Research shows that customers form first impressions about their interaction with a customer service representative in as little seven seconds. The first impression the CSR creates with the customer will set the tone for the rest of the conversation.

Those initial few moments are important because they are “make or break” – they determine whether the customer has a positive or negative feeling about your company. Following are some tips on how to make sure those first seven seconds create a great first impression of your company.

Voice, not words, makes the first impression. For many CSRs, customer interaction is primarily over the phone, and how they sound to the customer is critical. With telephone interactions, 80 percent of the first impression is based on the CSR’s voice inflection. Some of the key elements of voice inflection are tone, pitch and speed.

When you pick up the phone and greet the customer, does the tone and pitch of your voice communicate that you are glad the customer called? Do you greet the customer like you would a good friend? Or do you sound like you have already talked with 25 other people that day? The enthusiasm and energy in your voice is critical to a first impression.

When was the last time a business used your name? My answer would be it’s been so long I can’t remember. Using a customer’s name at least twice in a service interaction will build rapport and strengthen your relationship with that person. Many customers will offer their name at the beginning of the conversation. If you are really listening, it will help you correctly pronounce difficult names. So what happens when a customer doesn’t provide their name? All you have to do is ask! Most people will respond when you ask, “May I ask with whom I am speaking?”

There are two things to consider when using a customer’s name. First, if you are not using voice inflection when you call the customer by name, the customer will perceive that you don’t really care. Second, if the customer’s name is used numerous times, the customer will think you are reading from a script and that you are insincere in your attempt to build a relationship.

Are you always listening to the customer? CSRs have a challenging daily task of listening to problems that customers call about and then creating a solution. But they listen to similar problems day after day, week after week, month after month. Many companies use mystery shopping to measure service skills demonstrated by their CSRs. My company has been involved in mystery shops, and I have found that CSRs often fail to practice active listening to confirm they are tuned into the customer’s needs. When a CSR asks a customer to repeat a comment or asks a question about something the customer has already explained, that will be the death of a good first impression. Training on how to listen actively and confirm critical elements of the customer’s call will help CSRs communicate that they really are listening to the customer’s needs.

First impressions will make or break a customer’s perception of your company. Does every customer who calls or walks into your company always finish their interaction with an excellent first impression? It only takes a few seconds for them to make up their mind.

Customers really don’t care if you are having a bad day or just took a call from an agitated customer. What they want to know is whether you care about them. One way you can demonstrate this care is through the service you provide. But you need to make sure your actions and words reflect your commitment to excellent service.
In other words, having good service skills is one thing but making sure those skills come across properly with customers is another matter entirely.

Consistency is the key to creating an excellent service experience for every customer. If a customer had a great experience with one of your coworkers, then had a poor experience the next day or the next week with another, how would that customer rate your service? Customer service experiences are not limited to CSRs who answer the phone or greet people when they walk in the door. Every department – construction, engineering, field technicians, accounting and collections – is vital to the customer’s experience. Is every one always demonstrating the same level of excellent service in every customer interaction?

The following survey can help you determine where you are when it comes to providing consistently great service. Answer each question with a numerical response as follows: 1 is Never, 2 is Rarely, 3 is Occasionally, 4 is Often and 5 is Always.

1. I greet every customer in a courteous and friendly manner whether in person or on the phone.

2. I use the customer’s name whenever possible to strengthen my relationship with the customer.

3. My choice of words, my tone of voice and my body language clearly communicate to very customer that I care about them.

4. When a customer speaks to me concerning their needs and problems, they always have my full attention.

5. I eliminate industry jargon from my conversations with customers. I talk in plain English to make it easy for customers to understand what I am saying.

6. I am friendly with all our customers whether or not they are friendly with me.

7. When I make a promise to a customer, I follow through.

8. I identify customers’ needs and appropriately match our services to satisfy their needs.

9. At the end of an interaction with a customer, I confirm I have answered all their questions.

10. I apologize for the problem the customer has experienced and try to resolve it promptly. When a customer complains, I realize that it’s important to take ownership to create a solution, instead of passing the customer off to some other department.

