Who Needs Customer Service Anyway?
Now, I'm not talking about customer engagement, service delivery or the customer experience in general. What I mean is the first thing people usually think about when they think about customer service - "the call center". That phone number you have to call when something went awry.
What customers need and want are companies to satisfy their specific issues. I've been reading a bunch lately about service-dominant logic thanks to folks like Wim Rampen and Graham Hill. It is an experience economy. Customers don't buy products or services. They exchange something for something. Most often, its money in exchange for satisfaction of a specific need or issue. A car satisfies emotional needs, ego needs and the need to get from point A to point B; among others.
So, while I'm hearing much lately about customer service becoming the new marketing, I take issue with this for a couple of reasons.
First, this statement assumes as fact that "customer service" is a function or department, connected to which is usually a call center. It discounts the real value of customer service as a business strategy, a corporate philosophy and a culture that permeates an enterprise. And, so this leads to issue number two.
Companies that have a deep-rooted foundation in a customer-service oriented culture focus on the customer experience. That experience starts with the very first interaction with the brand; through advertising, word-of-mouth, entering a store or any other of myriad methods by which customers get introduced to brands. This process often starts even before a need is identified by the customer that requires attention. Many of these companies consider it actually a failure of the experience delivery if a customer need the customer service department.
This failure, in those companies that really understand the drivers of customer satisfaction, loyalty and superior experience, represent an opportunity to do something; to fix a problem internally.
What customer service (in the departmental sense) should focus on evolving into is the hub for business process reengineering within the company. Yes, good old BPR. I'm sure some of you remember Michael Hammer from B-School. His claim was that most of the work being done in an organization (answering customer calls) does not add any value for customers. And, this work should be removed rather than accelerated through automation - where we spend most of our "BPR" efforts within the four walls of the contact center.
Start with this. Run a simple report from your contact center CRM system on contact reason codes. How many of them say things like "billing inquiry" or "shipment error" or "product spoiled/damaged". Those codes mean there is something going on elsewhere in the company that is causing that customer to need customer service, to pick up the phone. I know many contact centers produce these reports and distribute the information. But, how many actually take ownership of these issues.
What's the potential impact, both in real dollars and on the customer experience if customer service became the new corporate BPR consultants rather than the new marketing?
Run that CRM report, and I think you'll have your answer.
(oh, and read Bill Price's book The Best Service is No Service. He's the authority on this subject)
Other Posts by Barry Dalton
'We Have Received Your Customer Service Question...' - November 30, 2011
Don't Trick Your Customers With Self Service - November 3, 2011
The Customer Dating Game - October 23, 2011
Exceptional Customer Service Never Gets Old - October 5, 2011
A Bit Off Target - A Twisted Customer Service Tale - September 29, 2011
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bsdalton65 said:
Thanks for stopping by Gabriel,
And I agree with your comment that service delivery is a component of any commercial offering you could imagine. And, I think the service delivery provides a greater and greater opportunity for competitive advantage, as products are commoditized more rapidly than ever.
So, yes, every company should be service oriented. But when you look at the alignment of expectations, structures, measures and reward systems, many organizations, while providing service, are not truly customer focused. They instead are focused on internally facing metrics, processes and reward systems encourage behavior that erodes the customer experience and employees are not empowered to serve the customer.
So, delivering a service is completely different that operating your company in a customer-centric model.
thanks again
Barry
Gabriel Gheorghiu said:
I'm intrigued by the term "customer-service oriented culture" - I know this will sound like an oversimplification, but i think it does help sometimes: you create a company to sell products or services, and you need customers to buy what you're offering. No matter what you sell,there is some service that you or a partner will provide to your customers. If there's something wrong with your offering or the services related to it, customers will be unhappy.
In conclusion, every company should be "customer-service oriented" because that's one of the main sources of revenue and profit (which is exactly why the company has been created in the first place)
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