Monday, March 30, 2009

The Bad Customer How Do You Recognize The Customer Who is Harming Your Business

Why on earth would you want to fire a customer? Well if they cost you more money and effort than the profit you make from them � then it is time for you to remove them from your mailing lists and your marketing activities. Here�s 7 ways to recognize the bad customer.

1. The always quibble over prices � ensuring that your profit is minimal.
2. They are really slow to pay, costing your extra money in financing your cash flow.
3. They never seem happy with the service you provide and are keen to tell not only your staff but other customers. Not only is this moral sapping for your staff, but damaging to your business.
4. They never refer any new business to you, never speak well of your company.
5. Their order has remained small and spasmodic.
6. They display no loyalty to your company and often go off to other companies for their orders.
7. They are very difficult to establish a working relationship with you.

If you have customers that are displaying more than two of the above characteristics then you need to examine very carefully what profit and advantages keeping this customer is providing your company.

Is there a way that you can change these bad customers into better customers?

1. Ensure that they understand exactly what level of service, cost structure and payment terms their account operates under.
2. Try and address your customers complaints on a once only attempt.
3. Provide incentives to your customers to refer other business to you.

So how do you get rid of the bad customers?

1. Increase the pricing structure and decrease the payment terms. Similarly increase the delivery time.
2. Remove them from your marketing strategies and mailing lists.
3. If all else fails then write to them and politely remove them from your customer base, citing change of policies or similar.

Always be polite and remember � that a customer�s complaints and late payment might be because you of how you have interacted with them! Maybe if you have too many bad customers you should be looking at that as well!

-------------------------------------------------
� Copyright 2006 Biz Guru Ltd

Lee Lister writes as The Biz Guru, for a number of web sites including her http://www.clikks.com where she sells her informational products. With over 20 year�s management and business consultancy experience with businesses large and small as well as being a serial entrepreneur, she now helps others set up, develop and market their businesses.

If you would like more help and assistance in setting up your new business then visit http://www.startmynewbusiness.com for advice and assistance.

This article may be freely distributed if this resource box stays attached.
-------------------------------------------------

Article Source: http://EzineArticles.com/?expert=Lee_Lister

Lee Lister - EzineArticles Expert Author

Up Servicing Creating Superior Customer Value Through Up Selling Valuable Add Ons

About once a week I grab my laptop and head to a caf� to work, brainstorm, and map out business plans. I usually enjoy a latt�, cappuccino, or green tea while I work and I�ve found the change of scenery ignites my creativity and jump starts my productivity. For years I�ve gone to the same caf� on Yale Avenue for my weekly ritual, but last week I stopped into a Baes & Noble Cafe. I approached the counter to purchase a latt� and the sales person immediately responded with an �up selling� offer. She asked, �Can I get you a slice of cheesecake to go with your Caramel Macchiato?�

I wasn�t even thinking about dessert, yet I somehow let the unexpected query: �Can I get you a slice of cheesecake to go with your Caramel Macchiato?� entice me into accepting a rich slice of cheesecake.

The lady at the Baes & Noble Caf� flawlessly executed the �up-selling� technique and without any hesitation I accepted. Not once in the three years of my attending my usual caf� has anyone tried to upsell me. As I enjoyed each delectable bite of the cheesecake I wondered, �What would it mean to Baes & Noble�s bottom line if every salesperson in the Caf� attempted to upsell beverage seekers? What would it mean to the bottom line if just 2% of customers everyday were upsold?� What would it mean to your bottom line if every one of your employees flawlessly upsold your customers?

In my experience both as a consumer and as a Business Growth Strategist, I have discovered that many businesses avoid up-selling because they're conceed that the customer may feel irritated or pressured, and often customer service professionals are reluctant to upsell because they�re uncomfortable with a �selling� role. But here�s the thing: If you don�t try to upell you are 1) Leaving money on the table and 2) Withholding value-added services from your customers. When done right, upselling offers translate into sales 5-20% of the time. And research shows that most customers appreciate up-selling when they are offered additional benefits that are relevant to their needs. Read on to get 5 tips to help you confidently and successfully upservice your customers.

Think of upserving as �Up-Servicing� - When done right, upselling is simply offering a �suggestion� to an already receptive buyer to enhance the value of her service. This is exactly what I experienced at Baes & Noble Cafe. I was already a receptive buyer and the cheesecake most definitely enhance the value of my experience. When viewed as truly upservicing as opposed to upselling, selling doesn�t feel so overwhelming.

Make sure your upserving offer is always relevant to the customer�s needs. Offering a buyer of a latt� a book on Feng Shui tips may not be relevant and is likely to be rejection waiting to happen. But offering dessert truly offers to enhance the receptive customer�s experience.