11. I look at every problem from the customer’s perspective.

12. I show appreciation or create a pleasant close to their experience with me by saying thank you, have a great day etc.

Now add up the numerical answers. A score of 60 is excellent. If your score is lower than 60, your commitment to superior customer service may not always be evident in your daily customer interactions. Consistency of mood and attitude is critical in service. Treating people well – or not – according to one’s whim of the moment is not what service excellence is about.

Here are more tips that will help you improve your customer-service skills.

• Give a friendly greeting. Say “good morning” or “good afternoon,” then state your name and ask how you can help the customer.

• Smile! A smile always comes across in your tone of voice whether on the phone or in person.

• If a customer is rude, don’t take it personally. He or she is probably having a bad day and did not intend to take it out on you. Be polite and friendly. Make it a good interaction so the customer can come away with a good feeling. Perhaps you can get a smile out of the customer. Being rude back, whether intentional or not, can escalate the problem.

• Find out what your customer needs or wants. Then help them get it.

• Show customers that you care about their concerns. Listen to their concerns and work to solve the problem to the satisfaction of everyone.

• If you don’t know the answer, don’t just tell the customer you don’t know. Ask if you can place them on hold while you find the answer or ask them if you can call back. If you are going to call back, remember to get their name and phone number. Then get back to the customer promptly.

• Thank the customer for calling or stopping by.

It takes everyone in the company to create an excellent customer service experience for every customer.

Have you experienced the “Wal-Mart Mentality” with any of your customers, where customers expect you to have the lowest price possible? If so, the pressure to be the lowest-priced provider and defend your pricing can be demoralizing and draining for those on the frontline all the way to top management! The last thing you want to have happen is to get caught in a downward spiral and have your team suffer with burnout and frustration!

The good news is that with a proactive marketing approach, you can avoid the perception of pricing problems! So if you are experiencing the Pricing Pressure Blues, you need to find the ways to differentiate your business from your competition. You need to make people want to buy from you rather than from the other guy!

You need to stand out from the others and create the situation so that customers are willing to pay more for your services. Employees will rarely have to defend your prices when you successfully market the value of your products and the expertise of your staff!

It’s all about perception – people are usually willing to pay more if they perceive that the value they are getting in return is worthwhile!

My wife has recently developed an addiction to Starbucks. Why? Yes, she loves the taste of her “special” iced coffee. But it is far more than that! It certainly isn’t because they discount their products. Instead, they make certain that their customers are buying an “experience” and not just a cup of coffee. How do they do it?

• They customize every cup of coffee
• The employees not only learn the customer’s names, but they use them!
• The employees recognize how valuable a customer’s time is and work to deliver their product at top speed
• Their marketing reflects their belief in the quality of their product – it’s always the “finest coffee”
• They invite and encourage their customers to “hang out” – fireplaces, comfortable furniture and oftentimes seating in a comfortable patio setting is available, and many offer free wireless internet service
• The employees deliver a level of customer service that is stellar, consistently!

Don’t try and set yourself apart by price. There is almost always someone more desperate and will lower their price at any cost to gain the business. Not many businesses have the financial clout and considerable resources to price like Wal-Mart. So don’t fight the Wal-Mart mentality, but rather identify what makes your company, products and services unique!
Ask your customers what matters most to them; find out how your customers make their buying decisions for the types of products or services you offer.

Here are some basic questions that you need to ask your customers:

• What did you like about doing business with us?
• What did you not like about doing business with us?
• What other companies did you research?
• Why did you decide to buy from us?
• What would you tell others about our company, products or services?

It’s all about being different in ways that provide a greater value to your customers! These unique qualities will set you apart from your competition, put the “oomph” back in your marketing efforts which will in turn help to increase your sales and overcome the Pricing Pressure Blues!

