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Seven ways to improve customer service, without spending a dime

By Dr Martien Eerhart

Introduction

Small and midsize business owners were asked how they improve their customer service to increase sales. The following highlight the findings.

Fire your headache customer

Every business has a few problem clients. You can't please them, regardless of what you do. Cut your losses, and move on. By focusing in on your "good customers". your overall profits will increase.

One Massachusetts based company found this out first hand. "We recently got in a situation where, through no fault of ours, things kept going wrong with a customer job. They mistakenly approved the wrong stock. The printer made an error. A vendor misquoted. Etc., etc., etc. It cost us several thousand dollars for taking the "What do you see as a solution" approach. After that, we figured out that we'd have to work five more years for these people to make up the difference in profit margin (and that's what matters, not gross receipts). Not a likely prospect.

" Sometimes the best solution is to shrug your shoulders, cut your losses and move on. You may lose some sleep, but your employees won't lose their next bonus."

Have a "quality team meeting?"

Set aside some time to get the different members of your teams together, and brainstorm how you can improve your customer service. One of the hotels in New Hampshire started asking all employees how they could improve customer service. One of the employees noticed how they took good care of their corporate clients, and summer clients. They didn't seem to attract newly weds. So, they started beefing up their services to the market of newly weds, by providing new services to this target group. Within a year their number of newly weds almost tripled.

Get your employees together, and ask them how you can improve your overall performance (of course it also pays if you listen)

Make changes by listening to your customers

Anyone can ask customers what they want. Frequently it stops there, and companies don't make the next step to implement the suggestions.

Victor Kiam, CEO of Remington Electric Shaver Company had an employee who had surgery. When Mr. Kiam met her after the surgery, the woman told him that she had to have her abdomen body hair removed for the surgical procedure. The nurse nicked her three times using a double-edge razor. The woman suggested that a Lady Remington would be better. Mr. Kiam told the research team, and they developed a now highly popular Lady Remington as a surgical shaver.

Use common sense

Use common sense like using the customer's name, greeting a new customer and smiling.

A local Cumberland farm had two locations in a relatively small town. One of the sites had higher traffic in the store then the other store. At one point the customers seemed to shift to the other store. When the owner asked the customers why they went to the other location, it turned out that two of their employees were now working there. Since there was no major issue with distance, customers went where these two employees went. These two employees were polite, smiled when new customers walked in, and used the customers name when they were paying by credit card.

A dry cleaning company found a client for life. The woman who worked in the store, ran the store as if she owned it. One day a customer walks in, and the woman greets the frequent customer. Next, she apologised when she asked him what his phone number was (for the receipt). She explained that since he was such a good customer, she should have know the number by heart. She assured him, it would never happen again that she had to ask for his information! This store just won a customer for life!

Manage expectations

During the sales process, don't promise many things, and then only deliver those things. Instead, promise a little less, and when you get the new customer, give a little more.

A local car dealership never promised the buyer of a new car that they would provide personalised attention to their customers. If you buy a car at this dealership, you would not expect to get a call after a week, and then after a month. You wouldn't expect to get a personal Christmas card or a 1-year courtesy call. This dealership tops it all by sending the customers a birthday card as well.

When asking the owner if it was worth all the effort, he indicated that they found was that customers had a 83% return rate (as opposed to 47% at their next door competitor). His eyes twinkled when he mentioned that the retention rate of his sales reps was the highest in their county as well.

The 30-second Hi-and-Bye script

This idea came from a business owner who got tired of all the promotional mailings and calls to draw people into his car detailing shop. He designed a marketing push that didn't cost him a dime.

He had his employees call every local customer they had. The script was very simple: "Hi, this is Joe from Joe's auto detailing. I hope your car is still shining. It was a pleasure to serve you. Have a super day, and good bye" That was the whole script.

The customer who hung up the phone had no clue what just happened, since they were never asked to buy anything. Imagine the owner's surprise when 24% of these customers returned the same month! All he did was a non-threatening and non-selling approach. Suddenly people realised that it is a good idea for a new shine for their car.

Use modern day technology

Numerous small business owners use technology to improve customer service. A computer software company uses software that will read the caller-id number that comes in, and automatically pops up the customer record on the computer screen. The customer service rep who answers the phone can immediately respond to their needs.

Another business consulting company uses Wildfire, a voice activated voice mail system. Instead of "Press 1 for sales," customers would hear in a pleasant voice, "If you like to talk to Joe Doe, say YES." The customer gets a more personalised feeling, even though it is software operated.

A commercial banker gives her customers an "Universal number." This special number can be used to

  • leave message,
  • locate the person,
  • accepts faxes, or can
  • page the banker.

The banker gives this special number, because she values the person, and want to make every effort to be respond to any questions.

Summary

The technology and services are available and affordable today for small and midsize companies. Why not use them.

Drs Marty Eerhart is a sales and management consultant. Visit his web site at http://listen.to/Eerhart. Or call him at (800) 860-3547.

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