The demise of customer service in the UK is well documented. Television programmes such as Watchdog and Mary Portas’ Secret Shopper regularly reveal lamentable standards in the treatment of consumers.
Should all businesses be tarred with the same brush?
Most start-ups are grateful to have customers at all and will often go that extra mile in their efforts to retain that business. As we all know, however, rapid growth can lead businesses to neglect that most vital of assets – their customers.
So when does the line start to blur and companies lose sight of what made them successful in the first place?
It’s difficult to establish exactly when the decline begins.
Money Mail holds annual wooden spoon awards for companies who have consistently failed to provide good customer service. Among its alleged worst offenders are companies such as Orange, Ryanair and Talk Talk.
In the not so distant past all of these businesses were viewed as a refreshing alternative to the dominance of national companies. Now in some cases they seem to have joined their ranks.
Let’s consider the traditional ‘giants’ for a moment. Think insurance companies who offer discount deals to new customers and reward loyalty with, well, nothing. Consider the hours we spend on ‘hold’ in an attempt to arrange a refund or replacement for damaged goods delivered to our door. The financial services sector is on the slide following the scandal over mis-sold PPI claims - and let’s not get started on the energy companies.
Is it surprising that we despair of ‘big’ businesses and our hearts sink when our favourite supplier starts to expand?
What constitutes good customer service?
What do we look for in customer service? The Institute of Customer Services (ICS) cites the following:-
- quality of the service or product
- handling of enquiries, problems and complaints
- competent and helpful staff
- being kept informed
- ease of doing business
- speed of service
How many successful companies offer all of the above on a consistent basis?
Does the success of a small business mean that it will forget its loyal customers and inevitably doom it to the ranks of the faceless giants?
Not necessarily. The ICS regularly carries out surveys of consumers to assess which companies are offering good customer service.
In January of this year, Amazon topped the list. Its continued growth is proof that companies can expand globally without detrimental effects on customer service. Boots and Marks and Spencer also feature in the top ten, both of whom have seen their traditional market eroded and have responded successfully to the challenges of the past decade. So there is hope.
With the current economic climate in such a parlous state, Goldman Sachs highlight how vital it is for all businesses to get their service strategy right. Let’s hope that this message continues to filter through to the big (and growing) names in industry. As consumers, we have a duty to report those that fall short of acceptable standards and wherever there is an alternative, vote with our wallets.
See ICS January 2012 results here
The Money Mail article is available here
The Goldman Sachs article is available on the ICS website here.