There isn’t a company in existence that doesn’t make a mistake from time to time that impacts customers. The question is, are you properly reactive in solving the problem and are you proactive in your service so that customers always feel they are treated well?

Here are some tips on reactive and proactive customer service.

Reactive customer service comes after the fact. Reactive service comes after a customer has a problem or complaint or is generally dissatisfied. This type of service is in reaction to your customer and, therefore, is likely to be affected by both parties’ emotional states.

Actively listen and don’t interrupt the customer. Set your emotions aside and pay attention to your customer. Interruptions will fuel an agitated customer. If your customer has been inconvenienced, listen and then extend a sincere apology — the operative word being sincere.

Make an action-based gesture. Even the smallest gesture of this type can diffuse an upset customer. It’s critical that you take responsibility and demonstrate that you own the problem. Depending upon the situation, the gesture can be something as simple as making an adjustment to the customer’s account or sending a small token of apology, such as movie tickets.

Speed is critical. Your resolution must be presented immediately, if possible, and without layers of management approval. This is how you turn a disgruntled customer into a happy one. This also turns second chances into a loyalty-building activity.

Customer service is a marketing technique. However, customer service is often viewed as a complaint-handling system. If you develop customer service and customer retention programs, you will reap benefits in many ways — increased sales and profits, happier employees and customers, less stressful work environments and more time to think creatively and proactively.

Only 4 percent of customers complain. Your company may never hear from 96 percent of its customers and, of those who are unhappy, 92 percent may just quietly go away because they feel complaining will not do them any good. Complainers are more likely to continue doing business with your company than non-complainers.

Most complainers end up staying with your company. Fifty-four to 70 percent of complainers will do business with you again if you resolve their complaint. Up to 95 percent of these customers will refer new customers.

Customers always have a choice: they can call or not call. If they don’t call, their frustration doesn’t go away. They may just put it “on hold” until something else happens and then they are even more upset. Or they can share their frustration and opinion of your company with others and in those conversations, you are certain to be the bad guy.

Proactive customer service may come before or after the fact. But proactive service is always about taking action to improve the customer’s experience and outcome. Proactive customer service anticipates the customer’s current and future needs.

Proactive service begins before the customer walks in the door. Proactive service means your company is already prepared to do everything to satisfy and keep the customer. Review all the activities at your company and examine how well your employees perform to satisfy customers. Go well beyond just handling complaints, providing refunds and smiling at customers.

Proactive service means going out of your way for the customer. Do everything possible to meet your customers’ needs. Sometimes that means making decisions that benefit customers even at the expense of the company.

Measure the process. Take a close look at all your processes and procedures, as well as interactions your staff has with your customers both over the phone and in person. Identify the most common situations that cause customers to get upset or frustrated. Review the process with all departments involved, brainstorm ways to improve it and test the new process to confirm it will create the desired result. A new solution will reduce calls to your customer service staff. Overall, the number of unhappy customers your company has to work with should decline.

Last week, one of our clients told us they were having a very difficult time calling us. The call would ring twice and then just disconnect. For years, our telephones have been set up to roll into voice mail if a live being doesn’t answer the line. Our customers are the lifeblood of our company, so we verified that the calls were being dropped and immediately called our local telephone-service provider.

After I reached the phone company, I maneuvered the voice prompt menus and ultimately found myself speaking with Randy from the repair department. You might ask why I remember his name. I remember because Randy gave me a customer experience I won’t soon forget.

Randy pulled up my account information and, after a brief review, told me the problem I had described to him was not really a problem. He told me I didn’t have the feature I described and, therefore, could not have the dropped-call situation. He said he would transfer me to customer service if I wanted to add the roll-over feature.

I informed him that our business numbers have been in place for a number of years and that we have been paying for that feature all along. He then proceeded to tell me that I was mistaken about the services I had with their company, that there was nothing further he could do and that he would transfer me to customer service if I wanted to add features. I asked for a supervisor. Randy said he would have to locate one. He put me on hold and shortly thereafter I was disconnected.

