Your competitors are only a click away. Connected customers have access to an endless amount of info regarding your business, as well as reviews and opinions with respect to the level of service you provide. American Express released a report where 3 out of 5 consumers were willing to jump from favorite brands based on a bad service experience. On the other hand, a RightNow report revealed that 9 out of 10 consumers are willing to spend more with companies they believe will provide superior customer service. So in order to create a fantastic customer experience, and begin to attract long-time loyalty from consumers, you really need to take a serious look at the level and quality of service you provide.
Most consumers believe that smaller businesses provide better customer service than large-box competitors. So you’ve got that going for you. And let’s face it, small businesses will never out-logistic larger competitors, they’ll never undersell them effectively, and they’ll never out-advertise them. The way small businesses can compete with big-box stores is by providing a level of service that big-box can’t match. In case you doubt this conclusion, here are a few statistics about the high cost of bad service:
- Consumer Reports report that over 90% of consumers will not do business a second time with a company who screwed up the first sale.
- CR also reports that over 60% of consumers walk out of a store if they feel or believe that they are receiving poor service. That number grows to 70% when consumers engage via phone and feel they are getting bad service.
- The White House Office of Consumer Affairs reports that bad customer service reaches more than twice as many ears as praise for good service.
- Another WHOCA statistic: for every consumer who complains online or on social media, 26 remain silent.
These are just a few statistics that indicate the importance of customer service for small businesses. In our next article, we’ll discuss some basic strategies you can deploy to improve the overall experience of doing business with your firm, and how to translate that message across social media to engage more potential customers who are looking for a company like yours that they can depend on. That’s building customer loyalty.