Tuesday, October 18, 2011

No News is Bad News!

Many companies treat customer service as a necessary evil, an afterthought, only needed if mistakes and problems arise. This viewpoint is best reflected in the antiquated mindset: "No news is good news!"

When it comes to customers, that's bad news! When you hear nothing - good, bad or otherwise - you will never know what you might need to do to improve customer loyalty. Here's why news is so important to your business:

If you have a customer who is happy and you do not give them a chance to tell you, you lose one of the strongest opportunities to increase and improve customer loyalty. The need to be internally consistent is a driving force in shaping future behavior. In other words, if customers tell you how and why they are happy, they are very likely to repeat the behavior that caused them such satisfaction - which was doing business with you!

And what if you have a customer who is not happy? Who would you rather they tell all about it - you, or your prospects, competitors and other customers? Encourage open communication with your customers and you will hear the news that's vital for your business and its future.

Key Learning Points

Theodore Levitt said it best: "One of the surest signs of a bad or declining relationship with a customer is the absence of complaints (or compliments!). Nobody is ever that satisfied, especially over an extended period of time. The customer is either not being candid, or is not being contacted."

Action Steps To Improve Customer Loyalty

Contact a number of your recent customers right away. Ask them for immediate feedback on your service. If they are happy, your call will make them happier and will help improve customer loyalty. If they are not completely happy, your call will give you a precious opportunity to make it so and you might even improve customer satisfaction in the process.

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