Something funny happened at that point. I noticed that my attitude had changed. I became one of the dreaded . . . Difficult Customers!

Every day, your customers call you for a variety of reasons: they have a service problem, they don’t understand the charges on their bill, they don’t understand why their bill is so high, etc. They have an expectation that when they call your company, a customer-friendly person will listen attentively, give them an explanation that’s easy to understand and provide a solution if a fix is needed.

Customers become difficult when they feel their expectations of how they should be treated are not met. When that happens, customers become emotionally upset and react in a number of ways.

Consider these techniques when dealing with emotional customers:

Listen attentively. Carefully listen to the customer’s explanation of why they’re calling. Many customer service representatives have a tendency to interrupt the client because they’ve heard the same story many times before. They think they know what the customer is going to say and can interject to save time. This behavior sends a very strong message to your customer . . . and it’s not a positive one! Respect your customers and allow them to explain their situation uninterrupted.

Apologize or empathize. If the customer’s problem is the result of a company error, apologize immediately for the inconvenience. Even if it’s not a problem the company created; show empathy for the customer’s situation. Voice inflection is a critical part of communicating compassion to the customer. The tone of your voice truly conveys that you care about their problem.

Ask open-ended questions to understand their situation. Open-ended questions require your customer to provide more information than a simple “yes” or “no.” Having additional information from the customer can help you understand their situation in order to create the solution or explanation. One of the most valuable open-ended questions when dealing with difficult customers is, “What can we do to make this right for you?” Research has proven that a customer’s solution will usually cost far less than the one you might offer to correct the problem.

Confirm the solution or explanation. Whatever the solution or explanation is, confirm with the customer that they clearly understand it. Make certain that the customer knows what’s going to happen and when it’s going to happen. This simple step can prevent further miscommunication and unfulfilled expectations.

Deliver on the solution. Follow up with the customer to make sure they received what was promised and that they are satisfied with the solution. This is another simple way to let your customer know that you care.

Mistakes happen. If the error was the fault of your company, send the customer a small gift certificate or note to acknowledge the mistake and apologize for the inconvenience. Again, this tells your customer how much you care about them.

Train your staff to deal with difficult customers. Dealing with difficult customers is a skill. Role play a variety of difficult-customer situations to help your staff become more comfortable with learning how to maintain their composure, how to ask open-ended questions and how to create solutions. Experience is critical to maintaining a cool head when dealing with an emotional customer.

Measure the customer experience. Send a survey to a sampling of your customers who called in with a problem. How would they rate the way they were treated during their interaction with your utility? What could have been done differently to improve that experience? What happened that caused the customer to become emotional? This information can be valuable in helping CSRs work with difficult customers in future interactions

Customers become difficult when their expectations aren’t met. Dealing with difficult customers isn’t a fun time for your staff but neither is feeling like you’ve been disrespected or disappointed as a customer. What strategies are in place at your utility to empower employees to create solutions for your customers while exceeding their expectations?

Research shows that customers form first impressions about their interaction with a customer service representative in as little seven seconds. The first impression the CSR creates with the customer will set the tone for the rest of the conversation.

Those initial few moments are important because they are “make or break” – they determine whether the customer has a positive or negative feeling about your company. Following are some tips on how to make sure those first seven seconds create a great first impression.

Voice, not words, makes the first impression. For many CSRs, customer interaction is primarily over the phone, and how they sound to the customer is critical. With telephone interactions, 80 percent of the first impression is based on the CSR’s voice inflection. Some of the key elements of voice inflection are tone, pitch and speed.

When your CSRs pick up the phone and greet the customer, does the tone and pitch of their voice communicate that they are glad the customer called? Do they greet the customer like they would a good friend? Or do they sound like they have already talked with 25 other people that day? The enthusiasm and energy in the CSR’s voice are critical to a first impression. If you want to improve the first impression, record CSR conversations with customers and play them back. Let CSRs listen to their own voice and grade their voice inflection on a scale of 1 to 4 with 4 signifying they came across as enthusiastic and friendly. You may find it takes listening to a few calls before they give themselves a top grade.

