3 Major Reasons Why Customer Service is Vital for your Business
Customer service has always been a vital part of any business, but in today’s hyper competitive business environment it is becoming increasingly important. But what benefits can excellent customer service give you and is it worth investing in? 1. Brand Growth Perhaps the most important reason for having excellent customer service is what it adds to your brand. Providing customers with a good experience when buying from you has a big impact on how they think of your brand. Having good word of mouth about your business is one of the most powerful assets a business can have, while on the flip side having bad word of mouth can absolutely kill your business. Statistics show that a happy customer will tell 9 friends about their experience, but an unhappy one will tell 16 friends about their bad experience. Providing good customer service also builds trust in the brand, which is invaluable when it comes to retaining customers and increasing consumer loyalty towards your brand. 2. Customer Retention Everyone in business knows that it’s much cheaper to retain an existing customer than it is to find a new one, with statistics showing us that a 10% increase in customer retention levels can lead to a 30% increase in the value of your business. There are few factors more important to customer retention than customer service, the easier it is for your customers to buy from you the more likely they are to return. Customers are 4 times more likely to buy from one of your competitors if they have a service problem rather than price or product problem and around 89% of customers have stopped buying from a company because of the bad service they’ve received, so ensuring you have quality customer service will go a long way to helping you retain customers. 3. Modern Consumer Values Modern consumers are very different to the consumers of the past; they expect a lot more from businesses, with a lot of their decision-making influenced by their shopping “experience” rather than the price or quality of a product. This means that when researching and buying a product they expect quick replies to their enquiries and don’t have the patience to wait around for a response, 55% of consumers will abandon an online purchase if there are no quick answers to their questions. Social Media has become a key part of every business's customer service model, and ensuring that you respond quickly with helpful information is more important than ever. The statistics also show us that 55% of consumers are willing to pay more for a product if they receive a better customer service experience, so investing in improving customer service can lead to returns in the future. Customer Service is a vital part of any business, especially for modern consumers. It can help grow your business and strengthen consumer’s trust in your brand. At Haines we can help you with your social media management, ensuring that all your customers (both potential and returning) get the help and service they want.