Stop lowering your price, raise your customer service

Prakash Sadagopan, Director of Product Strategy at Converges recently spoke at the OSS/BSS Asia Pacific Summit. His report was ground breaking. Through research he found that the customer’s experience was as important as the product being sold, and more important than brand or price.

So, what does that mean to you? If you are trying to compete as the lowest price competitor you may very well may be missing the mark. So many businesses try to compete with lower prices. If you are one of those lowest price competitors, my guess is that you have to trim expenses. Often, when trimming expenses the first thing that goes is trained , engaged employees. After all if you think that your customer just wants the lowest price why would you bother with having a full service staff. Instead you should consider ways to simplify services and processes.

Customers who are always looking for the lowest price are not loyal. They skip from one company to the next looking for the next best deal. To really build a business you need and want a customer base who is loyal to you. Those loyal customers form the backbone of a successful business, because they not only come back time and again, they tell their friends and family about you.

What do these potentially loyal customers want from you? According to Sadagopan, 64% of the customers want knowledgeable employees, who address their needs on the first contact and treats them like a valued customer.

He ends his presentation with four steps that you need to take to start building your loyal customer base.
1. Proactive Care actively seek out opportunities to help your customers
2. Lifetime value Use every contact to increase the value of your relationships
3. Agent efficiency Help your agents resolve customer issues quickly
4. Automation effectiveness Improve automation to the point where customers prefer it.

In future columns we will explore each of these steps. For now, look for ways to make your customers feel valued and respected by greeting them warmly the minute they walk in your door.