“Do what you do so well that they will want to see it again and bring their friends.”

Walt Disney’s famous words bring out the essence of customer service in business. Impactful customer service is at the heart of any successful organization. Without it, organizations falter and stand to lose valuable business opportunities. What exactly is customer service?

Customer service is the assistance, advice or support that an organization offers its customers. While it usually comes in post-transaction, helping customers choose a product that best meets their needs is also a part of customer service. Customer service associates answer product-related queries, address complaints and troubleshoot issues to ensure a positive customer experience.

The terms ‘customer service’ and ‘customer care’ are interrelated, with a subtle difference. Customer service aims to boost customer satisfaction and generate frequent repeat business. Customer care is more focused on forging deeper connections with customers. It prioritizes customer interactions, listening to customer needs and expectations and providing a suitable solution. The importance of customer care is in no way less than the importance of customer service in business.

 

  1. Importance Of Customer Service

  2. 3 Important Qualities Of Customer Service

  3. Hit The Jackpot

 

Importance Of Customer Service

 

Customer service can have a direct impact on the bottom line of an organization and is critical to gain an edge in a competitive business landscape. Let’s look at a few ways in which customer service is important:

 

1. Increasing Revenue

A recent report shows organizations can increase revenues by 4% to 8% above their market when they prioritize customer service. Impactful customer service keeps customers satisfied and coming back to the business. Satisfied customers are more likely to make referrals, drawing in more customers in the long run. More customers mean more revenue and more profits.

 

2. Customer Retention

Research says attracting a new customer is six to seven times more expensive than retaining a current one. Personalized customer service is crucial to keeping customers engaged and decreasing customer churn. It allows organizations to cater to customer needs and expectations, keep customers informed and create an enriching customer experience. Happy customers are more likely to remain loyal to the brand.

 

3. Strengthening Reputation

The need of customer service is paramount in strengthening an organization’s reputation. Excellent customer service directly influences a customer’s perception of a brand and makes them more likely to recommend it to others through word-of-mouth endorsements and positive reviews. A strong reputation translates to business growth, not only attracting new customers and stakeholders but also helping organizations gain a competitive advantage.

 

4. Boosting Customer Lifetime Value (CLV)

CLV refers to the revenue a customer generates throughout the course of their engagement with an organization. Quality customer service is integral to engaging customers and boosting CLV. When customers trust the brand, they shop more frequently and spend more per deal. Organizations are able to maximize up-selling and cross-selling opportunities.

 

5. Gaining Insights

Customer service allows organizations to gain a thorough understanding of how customers see their brand, how well they’re able to meet customer needs and expectations and which products are most appreciated. Equipped with such insights, organizations can create a compelling roadmap, analyze goals, train employees, improve product lineup and generate targeted marketing campaigns.

 

The importance of customer service can’t be overstated. It has the potential to make or break business. Organizations that focus on and invest in customer service benefit from increased brand awareness and consistent growth.

 

3 Important Qualities Of Customer Service

Speedy resolutions and 24×7 support make for proactive customer service. Customers appreciate transparency, a personalized approach and convenience. Here are 3 important qualities of customer service that eminent organizations swear by:

 

1. Patience

Patience is fundamental to having positive customer interactions. A good customer service representative patiently listens to customer demands, remains calm under pressure and keeps negativity at bay to deliver quality solutions.

 

2. Speed

A recent customer service survey shows 90% of customers consider an “immediate” response very important when they have a customer service question. Prompt customer service results in higher customer satisfaction, reduced customer turnover and increased profit.

 

3. Customer-First Approach

A customer-first approach fosters a positive customer experience at every stage of the customer journey. A good customer service representative empathizes with customers and prioritizes their needs. When customers feel valued and appreciated, they’re more likely to remain loyal to the organization.

 

When customer service representatives exemplify all the traits of effective customer service, they help their organizations stay relevant in a competitive landscape.

 

Hit The Jackpot

 

Meaningful communication is at the core of a successful customer service strategy. Professionals with excellent communication skills are able to build positive relationships with customers, creating a lasting impression and boosting brand image and value.

Harappa’s Confident Communication Program helps professionals communicate with impact through an integrated online-first learning journey. Mapped to must-have “Thrive Skills”, the 15-week program follows a Learn-Practice-Feedback-Repeat approach to help professionals speak confidently, structure ideas, make compelling arguments, tell memorable stories and connect with audiences.

The program is built on Harappa’s signature 10 on 10 pedagogy and comprises a selection of application-oriented concepts—from Aristotle’s Appeals to the Pyramid Principle and the Power of Three. Professionals learn to craft well-structured, engaging communication to influence the audience, articulate important ideas with precision and leverage moments of communication to leave an enduring impression.

Want your customer service workforce to be on top of their game? Help them hit the jackpot with Harappa’s Confident Communication Program!


Explore Harappa Diaries to learn more about topics such as What Is Customer Service, Example Of a User Journey Map, Client Handling Skills and Examples Of Customer Relationship Management that will help organizations tap into employee potential.

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