When was the last time a business used your name? Using a customer’s name at least twice in a service interaction will build rapport and strengthen the relationship with that person. Many customers will offer their name at the beginning of the conversation. If CSRs are really listening, it will help them correctly pronounce difficult names.

So what happens when a customer doesn’t provide their name? All you have to do is ask! Most people will respond when the CSR says, “May I ask with whom I am speaking?”

Have all your CSRs use customers’ names during their interactions for the next 30 days and see if it doesn’t improve the conversations. However, there are two things to consider when using a customer’s name. First, if the CSR isn’t using excellent voice inflection when they call the customer by name, the customer will perceive that they don’t really care. Second, if the customer’s name is used numerous times, the customer will think the CSR is reading from a script and that he or she is not sincere in attempts to build a relationship.

Are you always listening to the customer? CSRs have a challenging daily task of listening to problems that customers call about and then creating a solution. But they listen to similar problems day after day, week after week, month after month. Through our mystery shopping programs, we have found that CSRs often fail to practice active listening to confirm they are tuned into the customer’s needs. When a CSR asks a customer to repeat a comment or asks a question about something the customer has already explained, that will be the death of a good first impression. Training on how to listen actively and confirm critical elements of the customer’s call will help CSRs communicate that they really are listening to the customer’s needs.

First impressions will make or break a customer’s perception of your company. Does every customer who calls or walks into your company always finish their interaction with an excellent first impression? It only takes a few seconds for them to make up their mind.

If you took a poll at your company and asked every employee to rate the level of communication between management and staff and among the different departments; would they make your day and give your company high marks?

Poor communication is one of the biggest challenges a utility faces.

When I train at a utility, I use an activity to demonstrate communication skill. Try this with your management team. Give each person a sheet of paper, then pair people up and have them sit with their backs to each other so they can’t see what their partner or other people are doing. Tell them to fold their sheet of paper and tear off a corner, then fold the sheet again and tear off a corner. If they ask which way to fold or which corner to tear, tell them it’s their choice. Now have each person open their sheet of paper. They will discover that their piece of paper looks different from the person sitting next to them. This activity demonstrates that we all hear and perceive situations differently.

Miscommunication at the company level not only impacts internal customers (managers, supervisors, departments and employees), it also impacts customers’ experiences with the utility. So if communication is so important to improving how a utility functions and creating a positive experience for customers, why is it such a major obstacle? The main obstacle is because we are all individuals with different levels of experience and varying levels of communication skills. We all see things differently. Those differences are important to the growth and vitality of any company. If everyone looked at everything the same way, nothing would change.

The challenge is getting all the people at your utility to communicate clearly and listen to everyone else. Consider the following ideas.

Listen to understand. Heavy workloads, short staffing and multi-tasking turn people into poor listeners. They pretend they’re listening, but in reality, they miss a lot of what is said. Your employees can build strong relationships by being better listeners. Follow these four steps to overcome listening barriers:

1. Focus on the person talking. Close your door, place your phone on do not disturb, remove the project you’re working on and focus on the person talking

2. Use confirming statements. Clarify your understanding of what they’re saying with such statements as “Let me confirm what you said…” or “My understanding is…”

3. Summarize key facts. Words mean different things to different people. Confirm that you and the person sharing information have clarity. Use phrases such as “Did I understand that correctly?” “Did I get that right?” or “Is that correct?”

4. Clarify misunderstandings (if necessary).

Watch your body language. Body language sends non-verbal cues that speak volumes and communicate powerful messages. We are often unaware of our negative body language because it’s comprised of subtle habits we have developed over the years – eye rolling, sighing, rapid-fire foot taping, leg bouncing or sewing machine knee, glancing away from the person speaking and interrupting the person speaking.

Watch your verbal language. The quality of everyday language used in business is on the decline. When employees use language that is negative or abrupt, they create communication barriers. Negative language can quickly destroy relationships with coworkers.

