Poor Customer Service - Are Your Customers Driving Away Other Customers?

Every customer you have is a word-of-mouthadvertiser for you. Unfortunately 90% of this freeadvertising is negative. Your goal is to getpositive-word-of-mouth advertisers.

Think about it, how do you decide where to shop? Your chief consideration may be location or price, but service is a silent draw that cannot be overlooked.

Years ago we went to a get our oil changed at the Citgo station at Rochester and Hamlin in Rochester Hills. The owner was in tough competition with the established shop across Rochester Road. We were first in line and the shop really did achieve their time goal as we were pulling in the bay in just over 5 minutes. To our surprise the owner came to the window and offered us free pop because of the "long wait" on a hot day. He also offered lollipops to our children after getting our permission. It is now ten years later and every oil change on both cars have been done at his shop. What was his cost? Two cans of pop and two lollipops. To be honest I cannot tell you how his price compares to the shop across the street, but I don't care. Anyone that takes care of the customer like he did on our first visit has integrity and places customer service as a top goal. Not only has he received our total business, we also told this story a hundred of times to friends and at conferences.

Word-of-mouth is a very powerful advertising tool. With competition as intense as it is today people are looking for ways to determine at which of the many resources available to spend their money.

The emphasis on word-of-mouth advertising is getting a lot of attention at colleges in and near Allentown, Pennsylvania. College freshmen can now go to several Internet sites to determine into which professors class they should strive. The sites list comments about the professors posted by former students. Although the colleges say the sites do not agree with the evaluations they are receiving at the end of the classes, the sites have increasing in the number of web hits they receive. According to Christina Gostomski of the Allentown Morning Call (May 16), students like the sites because they want to make sure they aren't wasting tuition dollars.

Word-of-mouth advertising is also recognized by Google as having max impact, and they have the results to prove it. According to Forbes.com (May 22) the Internet advertising company built their new service, Adwords, on word-of-mouth advertising. "The response was so enthusiastic that by February 2002 Adwords had been extended to all Google listings. It grew to 100,000 bidders in ten months, and thousands more advertisers are still signing up." according to Forbes.

Increasing positive-word-of-mouth requires that one is in tune with the customer. There are two facts that work against this free form of advertising:

1. Negative word-of-mouth advertising is ten times more common. Unfortunately people are more likely to talk bad than they are to talk well of an organization.

2. Unsatisfied customers are not likely to make their feelings known. While it is true that some are overly vocal, the majority tend to keep quiet.

To identify unsatisfied customer you must be alert to their tone of voice, how they walk out of your place of business, whether or not they look you in the eye, and (perhaps most importantly) does your place of business say, "Welcome, we're glad you're here!"

As for the vocally unhappy, conflict resolution skills are vitally important. A business person must be on there "A" game every time a conflict arises, and they must be equipped to handle the problem.

The type of word-of-mouth advertising that your organization receives is totally up to you. Now that you know you will receive word-of-mouth advertising, as evidenced by the college professors and Google, you must make a choice as to how prepared you will be to influence the ads themselves.

Rick Weaver is President of Max Impact, a national leadership and organization development company based in Rochester Hills, Michigan. Rick is an accomplished business executive with experience in retail, market analysis, supply chain and project management, team building, and process improvement. He has worked with hundreds of companies to improve sales, processes, and bottom-line results. MaxImpact offers leadership and organizational development services along with employee assessments and background checks. Contact Rick at 248-802-6138 or via email, rick@getmaximpact.com. MaxImpact is on the web at http://www.getmaximpact.com.

