Unit-1
Unit-1
Structure
1.0 Objectives
1.1 Introduction
1.2 What is Customer Service?
1.3 Importance of Customer Service
1.4 Types of Customer Service
1.5 Why is Improving Customer Experience Important?
1.6 Qualities of Customer Service
1.7 Parameters that Helps in Good Customers Service
1.8 Barriers to Customer Service
1.9 Single and Double Bagger
1.10 Good or Bad Customer Service
1.11 Selling and Customer Service
1.12 Effective Customer Service
1.13 Let Us Sum Up
1.14 Terminal Questions
1.0 OBJECTIVES
1.1 INTRODUCTION
Customer Service is also known as “Client Servicing, Consumer service or customer service
“is becoming a vital business need of a need of any organisation. From small customer
service departments to large call centres, the importance of developing a valued relationship
with customers is essential in supporting long-term business growth & profitability plus
sustenance of the business. The best product in the world is just going to stay on shelves and
gather dust if you do not support it with customer service that makes your product ‘better’
than the identical product offered by the competitor. Good customer service is the life blood
of any retailer. Customer service is a big differentiator for any retailer or any business. The
condition is only one that your product should also be of a good quality.
When we talk about customer service, we are also talking of Normal Customer Service and
Great Customer Service. Great customer service means giving customers what they want.
That is easy to say, not so easy to figure out, and occasionally difficult to do! Great Customer
Service requires satisfaction of the customer; satisfaction with the services provided and
satisfaction with the way we provide them.
Customer service is meeting the needs and expectations of the customer as defined by the
customer. “Meeting the needs and expectations of the customer” means you know what
your customers want and what they expect, and you provide that to them on a consistent
basis. And to know what your customers want; you have got to ask them! Realizing the
importance of customer service, the ‘Journal of Retailing’ -an international journal on
retailing came out with a special issue in 2007 entitled competing Through Service’.
According to the journal it came out with the special issue because those firms that leverage
service can build strong relationships with customers that will generate barriers to
competition, increase customer loyalty and make marketing activities more efficient.
As obvious as that may sound, many companies established customer service initiatives
without ever talking to their customers. “As defined by the customer” is a very important
point to get because it says that if the customer does not perceive you as offering good
customer service, then you are not. The customer is the judge here. No matter how good
your internal records claim you are, the customer is the only voice worth listening to. So, in
order to have an effective customer service initiative, you must know what your customers
want, provide it to them consistently, and ask them how you are doing. This means customer
feedback is extremely important. In this unit, you will learn What is Customer Service,
Importance of Customer Service, types of customer service, why improving customer
experience is important? qualities of customer service, parameters that helps in good
customers service, barriers to customer service, single and double bagger, good or bad
customer service, selling and customer service, and effective customer service.
Let us look at the figure 1.1 which shows various factors influencing the customer service
According to Zeithaml and Bitner, “customer service is the service provided in support of a
company’s core product. Customer service most often includes answering questions, taking
orders, dealing with billing issue, handling complaints, and perhaps scheduling maintenance
or repairs”.
Customer service can occur onsite (as when a retail employee helps a customer find a
desired item or answer a question), or can occur over the phone or via internet. Many
companies operate customer service call centres, often staffed around the clock. Typically,
there is no charge for customer service. Quality customer service is essential to building
customer relationship.
Customer service that gives retailers their robust sales figures is more complex than the
superficial “How may I help you” of yesteryear. Today, retailers must respond to the
customer demands on many levels, from making the store an inviting destination to
restocking shelves regularly and stocking the right mix of products. At the same time,
training for customer service representatives on store floors has become much more
important as well as rigorous. World class customer service providers believe that customer
service is not a department but a philosophy – a way of life- that should be practiced by all
employees at every level of the organization. It is the people of the organization who set the
customer service apart from the competition. It involves a thousand, concrete, minute
actions performed by everyone in an organization to keep the customer happy.
Activity 1:
As a customer, identify a positive and a negative customer service experience you had over
the past month. List out your reasons for:
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‘You will never have a product or price advantage again. They can be easily duplicated, but a
strong customer service culture cannot be copied’ - Jerry Fritz
‘It starts with respect. If you respect the customer as a human being, and truly honour their
rights to be treated fairly and honestly, everything else is much easier’ -Unknown
‘The best way to sell is to make it convenient to buy’ - Unknown
‘Although your customers will not love you if you give bad service, your competitors will’
-Kate
Zabriskie
‘If we do not take care of our customers, someone else will’ - Unknown
In that case:
Good and Bad customer service leaves following impact on the customers:
If as the service provider, you do not feel good about your work, how will you make a
customer feel good? If you think you are not special, how will you make somebody” else feel
special…“
1. Increase Profits of the Company: Research has demonstrated that an improved customer
experience correlates to increased revenue. A recent survey showed that 86% of
consumers would be willing to pay extra for a better customer experience. Furthermore,
businesses prioritizing customer experience have seen their profits grow by an average of
80%. The fact is that customers now demand more than just a good quality product or
service - they expect an engaging and consistent brand experience throughout their journey.
