Stellar Customer Service with CRM
How's your customer service? Do you use a Customer Relationship Management tool?
If you're anything like me, you've had some pretty poor customer service over the years -- and if current trends bear out, it's likely to go downhill from here.
Businesses all over the world have tried to insulate themselves from the customer. Voice mail, service charges, long lines, difficult salespeople -- you know the routine by now. Sometimes, it seems like nobody wants to take your money -- or if they do, they don't want to give you anything for it.
Fortunately, there are a few companies that realize the effects of a simple equation using Customer Relationship Management:
Treating customers right, use CRM = customers come back
Any idiot can make one sale. You can use any goofy come-on, major cost reductions, pressure selling, under-the-table tactics, and illegal schemes. You'll maybe make one sale, sure -- but they aren't likely to come back -- unless they've got the sheriff with them.
One sale -- tops. You can't build a business on that. Sooner or later, you'll run out of chumps.
I'm certain you've purchased something at a department store where the salesperson had to be coerced into making a sale -- it's a universal experience. I'm also certain you thought twice before you went into the store again.
Some years ago, I made a $100 deposit at a bank. The teller gave me a receipt. I looked at the receipt, which showed I had deposited $1000. I pointed out the mistake. The teller sneered at me, grabbed the receipt back, and acted as if I had done something wrong.
I still bank with that bank -- but I rarely talk with tellers anymore -- ATMs are a lot less nasty to work with.
I've seen some pretty poor customer service. The only thing that amazes me is that people put up with it. Think of thirty-minute hold times on software support lines, charges to change airline tickets, service charges to talk with a teller at the bank -- these suggest that many companies are stupidly ignoring the customer.
But you're not like that, are you? You recognize Gibson's six rules of customer service:
Rule number one: Use CRM, The customer can always go somewhere else, and will.
There are few real monopolies anymore. Treat the customer poorly, and he will eventually move on, when given an alternative. Perhaps you know someone, as I do, who has dropped their home "wired" phone service, and has gone all cellular. According to an article in the Wall Street Journal, more and more people are becoming "disconnects." Some retain their home phone service, but cut it back to the bare minimum, making their entire calling on their wireless service.
Treat a customer poorly enough , don’t use CRM Software, and he'll go somewhere else. He'll rarely come back.
Rule number two: It always costs more to acquire a customer than it does to keep one.
Think of this rule when your manager tries to sell you on "longer wait times" and a smaller customer service staff. In the long run, you're going to spend more money on acquiring customers than you'll spend on keeping your current group. Once you alienate your customers with "voice mail hell," you'll have to find an entirely different group to alienate -- and then another group, and another, and another.
Customer service with CRM Software should always be thought of as an asset -- not a liability.
Rule number three: Use CRM, and You should put your best people on serving the customer.
Too often, companies experience high turnover in customer service areas. Why? Because in altogether too many cases, companies refuse to pay their customer service agents a good wage, and they don't give them proper tools to work with. If you're an alienated customer service agent, you start to feel like a garbage collector -- everyone is dumping on you, all of the time.
If your business depends on the customer, it makes sense to put some of your very best people in customer service -- and pay them as much as you can afford for that function.
Should they be the highest-paid people in the company? Probably not -- but few Customer Service reps would have made the criminal mistakes that we've seen CEOs making as of late.
Rule number four: Customer service representatives use CRM and are advocates for the customer.
A good Customer Service Rep is like a bulldog -- they hang on. As advocates for the customer, their responsibility is to refer to CRM notes and troubleshoot a matter until it's solved.
Sure -- they work for your company, not the customer; but they have to have the customer's point of view in mind and review their CRM.
As a leader, you should talk with your customer service reps on a regular basis and log any pertinent notes in your CRM tool. As a worker, you should be an advocate within your company for better customer service. As a customer service rep, you should stick with a problem until it's solved, always remembering to keep your CRM up to date with the latest information.
Rule number five: Stellar customer service includes utilizing your CRM Software daily and taking responsibility for the resolution of a problem.
Some years ago, I had a problem with an item I had ordered through American Express. It was the first problem I had ever had with American Express -- and fifteen years later, it remains the only problem I have ever had with them. It gave me an interesting insight into the way stellar customer service works.
I called the number on the back of my credit card, even though it was the wrong number for the merchandise division.
The customer agent I spoke with checked her CRM system and took responsibility. "I have ordered an immediate credit for the item," she said. "Let me transfer you to our merchandise unit in New York, where they can help you further. Please hold on to the line for a moment, and I'll be right back."
Twenty seconds later, she came back on the line.
"Mr. Gibson? I have (she gave me his name) from New York on the phone line. I've explained your situation, and he will take it from here -- but if you need anything further, or if you don't receive an appropriate resolution, please call us back and card services -- and thank you for calling American Express."
She dropped out of the call. New York cut in.
"Mr. Gibson, I apologize to you for the problem you've had. Let me reaffirm the credit (he said the original Customer agent's name) issued you for the problem. We've had a few problems with the vendor for this item -- it's been a big seller, and it's created some problems in fulfillment. Do you wish to reorder it, or shall I cancel it out?"
I canceled it, but was duly impressed. The original agent could have easily read me the new 800 number, and dropped out of the call. Not only did she pass off the call without me having to dial a new number -- which I still don't know -- but she gave all of my information to the new agent in the twenty seconds before I got on the line.
I've joked over the years that if I was picked up and locked in a third-world jail somewhere, and given only one phone call, that I'd call American Express.
I'm only half-joking when I say that.
I've had great experiences with other companies over the years -- my other favorite is FedEx -- but I've never had an experience quite as good as the ones I have had with American Express. Why? Because they remember Customer Relationship Management and the rule: the customer can walk away at any time, and never come back.
Rule number six: We're all in customer service and need a good CRM system.
Sure -- you may have a different title; it may be years since you've seen a real customer, or you may deal with them all day, every day and utilize Customer Relationship Management frequently. It doesn't really matter. Without customers and CRM, your business dies. It's that simple.
Some weeks ago, I went to a local Wal-Mart Super Store. A lot of people rant and rave about Wal-Mart, but I've always gotten good service there. Still, even I was amazed when I watched the "greeter" with his shopping carts. These "greeters" are often retired individuals who work part-time for supplemental income. I watched as this gentleman systematically wiped off the handle of each shopping cart before he gave it out to the next person. He cleaned out all the junk fliers that had accumulated in each cart, and then he positioned the cart so his next customer didn't have to wander around looking for it.
This gentleman realizes that he's in customer service. He may be only a "greeter," but to many people, he is Wal-Mart.
Years ago, I worked with a gentleman who constantly alienated customers. In fact, if there was a customer who was a bit of a problem, everyone in the office knew that all we had to do was send the customer to speak with this gentleman -- the customer would never be back.
Do you alienate customers or do you use CRM? Does your company make it difficult for customers to succeed? You might as well turn off the lights now and go home. It's just a matter of time.
Stellar customer service with Customer Relationship Management isn't that difficult -- but it takes a mindset change. We have to realize that we're all in customer service and need CRM, no matter what it is that we do.
