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CustomerService,TheCustomer,Acustomer,alsocalledclient,buyer,orpurchaser,isusuallyusedtorefertoacurrentorpotentialbuyeroruseroftheproductsofanindividualororganization,calledthesupplier,seller,orvendor.Thisistypicallythroughpurchasingorrentinggoodsorservices.However,incertaincontexts,thetermcustomeralsoincludesbyextensionanyonewhousesorexperiencestheservicesofanother.,Thewordderivesfromcustom,meaninghabit;acustomerwassomeonewhofrequentedaparticularshop,whomadeitahabittopurchasegoodsofthesorttheshopsoldthereratherthanelsewhere,andwithwhomtheshopkeeperhadtomaintainarelationshiptokeephisorhercustom,meaningexpectedpurchasesinthefuture.,Theslogansthecustomeriskingorthecustomerisgodorthecustomerisalwaysrightindicatetheimportanceofcustomerstobusinesses-althoughthelastexpressionissometimesusedironically.,However,customeralsohasamoregeneralisedmeaningasincustomerserviceandalesscommercialisedmeaninginnot-for-profitareas.Toavoidunwantedimplicationsinsomeareassuchasgovernmentservices,communityservices,andeducation,thetermcustomerissometimessubstitutedbywordssuchasconstituentorstakeholder.However,somemanagersinthisenvironment,inwhichtheemphasisisonbeinghelpfultothepeopleoneisdealingwithratherthanoncommercialsales,comfortablyusethewordcustomertobothinternalandexternalcustomers.,TypesofCustomers,External-outsidetheorganization(peoplewhopaythebills.)End-usercustomersManufacturer(OEM)forsuppliers.Internal-peoplewithinyourorganizationwhoreceiveyourworkInmanysituations,producershavemultiplecustomersandthereforefinditusefultoidentify“corecustomers”,CustomerAttributes-Characteristicsthatallowcustomerstobecategorizedaccordingtodemographic,psychographic,orfirmographicinformation.,DemographicInformation,ageincomemaritalstatuseducationstageinthefamilylife-cyclehomeownership,sexZIPcodeoccupationhouseholdsizemobilitypatternsethnicbackgroundreligion,Characteristicssuchas:,PsychographicInformation,lifestylesmodesoflivingneedsmotivesattitudesreferencegroups,culturesocialclassfamilyinfluenceshobbiespoliticalaffiliationetc.,FirmographicInformation,Characteristicsaboutacompanysuchas:howmanyemployeestheyhave;thekindofbusinesstheyarein;whethertheyareretail,wholesale,oraserviceprovider;theirhoursofoperation,Excellentcustomerserviceinbusinessorganisationsshouldleadtogreatersalesbecauseofthebenefitsitbringssuchas:JSatisfiedcustomersJMorecustomersthroughrepeatbusinessandrecommendations(greatermarketshare)JAgoodpublicimageJAnedgeoverthecompetition,Itisveryimportantthatallmembersofstaffgiveahighlevelofservicetoeachotherbecausetheyaredependentoneachotherforcustomerserviceasawholetobesuccessful.Benefitstothestaffandtheorganisationinclude:JAmorepleasantplacetoworkbecauseofahappierandmoreefficientworkforceJImprovedjobsatisfactionenjoyworkingatthatorganisation,givesasenseoffulfilment.JImprovedchancesofpromotionwithintheorganisationiftheorganisationissuccessfulthenitwillgrowandneedmorestaffatalllevels.JGreaterco-operationandteamworkbecauseeveryoneisworkingtowardsthesamegoal.,SomeDataonCustomer,(Source:WinningBackAngryCustomers,QualityProgress,1993)Anaveragecustomerwithacomplainttells9-10people;ifitisresolvedhe/sheonlytells5people.Foreverycomplaintreceived,therearetwentyothersthatarenotreported.Itcosts5-10timesmoreinresourcestoreplaceacustomerthanitdoestoretainone.Companiesspend95%ofservicetimeredressingproblemsandonly5%tryingtofigureoutwhatmadethecustomerangry.,Whatis“customerservice”?,Customerserviceistheprovisionofservicetocustomersbefore,duringandafterapurchase.AccordingtoJamierL.Scott.(2002),“Customerserviceisaseriesofactivitiesdesignedtoenhancethelevelofcustomersatisfactionthatis,thefeelingthataproductorservicehasmetthecustomerexpectation.,“Customerserviceisaseriesofactivitiesdesignedtoenhancethelevelofcustomersatisfactionthatis,thefeelingthataproductorservicehasmetthecustomerexpectation.,AccordingtoJamierL.Scott.