Sunday, August 3, 2008

What We Shop For Customer Service

Writen by John T Jones, Ph.D.

Sometime back I wrote that the best day to go shopping was the day before Thanksgiving. The reason was that the stores are all stocked up for Christmas in goods and in sale staff. They know the day after Thanksgiving they will be swamped with Christmas buyers so they are getting ready.

The day before Thanksgiving, the stores are empty because all of the non-working women are home fixing Thanksgiving dinner. The working ladies rush right to the grocery store after work. So the "Christmas shopping stores" are empty.

I said in that famous article that going to J.C. Penney the day before Thanksgiving was wonderful. They had goods on sale and they had plenty of workers to help you select what you needed. We were in and out of there in an hour and we had a bundle of gifts for our 32 grandkids, our great grandchild, and their parents.

I worked at J.C. Penny years ago.

I worked in the evening part time to earn a little extra cash because I was heading back to graduate school.

I am an engineer but I was interested in the retail business and how it operated. I learned that each of the J.C. Penny stores in the Denver areas carried different merchandize according to the needs of local customers. I learned the power of newspaper merchandizing, and I learned something about store management.

I didn't check to see if they had different prices for the same merchandize in different stores as Wal-Mart® has (what the market will support) but I assume they did not.

(It's well-known that Wal-Mart® does this. Buyers in cities with multiple stores shop around in the different Wal-Mart® stores. Maybe Wal-Mart® knows that just brings more sales. The more time a buyer spends in your store, the more money he will spend. If he visits three of your stores in one day, looking for the best price, he will buy more than if he visited only one store.)

Well, I have another good report on J. C. Penney. I went into the store for their 40-50% off sale on men's clothing. I seldom buy clothing, but when I do, I buy a lot of stuff.

I started by selecting a sport coat. Soon a woman come up to us (I was with my wife) and gave us a hand. Then her supervisor showed up and helped too.

I couldn't believe that we actually had help in selecting our stuff. I bought two coats and the ladies tried to find pants that would fit me. But they didn't look just by size. No the pants had to go good with the coats. They were very critical about the whole matter.

I selected a couple of pairs of blue jeans while they were finding the pants. I ended up buying five pair of dress pants along with the two sports coats. Next, we tried to find dress shirts that would fit my bull neck. We ended up by having these special ordered.

When they rang up the bill they suggested that I grab a J. C. Penny credit card to save another 15%. That was another $45 bucks or so in savings so I took the card knowing that I could actually pay the bill then and there.

They said why not wait for the bill to come in. There would be no interest charged as long as I paid the bill on time. Since I had the mail order materials coming in too, I decided to let them put it on the card.

Now, it's hard to get that kind of service these days. We were in the store for over an hour and we had two clerks working for us full time. I thought that was great.

So maybe customer service isn't dead. You just have to find a department store that still has that good old customer service.

I noted that the clerks were careful in getting credit for the merchandize sold. The supervisor made sure the first clerk got full credit.

When I worked at J. C. Penney they had dropped sales commissions. I thought maybe they have put it back in place again.

I know the fulltime employees at J.C. Penney in Denver back in the early 1960s were very unhappy that they no longer got commissions. They preferred the excitement of generating commissions over the guaranteed salary increase they received based on their past commission sales.

Curious about the commission situation at our local store I had another nice experience, a person who knew exactly how to talk to a customer on the telephone.

It's sad to me that sales are continually lost because of untrained workers who are rude, uninformed, or abrupt on the telephone.

I told the young women who answered the telephone about my shopping experience and that I was writing a second article in which I mention J. C. Penny.

I told her about my work experience at J. C. Penney and I asked if they were now paying commissions.

She explained that some stores paid commissions on certain items and that some did not. If commissions were paid, they would be paid on suit coats such as I purchased. The store I visited was not paying commissions.

I asked if incentive wage increases were given based on sales.

She didn't know for sure.

I called over an hour before the store was open, so we did not get that answer.

I assume that sales are important to management and that they checked the sales of employees when giving wage increases, especially to supervisors.

Here is my opinion: Pay commissions to your sales people on larger-ticket items, train them properly, and they will give the customer the best service possible.

In the store I visited, I still got the best possible service without the commissions, but that is part of the work ethic and training in the Twin Falls store. So, I guess you don't absolutely have to pay commissions for good customer service.

But what about this: Why were the employees at the Denver store back in the early 1960s where I worked unhappy about not being paid commissions when they were still earning the same money?