More Resources

Unable to open RSS Feed $XMLfilename with error HTTP ERROR: 404, exiting

More Customer Service Information:

Related Articles

Accountants / Lawyers Do Yourself a Favor - What do Your Customers Want?
In my day to day practice in strategic human resource management I often come across customers looking for a 'good' accountant or 'good lawyer'. As an accountant myself the common thread for a 'good acountant or lawyer' seems to be 'I want someone who can explain things in plain english without the jargon'.
Revealed - A Simple Formula For Success! Exceeding Expectations
Delight = Customer Expectation plus 1. This was the simple formula for delighting your customers that Ken Blanchard informed us of in his book "Raving Fans" For me this is a great formula, but in itself it also raises a number of questions.
Communicating Value
Abstract: People buy for their reasons, not yours. This article covers the key elements that prospects want to hear you talk about.
Setting Up a Customer of the Week Program for a Mobile Car Wash
In a mobile detail or mobile car wash business you are on a first name basis with your customers. You sink or swim with your ability to please your customer and rely on them to build your business by referring their friends, associates and neighbors.
A New Way To Handle Complaints, Or Is It?
What a lot of money we have been wasting on dealing with customer complaints.Instead of dealing with them and attempting to satisfy the customer we should create a process that makes complaining so difficult then when customers complain they get such a huge negative experience and never receive any satisfaction.
What's in a Name?
Different people call their Customers by different names. If they don't have Customers, they have Clients, purchasers, licensees, users, patients, members, franchisees, or buyers.
Customer Service - Winning Customer Experiences
Winning Customer ExperiencesMuch research has been done on what the makes a winning customer experience. What is it that makes customers come back to your business instead of going to someone else's? If your repeat business is low, what is it that you are doing to drive your customers away? There is a consistent theme that emerges across the research - winning customer experiences are built on consistency.
Customer Service A Chickens Way
Anyone who knows me knows my favorite fast food restaurant is Chick-fil-A. Aside from the fact their chicken is especially good and I can always get sweet tea, I have a valuable business reason for eating there - they serve up amazing customer service.
4 Things Your Clients Want From Your Company
Sure, all clients are different. They have different kinds of strengths, weaknesses, cultures and goals.
Top 10 customer service tips
1. Hire people who have a service attitude.
Proofs of Delivery and Logistics: Speeding Throughput and Avoiding Pitfalls
It should be a straightforward business scenario: making sure that the delivery documentation from the supplier or haulier matches up with the documentation at the target destination.However life is rarely straightforward, and if problems do arise, order completion times and cash flow will inevitably suffer as a result.
Reducing Customer Resistance to Your Product or Service
Resistance has to do with putting up blocks that prevent us from doing, being, or accomplishing what we want for our business. There are many reasons for feeling resistance including fear of new things or change, fear of failure or success or even fear of not being perfect.
The History of CRM -- Moving Beyond the Customer Database
Customer Relationship Management (CRM) is one of those magnificent concepts that swept the business world in the 1990's with the promise of forever changing the way businesses small and large interacted with their customer bases. In the short term, however, it proved to be an unwieldy process that was better in theory than in practice for a variety of reasons.
Get Customers to Stop Calling You--12 Easy Ways to Save Money with Online Customer Support
Despite rumors to the contrary, the Web is not dead. More people are using it, they have faster bandwidth, and in many cases Net-time is taking over TV-time.
How to Deliver Exceptional Customer Service
Having been in business a number of years, I'm amazed at the number of people who don't have the slightest idea of what customer service is. Customer service is not a way of doing things - it's an attitude.
Is your Online Business Customer-Friendly?
Customer service is increasingly seen as one of the most valuable uses for a commercial World Wide Web site. Your Web site is available on a 24 hour, seven days a week basis.
Ten Ways to Help You Improve Your Customer Service
1. Stay in contact with customers on a regular basis.
Customer Service Has Moved Toward Customer Care
As I waited for an answer to my VCR inquiry from a stereo company, the recording stated a "customer care" representative would be available shortly. At that moment, I realized it's finally catching on everywhere.
Customer Satisfaction Is Your Business
Regardless of what business you are in - you are really in the business of satisfying customers. The degree of customer satisfaction you deliver determines the level of long-term success you will achieve in business.
Customer Service - How Good Are YOU?
At 8.30 am a wealthy client (on his way to make a presentation to the local council at 9 am) walked into a store that sells photocopiers.