1.6 trillion dollars' worth of business is lost each year due to poor customer service. If that does not tell you just how important this is to your business, then maybe the next statistic will help.
Businesses that focus on customer experience are 3x more likely to achieve their annual revenue targets. In fact, more than 80% of the companies that prioritize CX are reporting an increase in revenue.
Customer Experience is seen by many of the top businesses as one of the primary differentiators amongst competition. However, CX is more than just a strategy.
It is all about execution.
Companies need to ensure that their employees embody their CX ideals in every customer interaction. They should strive to implement a customer-centric outlook at all times.
Doing so helps companies hear the Voice of the Customer.
This is either done through direct contact as customers reach out to thank or criticize, or through review platforms and online outlets.
Adding surveys to your website can also help in capturing the voice of the customer.
However, most customers that leave your company never even report their dissatisfaction. In fact, this is most of your detractors. If you are looking to ignite loyalty, it is these consumers that you need to capture.
Customers who have had bad experiences may not approach you, but they are likely to spread the word. Previous research indicates that those who have a bad experience are likely to tell at least 11 other people.
In the age of the internet, that number is not even the tip of the iceberg.
In fact, negative reviews online actually have the power to affect your revenue. So, it is up to you to reach out to dissatisfied customers and not only give them an outlet, but also make up for the bad experience.
How you handle such a situation is part of your CX strategy.
Be proactive. When you discover a negative review, it is imperative to address it immediately.
Identify negative reviews, and then understand the cause of dissatisfaction. This will help you build an effective response.
Appreciate the customer for bringing the criticism to your notice – whether it was directly or through a review platform. Always remember to thank them for doing so.
This immediately shows that you care, and that customers are valued. Moreover, it allows you to begin your response on a positive note, setting the stage for the next step.
Acknowledge the experience. If they received a defective product or had a bad customer service experience, acknowledge that you empathize with their frustration.
By doing this you are not coming up with an excuse, but you are tackling a situation head-on, and let us face it, customers appreciate straight-forwardness.
They also appreciate businesses that are willing to take responsibility.
An apology can go a long way.
This is especially true when customers have had a bad experience and are looking to vent. However, note the distinction – apologizing for the experience does not mean that you are taking the blame.
You are simply apologizing for the poor experience the customer had.
Moreover, this will also give you an opening into asserting that this incident is not up to your usual standards. Show customers that this is not the norm at your company, and that they are always treated with priority.
This helps to re-establish your image.
Following this, it is time to make things right. If your customers have felt wronged, you need to ensure that they are compensated for the same. State how you would like to make it up to them.
Use ‘we’ statements. These are the most effective and show commitment to the cause. It is important to convey the impression that ‘you’ve got this’ but without over-promising.
Once you have a plan in place, ask them what they think about it. Will this work?
Finally, once you review the action plan with your customer, you need to take extra care to follow through on it. Make sure it is to their satisfaction and remember to follow up on it as well.
Is the customer absolutely satisfied?
Taking negative experiences seriously can be transformative for businesses. In fact, just doing so can make many detractors into champions for your brand.
Customers are willing to pay 17% more for a business that offers them better customer service. So, focus on giving them a seamless and positive experience at every stage.
Be proactive in your approach.
And if you have not already done so, rope in your employees. Show them the benefits of a good CX.
One of the best ways to do so is by implementing great EX. After all, employees that are stressed out may not be humanly able to deliver the best customer experience. In fact, employees who know that the company values them are more likely to walk the extra mile and deliver excellent experiences to the consumers.
And what is more, measure the impact of your current CX strategies with NPS surveys.
This will help measure the impact of your CX strategy and give an added insight into your consumer mindset!
Name: Rose Moore
Bio: Strategic HR generalist professional with expertise in HR Operations, Compensation & Benefits, Business Partnering, Labour Laws, Talent Acquisition and Development Activities. A voracious reader, you will almost always find me reading or digging information on the latest trends, collating articles on trending software and solutions, reading the why is and how is of a phenomenon.
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