Companies must go beyond providing quality products and services to ensure customer
satisfaction and drive business growth. High-quality customer experience should be a
priority for any organization looking to scale its revenue. It's no surprise that more and more
businesses are investing heavily in developing strategies that focus on creating an
exceptional CX. With the right approach, companies can ensure they deliver a consistent
and memorable experience that keeps customers happy, engaged, and loyal. In the end, this
will result in higher earnings and a considerable competitive edge in the market.
2. Increase loyalty: Providing the best customer experience is how you can gain loyal
customers. Product quality, value for money, product consistency, customer service,
shopping experience, selection/product assortment, and pricing are all factors that inspire
loyalty. Retailers must continually improve the customer experiences to preserve long-term
and sustained consumer loyalty. They need to get the fundamentals right, like optimizing
inventory and offering contactless payment options, and layer on services that offer
convenience and flexibility.
1. Emotionally Intelligent: A customer service become great customer service when the
service team know what to do when things go wrong. The key is to ensure that the service
team are equipped with the right amount of emotional intelligence to address issues when
they do occur. Service team member attend number of customers in a day and each
interaction take place at a different emotional wavelength and frequency. Those who have
exceptional emotional intelligence can easily adjust to the various emotional states of the
customer, updating their responses accordingly. Displaying empathy at the right time,
quickly providing support and solutions, and actively listening will ensure customers are
receiving a great customer service regardless of the situation.
2. Timely: An ordinary customer service become excellent customer service when the
service is provided on time that is quickly and faster and the most complete answer to
customers’ questions. No customer would like to spent time unnecessarily in shopping,
therefore retailer is expected to deliver the service within the stipulated time. Today’s
customers are very busy due their lifestyle. Delay in service may lead to unhappy customers
which is not all good for any business.
3.Empathetic: An effective customer service team always have empathy with the
customers. In the current climate, many customers are turning to voice to help them on
more complex issues. It is important that the critical conversations should be dealt with
empathy by the salesperson to every customer’s individual situation. To help build natural
empathy by the salesperson should following few basic things such as use active listening
and ask respectful questions to understand the full extent of this issue, show
acknowledgement of how the customer feels and demonstrate understanding, reassure the
customer that you will help them to resolve the issue. This first point is especially important,
as active listening unlocks great, empathetic customer service. Equipping employees with
professional-grade audio solutions, with crystal-clear audio and active noise-cancelling
means they can focus solely on the customer and provide high levels of care and service.
4. Attentive: It is quite evident that in the retail industry most of the customer issues
happen due to lack of attention while addressing the customer issues. listening and being
attentive to the customer enables the salesperson to ask the right questions to resolve the
query quickly and faster. Consequently, asking relevant questions will help salesperson build
trust by providing the customer space to talk. One should not interrupt or speak in between
when the customer is talking, even if the salesperson what they are about to say.
5. Full of Alternatives: There is an intense competition among the retailers in the industry
which give rise to the customers’ expectation. Customers know their worth to the retailers.
Therefore, the customers expect there should be multiple channels for communication from
the retailers. A retail before implementation of multiple channels should ask the following
questions to him or her. Is the channel attractive to digital natives? From which devices can
the channel be accessed? How can we keep records of customer conversations? How much
time will a conversation take up? What are the staffing considerations? A multiple
communication channels makes an ordinary customer service to an excellent customer
service.
Giving Feeling of Confidence to the Customers: The salesperson should understand the
product well and get all the facts right to be able to give confidence to the customer
that he has knowledge and knows what he is talking about. A confident salesperson can
win the trust and confidence of the customer quite easily as compared to the under-
confident or a new salesperson. The confident salesperson ease-out service encounter
and make the customer comfortable with his level of knowledge. This salesperson can
easily get to the need of the customer without take too long and quicky suggest the
option will suit the customer’s need.
• Make Customer Feel Important: While interacting, he should be totally engaged with
the customer and his attention should not be diverted on anything else. When a
salesperson attends the customer with greet, smile and eye contact. The customer feel,
very special and important about their selves. They feel worth coming to that retail
store again and again.
• Ability to Sooth Ruffled Feathers: The salesperson should have the ability to handle
conflicts, if any, in the interaction. This is possible when he has complete knowledge of
products, he or she is responsible to sell. The ability to handle conflicting situation can
be developed with through training of the employees. The failure in service may lead to
customer issue and there may be many reasons for service failure. The customer service
requires human intervention and human are bound to make mistake. But we can not
take it granted rather the retail should have strong service recovery mechanism. So that
the problem can be fixed quick and fast. Before the customer is lost forever.