Look at it this way.

You need an extra $50 bucks this week to take on vacation. You go into the store, work your tail off, and you earn the extra money right when you need it.

That's my theory.

You also can "hit the jackpot" on a particular day if you are paid a commission.

John T. Jones, Ph.D. (tjbooks@hotmail.com, a retired VP of R&D for Lenox China, is author of detective & western novels, nonfiction (business, scientific, engineering, humor), poetry, etc. Former editor of Ceramic Industry Magazine. He is Executive Representative of IWS sellers of Tyler Hicks wealth-success books and kits. He also sells TopFlight flagpoles. He calls himself "Taylor Jones, the hack writer."

More info: http://www.tjbooks.com

Business web site: http://www.aaaflagpoles.com

Saturday, August 2, 2008

Why Is Good Customer Service So Important

Writen by James Cuoco

It amazes me that in this day and age how some companies still do not understand the importance of good customer service. It seems many are focused more on saving money and less on keeping customers happy. Customer satisfaction leads to continued business, referrals, and customer loyality. Inadequate customer service does the exact opposite and ends up being an enormous burden on a company, which in the end will cost more in future sales and lost customers than what would have been saved in reducing support costs.

Here is a perfect example. About six months ago I switched my telephone service over to a popular Voice-Over-IP provider. The savings for my family was be about $50 a month and with the explosion of cell phones, we have become less and less dependent on our home service anyway.

It started out great, the representative that helped with the setup was terrific and the service worked just fine. A couple of months later I ran into a problem and the only way the company allowed me to contact customer service was by calling their technical support line. Personally I would rather email my issue to the company because I like putting things in writing. There is less chance for confusion and it leaves a paper trail of what the problem was and the steps taken to resolve it.

Anyway, my call was transferred overseas to the company's support center. The representative was very fluent in English, but his accent was so thick I often had to ask him repeat himself. The real problem was not the accent though, it was his complete inability to help me with my problem. I would state the problem and the actions I took to try to correct it. He would then state what I needed to do, even though I had already done it. It was if he was just reading from a troubleshooting manual and not interacting with me at all. It was incredibly frustrating, so I ended the call and tried again with another rep. Same result. This happened on three separate calls and there was obviously a pattern.

After that experience, I got online and searched the Internet for other people's experiences with this company (something I should have done before I switched). I was amazing at how many people had taken the time to write about how bad this company's customer support was. I couldn't believe it.

After this ordeal I decided to cancel my service with this company. When I called to do it, the woman I dealt with (from the United States) was incredibly gracious. She asked why I wanted to cancel and tried to convince me to stay. I told her that if I had dealt with someone like her initially I would have stayed regardless of the problems I encountered, but I stated her company's customer service was so bad, there was no way I could continue doing business with them or recommend them to anyone else.

It is really too bad, this company's technology is absolutely terrific, but technology alone does not make a great company. The company I switched to was also a VoIP provider and while their technology is not as good, their customer service makes up for it. Problems don't happen often, but they do happen and the company that can make those problems the least painful are tops in my book.

James A. Cuoco is a frequent blogger and CRM Advisor
Email: jimc@supportfusion.com
Company: Support Fusion Inc. - Help Desk and CRM Web Based Software
Web Site: http://www.supportfusion.com
Blog: http://supportfusion.blogspot.com

10 Ways To Improve Your Customer Service

Writen by Rojo Sunsen

1. Stay in contact with customers on a regular basis. Offer them a free e-zine subscription. Ask customers if they want to be updated by e-mail when you make changes to your Web site. After every sale, follow-up with the customer to see if they are satisfied with their purchase.

2. Create a customer focus group. Invite ten to twenty of your most loyal customers to meet regularly. They will give you ideas and input on how to improve your customer service. You could pay them, take them out to dinner or give them free products.

3. Make it easy for your customers to navigate on your web site. Have a "FAQ" page on your Web site to explain anything that might confuse your customers. Ask them to fill out an electronic survey to find out how make your web site more customer friendly.

4. Resolve your customers complaints quickly and successfully. Answer all e-mail and phone calls within an hour. If possible, you the owner of the business, personally take care of the problem. This will show your customers you really care about them.

5. Make it easy for your customers to contact you. Offer as many contact methods as possible. Allow customers to contact you by e-mail. Hyperlink your e-mail address so customers won't have to type it. Offer toll free numbers for phone and fax contacts.