(2002),Customerservicemaybeprovidedbyaperson(e.g.,salesandservicerepresentative),orbyautomatedmeanscalledself-service.ExamplesofselfserviceareInternetsites.,WhyisCustomerServiceimportant?,Businessorganisationsdependoncustomerstobuytheirgoodsandservices.Withoutcustomers,businessescannotsucceed.Givingexcellentcustomerserviceplaysanimportantpartinhelpingbusinessorganisationskeeptheircustomersandattractnewones.,ImportanceofCustomerService,Businessesneedtorecognise:JThebenefitsofhavingsatisfiedcustomerstheywillcomebackagain(repeatbusiness/loyalty);theywilltelltheirfriendsandfamilyabouttheplace(reputation);etc.JThecostsofhavingdissatisfiedcustomerstheywillnotreturnandtheywilltelltheirfriendsofthepoorservice/goodsandtheymightthennotreturn.,ImportanceofCustomerService,TheRealityofCustomerServiceBadserviceApersonwilltell9of10theymeetaboutit13%tellanavg.of20GoodserviceApersonwilltellanaverageof4peopleaboutitOnly4%willevercomplainaboutbadservice.Forevery1thatreportspoorservice,26areunreported.Whatdoyoulose(1personforalifetimeofsalesandtheirreferrals)Whatdoesacustomerlookfor:Value=FairPrice+Quality+CS,Focusonthecustomer67%stopusingabusinessduetoindifferentemployeetreatedthempoorlyFivetimemorelikelytoleaveduetopoorservicethanproductquality96%nevercomplainaboutrudeordiscourteousservicebut.91%willneveragainbuyfromthatbusinessTelltheir“horrorstory”atleast9times13%ofthemtellitatleast20timesItcostfivetimesmoretoattractanewcustomerthankeepinganexistingone,WhatareelementsofCustomerService?,CustomerService,RapportBuildingGoodInterpersonalSkillsEffectiveListeningSkillsTelephoneCourtesyHandlingAngryCustomersComplaintManaging,RapportBuildingWhycustomersdonotcomeback,68%quitbecauseofpoorservice14%aredissatisfiedwiththeproduct9%leaveforcompetitivereasons6%developotherrelationships3%moveaway,discontinuebusiness,etc,RapportBuilding,ArecentMasterCardsurveyshowedthat62%ofcustomersleftastorewithoutbuyinganitembecauseasalesclerkwasntavailable.,GoodInterpersonalSkills,Thecommunicationthattakesplaceandresultsinabeliefthatthesenderisgenuinelyconcernedaboutthereceiversneeds.,EffectiveListening,Offerfeedbacktopromptspeakertocontinuetosummarizetoshow”youwerelisteningBlockoutbarrierssuchasculture,education,andpsychology.Practice,Practice,Practice,TelephoneCourtesy,Voicepitchwimpyvoice=pushovercute,soft,oradorablevoice=negativeakind,warmbutfirmvoice=positive,TelephoneCourtesy,VolumeToofastortooslowTooloudortoosoft,TelephoneCourtesyArticulationExercise,WhatchaIshegonnagetIdinitJevverZatYa/YallKinGit,WhatareyouIsshegoingtogetitIsntitDidyoueverIsthatYouCanGet,Handlingangrycustomersandcustomerswithcomplaints,EmpathyAcknowledgementReassuranceAction,EMPATHY,Theabilitytounderstandwhatsomeoneisexperiencingandtotakeactiontoassistinresolvingthesituation.ThePlatinumRule:“Dountoothersastheywouldhavedoneuntothem.”,ExamplesofEmpathy,“YousoundprettydisappointedwiththeinformationIjusttoldyou.”“Whenyoufeelyouvebeengiventherunaround,Icanunderstand”Brainstormsomemoreexamplesofempathystatements!,Acknowledgement,ResponsibilityCheckAssessingasituationanddeterminingwhoshouldhaveresponsibilityandwhoreallydoeshavetheresponsibility.,WhattodoWhenYouAreWrong,Reviewthesituation.Observethecustomersreaction.Admitthemistake.Apologizeforyouractionsorerror.Findasolutionandimplementit.,Reassurance,Restoringthecustomersconfidenceinyou.,ExamplesofReassurance,“IwanttobesurethereisnothingIamawareofthatschanged.”“Ifyoullgivemejustafewminutes,Ithinkyoullfindbetweenthetwoofuswecanworkoutasatisfactorysolutionwithouttakingupevenmoreofyourtimebystartingalloverwithsomebodynew.”Brainstormformoreexamplesofreassurancestatements!,Action,Doit!Tellthecustomerwhatyouplantodoandhowyouplantodoit.,ExamplesofActionStatements,“NowIamgoingtorunthroughitagainasyouexplainedittome.StopmeifIdonothaveitright.”Letmegetmymanagerinonourconversationandlistentohisideasaboutyouralternatemethodfortheproject.”BrainstormformoreexamplesofActionstatements!,Whatarethestepstohandleanangrycustomerormanageacomplaint?,EmpathyAcknowledgementReassuranceAction,GROUPEXERCISE,Getingroupsofthree.Readthr

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