• Laziness: Trying to avoid the customer through laziness is not going to help the
interaction. This is a very common scenario in retail, the customer is roaming in the
section and the staffs are busy chit-chatting. And are least bother about attending
customers. Laziness is a physical condition present in lots of floor staff in retail.
Example: Mohan is a floor staff look after men’s formal section but he was very lazy and
always resistant to attend customers dedicatedly. Many customers complained about
him and his lethargic attitude towards customers to his manager. This increases the
number of customer complaint and badly impacting their customer service of the store
• Poor Communication Skills: Not having good communication skills makes the customer
confused and does not help in decision making for the customer. A salesperson with
good communication skills may convince and convert the customer for the purchase. A
salesperson has good communication skills can convey the message quite clear and
improve the communication process between the customers and the salesperson. A
poor communication skill may create communication gap between the customer and
salesperson and can simultaneously impact the sale.
• Poor Time Management: Customer does not like to wait too long to be served. Having
poor time management results in customer waiting unnecessarily for long time, which
results in losing of a customer. The provide an excellent customer service the retail
should be excellent in time management. Specially during the rush hour when the
customer entry is high, the staffs are supposed to do multi-tasking. And the effective
multi-tasking requires good time management skill.
• Lack of knowledge: Customer expects you to have good knowledge of the product you
are selling. A salesperson is a face of a company and it is immaterial for a customer
whether a person standing on the floor is a new or experienced one. So, the customer
expects the person available in the section to be perfect one who can help them in their
shopping. If the customer does not get the answers to his questions, he may be unable
to decide of buying the product which can result in you losing a customer. A sales
person with high product knowledge can convey the right information regarding
product.
• Lack of Training: A fresher to a retail company finds it very difficult to properly attend
and meet the customers expectation due to lack of product knowledge and selling skills
and creates a barrier to good customers’ service. This happen mostly when the staffs
are hired during the end of season sale. During end of season sale there is extra
pressure on all. Therefore, it is bit challenging for the store as well for the Hr. to provide
training to the new joinee.
"Removing these barriers is important. All you must be aware of your mistakes and learn
from them"
Let us look at several different attitudes to life as expressed in the attitudes people have
towards their job, and the commitment they put into it.
Single and Double Bagger: - A person putting customers shopping into bags in a
supermarket is called "Bagger" In many supermarkets a bagger can be found working behind
the cashier. They take the customers groceries from the cash counter and put them into
bags.
To become a "Bagger" requires little or no education. The job may not offer many
possibilities for development - at first sight. However, like all other jobs it can be carried out
in different ways, with differing results, dependent on the bagger's attitude to life.
You can have different attitudes to your job. You can be a "Single Bagger" or a "Double
Bagger"
Single Baggers: Single baggers are people who limit their own development and the
development of others.
Single baggers have a negative attitude towards their work, their colleagues, and their
surroundings. They lack commitment and have made up their minds not to consider their
working hours to be a rewarding and worthwhile part of life.
Single baggers use only one bag- hence the name and do not care whether this one bag will
be secured. The groceries are stuffed into the bag randomly, grapes and potato chips first,
and perhaps a bottle of tomato ketchup on top.
This "Tricky" operation is done without much trouble and toil. Often accompanied by sighs,
moaning, and groaning and any other clear signals of displeasure. Single baggers feel the
victims of circumstances and complain about the miserable pay, the lack of breaks, appalling
draught from the door and the poor prospects for the future. Their body language clearly
reveals their lack of commitment. Their eyes dimmed long ago, they have a drooping mouth,
their body stopping, they move in slow motion.
If their colleague at the checkout says. "Hurry up! Cannot you see we have a long queue" -
the single bagger gives his colleague a blank look, shrugs his shoulders and says with a
gesture of despair "Well, what do you expect - I've only got two hands!" That what makes
single baggers so special. They only have two hands - therefore there is not much they can
do with their lives!
Double Baggers: Double baggers are people who develop themselves and help other
develop too,
Like single baggers, double baggers also have two hands- but they put both to good use.
Double baggers have a positive attitude to life, and deeply committed to their work and their
personal life. They generally strive to get the best out of life.
Double baggers make the bag secure with an extra bag- hence the name. They sort and pack
the groceries efficiently and safely. And they still have time and energy to give a smile and a
friendly remark to customers. They may even find the time to see the customers to the car
park and help them load the groceries, saying "Thank you for shopping with us. Hope to see
you again soon". Double baggers take responsibility for their own lives. They realize that
total commitment to their work brings its reward. They meet happier customers; they get
attention and recognition from colleagues and managers. In this way double baggers boost
their own morale and their sense of well-being and feel more optimistic about the future.
