I have been asked to produce a short report that can be used to demonstrate to the board of directors that improving customer service is an excellent way of improving takings. My report has to include the following: .
The role of a supervisor in delivering customer service,
The impact of excellent customer service on how your team works and the positive benefits to the hotel, team and customers on delivering customer service, .
How delivering excellent service can support up-selling and add on-selling, .
How we are to monitor service delivery.
Customer service. What does it mean?
. Customer service according to the dictionary means: “Assistance and other resources that a company provided to the people who buy or use its products or services.” (http://dictionary.reference.com/browse/customer+service) . Customer service according to Turban el al (2002) “Customer service is a series of activities designed to enhance the level of customer satisfaction – that is, the feeling that a product or service has met the customer expectation” (Turban, Efraim (2002). Electronic Commerce: A Managerial Perspective. Prentice Hall.) Customer service is the provision of service to customers before, during and after a purchase. Customer service begins with you. Hiring and retaining service-minded people and properly training them to provide excellent service is a good start, but don't stop there. Conduct customer surveys to find out how you're doing, and then tailor your service to meet their expectations. Bad service, including seemingly small things such as the way an employee answers the telephone, can devastate a small business. Check in occasionally and use meetings, memos and incentives to make sure your employees are doing their best for your business. A friendly, pleasant and relaxed environment will make your customers happy and benefit you and your staff as well. Providing good customer service is a very inexpensive, yet highly effective way to ensure your business success Here's some of the data: The cost of bringing a new customer in is 8-10 times that of retaining a current customer. This means that dollars you spend on customer service make a larger impact on your bottom line. After all, a customer who has already bought from you has been sold on you once. Keep them coming back for more. An unsatisfied customer will tell around 12 people of their disappointment. In fact I think this number is higher now that the Internet and blogging have increased people's ability to speak out to a larger crowd. If you tick off one customer you may have lost 12 potential customers.
Reports found on the internet and the parts I found relevant: .
IBM transformed itself into a customer driven organization in the early 1990’s. 1994-1999, customer satisfaction increased by 5.5%, revenue increased from $63 billion to over$80 billion, cost and expense savings equaled $7 billion, and stock prices improved over 1,000 % (Thompson, 2000, pg. 192)
A study showed: when a frontline service worker left the company, customer satisfaction levels dropped from 75% to 55%. (Harvard Business Review, 1994, pg239)
Research aimed at quantifying the links between employee satisfaction and customer satisfaction, productivity, and financial performance began in 1980 with Benjamin Schneider’s survey of satisfaction levels of bank customers and employees.
Studies such as Frederick Reichheld’s “The Loyalty Effect,” (1996) and James Heskett, W. Early Sasser, and Leonard Schlesinger’s “The Service Profit Chain” (1997) produced the first sets of hard data quantifying these links. Both studies conclude that there are direct and quantifiable links between customer service variables (such as satisfaction and loyalty), employee variables (such as satisfaction,...
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