In today's saturated market, running a small company is everything but simple. And while your instinct will lead you to strive for more innovative and original ideas with a clear competitive edge, don't discard the value of good old-fashioned customer service, which can be even more critical to growing your brand.
It's often the case when companies expand and employees begin to wear many hats, customer service suffers as a result. While that's understandable, here's a number you won't be able to ignore: A company's reputation for excellent customer service attracts 55% of new customers.
Now that we've got your attention -- let's look at why your company should provide excellent customer service to grow your business, revenue and reputation.
Leads to Increased Revenue
Every company's choices are influenced by revenue. Companies assess their success or failure based on the amount of money they bring in compared to the amount they spend. Even though the link between customer service and revenue may not seem so straightforward, it certainly is critical to revenue growth. In fact, 84% of companies that enhance customer service see an uptick in sales.
Excellent customer service increases income in nearly every case but remember that your relationship with your buyer does not stop when they buy something. You put in a lot of effort to get them, and your interaction with your customers shouldn't stop there.
Even after the initial purchase, customers still need your assistance and care. After all, a solid base of loyal customers is invaluable and something every brand should aim for.
If you're unsure about the correlation between revenue and customer care, try measuring a few customer-related metrics and revenue in parallel. It’s likely you’ll see a direct link between them — you can use that information to work on boosting customer satisfaction and expanding your business.
Enables Owners To Focus on Crucial Matters
When you're swamped with work from all directions, it's easy to let customer service go by the wayside. You may be aware of the problems but taking action may be difficult if you are overburdened with duties. Too many business owners become bogged down in activities that, although essential, do not help their companies grow. There are only so many hours in the day, but efficient outsourcing may help you make some of them count.
Consider employing an answering service if you lack the infrastructure to fulfill customer service requirements. They can assist you with an influx of calls, arrange appointments and connect with your clients while reflecting your brand's ethos. In this way, you can keep concentrating on company growth and other critical duties without spreading yourself too thin.
Builds a Good Reputation
Everyone loves friendly and helpful human interactions, and your customers are no different. Many of them are drawn to a particular brand because of the positive customer service experience they had.
Customer care reps are the first point of your brand's interaction with your clients. Depending on how polite and helpful the overall experience was, your customers will form an opinion about your company. There is only one chance to leave an excellent first impression, so make sure to make the most of it.
There is no stronger positive reputation than the one established by solid values and helpful customer service. Be sure you're providing assistance and support through various channels — such as phone, email and online chat. Making yourself accessible to potential consumers and promptly resolving customer problems can help you develop your brand's reputation.
Plus, think about all those online reviews. Word-of-mouth marketing is still one of the most remarkable ways to gain (or lose) new customers, but today, it only takes a keyboard and an internet connection to leave a review that can make or break a business. 91% of people read online reviews before purchase and 84% say there is no difference between an online review and a personal recommendation.
Do you think anyone would turn to a brand with a bad reputation? It takes only one negative experience to hijack the entire effort you and your team put into gaining your customer’s respect. It's challenging to build brand loyalty but once you do, you’ll establish yourself as a market leader and a reliable business.
Decreases Churn and Increases Retention
One precise and clear indicator of customers' overall happiness with your brand is the churn rate — the percentage of customers that move to another brand after purchasing from your company. The higher your churn rate is, the less satisfied your customers likely are.
And let's face it: businesses are made up of people, and people make errors. The same is true for products and services. However, if you offer your customers exemplary customer service and treat them with compassion, they will likely give you another chance and even applaud you for your honesty and self-awareness.
On the flip side, there is customer retention — a direct threat to a brand's success. Keeping existing clients satisfied leads to more consistent income and more accurate forecasting. When you manage to acquire and retain consumers, you provide a solid basis to your whole company.
Why is customer service so essential to retention? According to Magnify, the second-highest reason customers don't return to a business is dissatisfaction with the staff's attitude. Since customer service is on the front lines, it’s safe to say they’re crucial in the fight to keep your customer base loyal.
Creates Cost Savings
Customer retention is much less expensive and more straightforward than customer acquisition. For example, it costs five times more to acquire a new client than it does to keep a current one.
Aside from increased income, client retention also saves time and money that may be saved or spent elsewhere.
How To Provide Outstanding Customer Service
In business, ignoring your customers’ demands and failing to go the extra mile for them may spell doom for your company's future. If you're serious about your brand, you need to concentrate on what's most important — your consumers. Positive customer service increases revenue, enhances brand image and reputation, reduces churn and builds a loyal customer base.
If your existing infrastructure needs more support in this area, you should consider a Better Answer ... employing internal staff or using an answering service. Depending on your needs, an answering service may be a more time-effective solution with reduced costs, as you pay them only for the time they spend on the phone with your clients.
On the other hand, hiring a customer care representative or an entire team means providing working space and equipment, which can cost you much more. Some companies reach a level of scale that makes an in-house team feasible but most businesses will benefit from hiring a professional service.
Either way, do your research so you can make a decision most suited to your situation, and be aware of all the factors to consider before hiring a call center.