- Avoid giving orders. Rather than: “ You have to…” “You must…” Use: If you will… then I can,” “In order to….” “We need….”
- Be careful not to criticize. Rather than: “You should have..” Use: “Here’s how we can resolve this…”

Facilitate a monthly brainstorming session. Oftentimes, the best source for new ideas comes from within. Your employees see things every day that could be improved, changed or done differently. Let their experiences and observations become your funnel of knowledge.

Create an event where everyone looks forward to sharing his or her ideas. Focus each brainstorming session on one area where you are looking for improvement. Ask each employee to come with at least one idea to improve that part of the utility. Hand out dollar bills, movie tickets or inexpensive rewards to say “thank you” for their ideas. Demonstrate to your people that their ideas and suggestions are valuable to the growth of your company.

Here are two important ground rules. Before the brainstorming session, acknowledge that there are no bad ideas (negativity will destroy enthusiasm for unique and different suggestions). Respond to all the ideas in three to four days maximum (it’s easy to grow weary of providing ideas and suggestions without some form of feedback).

Measure your staff’s level of satisfaction. A simple employee survey can provide you with invaluable information. Structure the survey to be as objective as possible.

Some areas to solicit their feedback might include:

1. Training programs. Do they feel their training is adequate and gives them the proper skills for their job functions and additional opportunities?

2. Company mission and vision. Do they know where the utility is headed?

3. Professional standards. Do they understand the levels of service you expect and the behaviors/actions that will achieve them?

4. Internal changes. Are ALL employees aware of changes taking place at the company?

This could include new policies or procedures, new software, new employees and new construction projects.

5. Likes and dislikes. Give them the opportunity to tell you what they like and dislike about your company.

Most employees will give you honest feedback if they believe there will be no backlash or a negative consequence. Allow them to give you information freely and anonymously. Share the results companywide. Let employees know which items will be implemented as a result of their feedback.

Involve your employees every chance you get! A recent study showed that more than 57 percent of hourly employees do not know their company’s annual sales. More than 26 percent do not know if their company’s financial position has changed in the last three years. Don’t be afraid to share sales and expense numbers. Teach everyone how to read a P&L statement.

Get them involved in examining expenses in their departments. Invite them to come up with strategies on ways to increase sales and decrease costs. Ask for their feedback on how to improve your level of customer service. Front-line people see many things as they do their jobs that, if done differently, could improve performance, save time and money, and bolster your bottom line.

Communication is a learned skill that requires training and practice. What is your utility doing to improve internal communication?

It’s impossible to make every customer happy all the time, but I strongly recommend that customer service representatives be particularly professional and careful with the small number of customers who call and are angry.

The good news is that about 97 percent of a utility’s customers are reasonable people who just want to be treated with respect and feel appreciated for their business. This certainly gives them the latitude to become upset if a mistake was made, but they will generally forgive the error.

The challenge is the other 3 percent of customers who can ruin a CSR’s day with a single phone call. And isn’t it Murphy’s Law that phone calls from this minority seem to come earlier in the day rather than later, giving CSRs just that much more time to fume and fuss?

It doesn’t have to be that way. Following are six tips on how to handle irate customers so that the outcome is productive for everyone involved – the customer, the CSR and the company.

Tip One: Let the angry customer vent. Give your customer the chance to “get it off his chest.” Don’t interrupt. Just let him say what he needs to say. When he comes up for air, that is the appropriate time to say you are there to help. If the customer uses abusive or vulgar language, let him know you would be happy to help but that you’re unable to do so under those conditions. Explain that you are going to end the conversation, but encourage the customer to call back when he has calmed down.

Tip Two: Put emotional distance between you and the customer. Your customer’s anger is not about you. It’s his problem, so choose not to take it personally. Even nice customers can get angry when they feel a company has mistreated them. Do the best you can to let your customer know you care.