Double baggers have a positive attitude to life, are deeply committed, feel responsible for
their achievements. They have neither the time for nor the inclination to negative criticism
or complaint. They spend their time creating positive results and good relationships.
The double bagger attitude prevents many conflicts between people at home and at work
and instead, contributes to solving most problems.
Single baggers and double baggers are found everywhere in society - not only in
supermarkets-they are also found in the home, in public and private organizations. There are
single bagger and double bagger sales staff, lawyers, waiters, managing directors,
secretaries, guests, course participants, customers, parents, spouses, etc.
Single baggers can be prisoners of their own attitudes. They have come to a standstill. They
have not got the strength to move on. When late, which is often, a single bagger blames the
weather, the traffic, the lack of spaces in the car park, and everybody else.
You can have the best product, a sound marketing plan, and an ideal location. But if your
customer-contact employees do not deliver on the promise, nothing else matters.
An Excellent Customer Service from you Should be:
• Making customers feel special, giving them the impression that they are your priority
number one.
Example: Let us say an expecting mother visits your store for mother-care or baby care
product. One female staff promptly approaches the customer and offers a chair in the
section to sit and shop. This gesture gives the customer a great sense of importance.
• Giving every customer a memorable experience, ensuring they will be pleased to return
to you next time.
Example: Let us say a couple comes for shopping and your team leader comes with the
flower buke and wish the couple for their anniversary will leave a lasting impression in
their mind and the customer may remember this for their entire life.
There is a difference between good and bad customer service. Let us discuss this in detail.
1) Ownership
The Mantra for good customer service is "Ownership". This means:
Take pride, be a great team player, be knowledgeable about things you sell so that you
can answer queries such as 'How does it work? or "What does it do? It means whenever a
salesperson attends a customer should do it with the ownership responsibility and should
feel as if salesperson is the owner of the store.
Be clean, be presentable, wear clean well ironed uniforms, smell good, here we are
talking about the grooming standard of the salesperson. A salesperson should be well
groomed.
Welcome customers with great, smile, and eye-contact extend help and support, provide
information, answer queries, and solve problems, maintain positive body language.
Customers are more likely to ask you for help if you have already shown yourself to be
friendly and approachable.
Go the extra mile to make the customer happy, be proactive, and take responsibility for
their needs, providing quality product and service. If a customer asks for something that
is out of stock or discontinued, offer an appropriate alternative. i.e., put yourself into the
shoes of a customer while you are serving one
2) Promises
Good salespeople give customers a reason to return to the store. And that is important
because no retailer sells anything that customers cannot get from another retailer.
• Know Your Product - As a customer service associate or agent, you must have
complete knowledge if the product sold by you or managed by you. You should
product detail like brand name, quality, alternative products and above all pricing of
these products. Every product has a utility to customers. Clarity in understanding of
utility is a key.
• Maintain a Positive Attitude- Attitude is everything, if attitude is positive even a
normal agent can do extraordinary work on ground. Customers also like the most
positive person. Also, while talking, writing any email one should be polite and be able
to transmit his message also with clarity. Performance is not everything ultimately
attitude supersedes the performance if someone has great attitude.
• Respond Quickly: Any need of customer whether on sales side or complaint side must
be addressed quickly. We have seen that even a loyal customer becomes disloyal when
we do not respond customers on time. Whatever is the news whether in favour of
customer or not. One must communicate with politeness, firmness so that customer
understand whether resolution will come or not. Being honest is a best step forward
on quick customer communication and customer will always appreciate.
• Uninterrupted Support to Customers: Customers are above sales and profits. They
need your constant support. You should provide exemplary support to them whether
as customer service agent or sales agent.
• Actively Listening: Customers always want to be heard, listening with patience is a key
then solving the issues may yield results also. The active listening skill is a key here.
• Keep Your Word: If something is communicated by you as an agent. Keep your word.
Call back the customer with the required information. He will be happier at least you
called him. Sometimes you may not be able to provide solution, it is fine but
communicating back always help. He will always respect you for that communication.
3) What do you understand by the terms 'single bagger' and 'double bagger'? Explain with
examples. How do they contribute to the organization?
REFERENCES Gerson F Richard, Beyond Customer Service: Keeping Customers for Life, Los
Alto Calif: Crisp Publications, 1992.
Woods A. John and Zernke Ron Best Practice in Customer Service, New York, American
Management Association, 1999.
Ratner Dave, Much Ado About Customer Service, www.DaveRatner.com.
https://www.liveagent.com/customer-support-glossary/effective-customer-service/