do to fix the underlying issue and prevent it from happening again.