Tip Three: It’s not the CSR’s job to teach a lesson. Anyone who deals with customers on a regular basis will tell you that the customer is not always right, that they do make mistakes. They will also tell you that some customers are dishonest. But it doesn’t matter whose mistake caused the problem your customer is calling about. You are not in your job to serve as judge and jury. If the customer actually caused the problem, you will only add fuel to the fire by pointing that out. Keep things simple, review the problem and work toward resolving it.

Tip Four: Treat even angry customers with respect. This doesn’t mean you need to agree with the customer’s opinion. Most people just want to know that someone is willing to listen to their concerns and show they care. You don’t know what has happened to the customer during his day, so give him the benefit of the doubt. Put yourself in your customer’s shoes and ask yourself, “If this was me, what would I want?”

Tip Five: When all else fails, give up. Some customers simply will not give you the opportunity to fix their problem. Some are chronic complainers. If the customer has a track record of abusive language and angry calls, it may be better to say goodbye to the business. However, this message needs to be communicated to the customer by your manager.

Tip Six: Learn to let go. It’s not always easy, but don’t carry the baggage of one angry customer over to your other customers. If a customer has upset you, get up and walk away for a few minutes. Get a drink of water, take some deep breaths and allow yourself to become neutral before you take the next call.

Most customer problems are the result of a lack of communication. Focus on helping your customers, not proving them wrong, even when they are. A kind word, a listening ear and respect will teach them a far greater lesson than pointing out the error of their ways.

Customers are the lifeblood of your company. Without them, you are out of business!
Why, then, do so many wireless carriers and other telecommunication firms fail to
promote customer loyalty?

Do you have a strategy and budget for customer retention?  What steps are you taking to improve the experience your customers have when they interact with your staff?

Customer loyalty is influenced as much by your customers’ emotions as it is by your products, services, processes and prices.  The interactions your customers have with your staff influence their buying decisions.  Customer loyalty has a lot to do with how they are treated.  It’s not just about what they are sold.

It’s critical that every type of interaction with your company is a positive experience.  Interactions occur in a variety of channels:  phone, face-to-face contact, e-mail, the Web, fax and printed materials (billings, flyers, etc.).

Here are a few suggestions that will let your customers know you care, that you appreciate their business and that you want them to continue to do business with you.

Welcome Customer Complaints

Teach your staff to view a complaint as an opportunity for improvement.  One of  the greatest challenges companies face is to look at a product, service or situation through the eyes of their customers.  Customers often fail to complain when they have a problem because they feel it won’t do any good.  After all, no one will do anything anyway, right?

That’s even more reason to make sure your staff is empowered and trained to handle
customer complaints on the spot.  Do they know the Eight Magic Words to Diffuse an Emotional Customer?  These simple words will help your staff create an immediate solution while validating the customer’s concerns, needs and emotions.

“What can we do to make this right?”

Try these eight words for the next 30 days:  When you have an upset customer, ask them, “What can we do to make this right?”  Listen to what your customer has to say.  Their response may solve the problem quickly and inexpensively.  There are certain situations where this approach would not be appropriate, the most obvious being when talking with a delinquent customer.

Educate Your Customers

Are your customers knowledgeable about the products and services you offer?
It’s important to clearly communicate the benefit and value of your products and services.  It’s best to be simple and straightforward.  For example:  “The major benefit is blah (not blah, blah, blah).”  Keep it simple!

Position your means of interaction; don’t forget all of the different channels, so that they are easy to use and customer friendly.  Make these interactions positive.

•    Web site – It should be easy to use; competitors are a click away!
•    Message on hold – Market your products/services while customers are on hold.
•    Special of the month – Choose a different product/service to promote every month.  Offer a discount.  Educate your staff on that product/service so they can effectively communicate with your customers.
•    Newsletter – A monthly newsletter enclosed with billings is an awesome way to educate customers about products/services, your company, your employees and your community.
•    Incoming calls – It shouldn’t take two minutes to get to the right person or department.