6. Make sure employees know and use your customer service policy. Give your employees bonuses or incentives to practice excellent customer service. Tell employees to be flexible with each individual customer, each one has different concerns, needs and wants.

7. Give your customers more than they expect. Send thank you gifts to lifetime customers. E-mail them online greeting cards on holidays or birthdays. Award bonuses to your customers who make a big purchase.

8. Always be polite to your customers. Use the words your welcome, please, and thank you. Be polite to your customers even if they are being irate with you. Always apologize to your customers should you make a mistake. Admit your mistakes quickly and make it up to them in a big way.

9. Reward customers a point for every one dollar they spend. Let's say customers can get a free computer for 300 points. That means customers will spend $300 dollars on your products and services to get enough points to get the free computer.

10. Build strong relationships with your customers. Invite them to company meetings, luncheons, workshops or seminars. Create special events for your customers like parties, barbecue's, dances etc. This will make them feel important when you include them in regular business operations and special events.

About the author:

Rojo Sunsen is a specialized bounty hunter who prefers to work quietly/confidentially for the benefit of her clients.

Friday, August 1, 2008

Customer Service For Dry Cleaners

Writen by Lance Winslow

Every type of business must concentrate on good customer service and the small-business person knows that whatever line of work they are in that if they do not give good customer service then perhaps the competition will. For those businesses giving customer service is paramount, as those customers will eventually migrate over to the competition and cease being customers if the service is lousy.

Let's look at a case study for a moment with a dry cleaners type business. The dry cleaning business is very simple and yet customer service is the key to driving repeat business, which is the bread and butter of the dry clean industry.

Many dry clean businesses have built drive up windows for the busy executives and soccer moms. Some have taken customer service to a whole new level and they actually go to people's corporations and pick up their dirty laundry and a bring it back in perfect mint condition. Mobile dry cleaning businesses over the past decade have become very popular.

The level of commitment to customer service is quite evident. Those businesses that cater to their customers and offer them the ultimate in customer service are the ones that are able to expand no matter if the economy is doing well or poorly. This case study reminds us that the customer is king and if you expect good cash flow in your business you must give them good customer service. Please consider all this in 2006.

"Lance Winslow" - Online Think Tank forum board. If you have innovative thoughts and unique perspectives, come think with Lance; http://www.WorldThinkTank.net/wttbbs/

Thursday, July 31, 2008

How Would You Handle This Customer Service Issue

Writen by Kevin Toney

I was reading in the Winnipeg Free Press (my local paper) about a woman who was a passenger in a Unicity taxi cab. The woman had pre-paid her fare to the tune of $25.00. Nine dollars into the cab ride, the cab got into an accident.

The woman was injured and unable to complete her trip. She asked for a refund of at least $16.00. The balance left on her pre-payment.

You would think the cab company would bend over backwards to accommodate the woman, but no; they refused to give her a refund. This kind of customer service attitude is REALLY DUMB on the part of Unicity and it's bad for business. Their refusal will cost them a lot more than $16.00.

First the story made the Free Press so thousands of people are going to read about the incident and Unicity Taxi will get a lot of bad publicity and lose business.

Secondly I'm writing about it to the 1500 subscribers to my Newsletters. And I'm going to post it at my web site. More bad publicity and some people will definitely talk about it to friends, family members and co-workers.

All this bad publicity and lost business to save $16.00. Talk about short sightedness. This reminds me of one of my grandmother's favourite saying "don't be penny wise and a pound foolish".

This kind of customer service attitude is a result of management not looking at the "life-time value" of their customers. If Unicity did the math they would clearly see the error of their ways.

If that passenger uses Unicity 5 times a year for an average fare of $25.00, that's $125.00 a year. She uses them for the next 5 years, that's $625.00. Now I'm betting that the injured woman will never use Unicity again. So to save $16.00, Unicity has given away the opportunity to get $625.00 worth of business from her.

Now you tell me, is that a smart way to operate a business? I say absolutely not. How would your company deal with a situation similar to this? Email me your opinions.

Author: Kevin Toney is "The Marketing Coach". Kevin coaches small businesses on how to increase their sales by attracting more clients/customers, increasing their repeat business and generating more referrals. Call 204-783-6342 for a Free over the phone Coaching Session where you can get solutions to your marketing challenges and issues. Go to his web site to subscribe to his Free Marketing Newsletter and you will receive free monthly marketing tips and advice.

http://www.HowToIncreaseYourSales.ca

Email: TheMarketingCoach@PrimetimePromotions.ca

Call: 204-783-6342