Involve Your Customers

Do you have systems in place to follow up with a customer shortly after they purchase a product or service?  This could be done via e-mail, snail mail, your Web site or telephone.  Make sure customers know how to use the product or service and that it’s functioning properly.  Ask if they have any questions, concerns or suggestions.

Customer feedback is not a one-time event.  Create a systematic process to elicit feedback from your customers:

•    What do they like/not like about your products/services?
•    What do they like/not like about doing business with you?
•    What other products/services do they want you to offer?
•    How else can you satisfy their needs?

Empower Your Staff

All of the above will be maximized if your staff has the proper skills and knowledge. If you’re serious about improving customer satisfaction and loyalty, skill development must be an ongoing commitment.

Does your staff have the skills to:

•    Develop rapport quickly with customers.
•    Proactively resolve customer conflict with the first phone call.
•    Suggestively sell your products/services.
•    Identify statements or comments made by your customers that are indications of customer need or a buying signal.
•    Position your products/services to clearly define the value and benefit for your customers while meeting their needs.
•    Understand how your products/services are better than the competition.
•    Create a follow-up system that ensures commitments are upheld.

Keep your customers engaged with your company.  Customers are human beings.  They want to know that you listen to them, that you will treat them with respect and that you value them and their business.  Most times, it’s the little things a business does that tell the customer they are valued.

Remember – customer loyalty has a lot to do with how they are treated, not about what they are sold.

Customers are not just a source of revenue for your company; they’re a potential gold mine for referrals that can generate even more business.

Satisfied customers can be a wealth of referrals for products beyond your primary product line. All you need to do is ask, but it must be handled appropriately.

Following are 10 tips on how to generate referrals.

Tip # 1 – Create a systematic process. Referrals are often random. Create the repeatable system. All customer service representatives, sales representatives and outside technicians should ask for referrals in the right situations. People need the track to run on, so create the system.

Tip # 2 – Acknowledge referrals. When you receive a referral, send a note to your customer letting them know the referral contacted you and that you greatly appreciate it. Why would they send another person to you if they don’t feel you value them?

Tip # 3 – Reward those who give referrals. What’s in it for your customers if they send you referrals? Usually nothing tangible. Referrals are valuable. They’re gold. Create an appropriate reward system. This will greatly increase your flow of referrals. It doesn’t need to be anything expensive. This is an area where ‘it’s the thought that counts’ truly applies.

Tip # 4 – Educate customers on all your services. Your customers may not realize what you have to offer in the way of additional products and services. If they know what you have to offer, they may be more likely to use your services and also refer a colleague, friend or family member.

Tip # 5 – Educate and sell on your Web site. A customer may refer someone to your Web site for additional information. If your Web site is confusing or doesn’t give adequate information, a potential new customer may become frustrated and choose not to call you. Your Web site is a tool for selling and educating. Make sure it does precisely that.

Tip # 6 – Tell customers what you will do with a referral. When a customer is thinking about giving you a referral, they may worry that the people they send to you will be hounded by your company and given a hard sell. Tell your customer what actions you will take so they are comfortable giving you a referral. If they have negative preconceived perceptions, it is your responsibility to change them.”

Tip # 7 – Ask for referrals. The biggest mistake companies make is that they presume customers will give a referral without being asked to do so. They hope the referrals will come but they never actually ask for them. Design a system and script that will make asking for referrals a comfortable process for your people.

Tip # 8 – Stay in touch. Your marketing department needs to keep your company’s name in front of your customers in a variety of ways. Use every available resource as an opportunity to educate and sell.

Tip # 9 – Educate yourself. There are lots of effective referral strategies. Make use of the Internet, bookstores and libraries to educate yourself on others’ successes and failures. You will find wisdom in other companies’ experiences. Seek it out.

Tip # 10 – Commit yourself to generating referrals. It all starts with a commitment to learn which referral strategies work, determine the best ones for you, create a plan and then follow through with unwavering persistence.

What other steps can you do to increase your referrals?