Be more interested in being of service than in getting a commission. Always focus on offering products or services that are relevant to the customer�s needs and will arguably enhance the customer�s experience. If your sole objective is to get a commission, customers will smell you a mile away. And trust me, they will not buy.

Recognize that upservicing increases customer satisfaction. Surveys and research has found that offering products your customers might find useful is a proactive effort on your part that conclusively leads to increased satisfaction and loyalty.

Think of �up-servicing� as a proactive service initiative. When you add upservicing to your skill repertoire, you will increase customers satisfaction and grow your bottom line.

Article Source: http://www.articledashboard.com

Myra Golden is an award-winning professional speaker and principal of Myra Golden Seminars, LLC, a customer service training firm serving clients in food and beverage, banking, healthcare, hospitality, and other industries. Her client list includes McDonald�s, Johnson & Johnson, Coca-Cola, Frito-Lay, Michelin Tires, Pirelli, and Procter & Gamble, among many others. For hundreds of ideas for customer service improvement for use in customer service training, visit the customer service training resource portal by going to www.totalcustomerservicetraining.com

Sunday, March 29, 2009

Sale By Theft

I get the sense that most providers of any service have given up and resorted to guerilla tactics. What does it say about customer service when your bank charges you to deposit money, your utility or Telco will switch you to another provider with little more than the competitors request and the cost of fuel accelerates beyond parity leading up to public holidays.

We live in a world where the corporate mantra of get big or get out is nothing more than a carefully phased monopolistic statement that screams 'we don't care about you, we know who you are, you have to buy from us cos there is no where else so we will treat you as we please'. The cost of customer service is valued so poorly that it is relegated to a factory in Bangalore next to some weste financed sweat shop tuing out backpacks and dont worry you wont have to call them because they will call you at dinner time on a daily basis in broken english to pressure you into a lower cost plan that will cost twice as much as the deal you have. How do you respond to this treatment.

Never direct debit on a credit card
Get a silent number
Chu everything(but dont direct debit)

Why because loyality or retention is a something of inestimable value, but it is a two way street that the coporate world on longer understands or cares about. So treat as you are treated.

Mark Riley
Sales Director

http://www.cutter.com.au

Ten Customer Service Secrets to Win Back Customers

Recently I was facilitating an Outstanding Customer Service program and broke for lunch. Knowing that the restaurants in the area had much to desire as far as service I gave the students an extra fifteen minutes for lunch.

Sure enough a group of four students came rushing into the classroom with their lunches in hand. They sincerely apologized and quickly explained that they receive poor service at a restaurant (This restaurant is part of a national chain. Hint: its name references a day in the week. I can�t give you the complete answer.). They went on to explain that after the waiter initially took their order, they waited 45 minutes before their food finally arrived. During the wait, no one came to check on them.

They went on to explain the food finally came and it was time to leave for class. They were not happy. They asked to see the restaurant manager. The manager sheepishly came to see them and asked, "What was the problem?" One of my students explained the situation to which the restaurant manager replied, "The food ticket only shows you were waiting for eleven minutes." My students were not happy and expressed it to which the manager asked them, "Would you like dessert?" My students again expressed they were not happy. Each time my students expressed their unhappiness, the manager would say she was sorry. My students weren�t buying it. The manager then left without explaining where and what she was doing. The manager retued and told my students that their meals were free. Even though the manager gave them free meals my students said they will never go back to that restaurant or any other restaurant in that chain.

So why weren�t these customers happy? The restaurant had an opportunity to tu a difficult customer service experience into a winning situation for all and squandered it. Not only will these patrons, my students, never go back to any restaurant in that chain but how many other people will they tell about their unhappy experience? The unhappy customer, on average, will tell 27 other people about their experience. With the use of the Inteet, whether web pages or e-mail, that number can increase in the thousands, if not millions with the click of a button. However, according to the Department of Consumer Affairs, 82-95% of unhappy customers will come back if impressed and actually refer five new customers.

Let�s take a look at the ten secrets that will not only win back your customer in any situation, but have them referring new customers, but will add more money to your bottom line revenue.

1. Smile
Nothing can tu a hostile situation into position moment faster than a sincere smile. A smile that says, "I want to help you in a positive way." It communicates you are positive about the interaction with the customer. A sincere smile enhances the communication process so that you can find the solution faster.

2. Introduce Yourself as the Solution Creator
Make sure you introduce yourself, find out the customer�s name, and let your customer know your position and why you are there. This lets the customer know you are taking responsibility to creating a solution for them. You might say something like: "Hello, my name is Mike. I am the manager at this location. I am here to assist you in this situation, please tell me about it."

Notice I didn't say, "What�s the problem?" By using "What�s the problem?" you start the customer service situation in a negative note. The customer is thinking "You�re the problem," "This establishment is the problem," "The whole world is the problem," etc. By starting your conversation with "I am here to assist you in this situation, please tell me about it" you are setting up a "verbal agreement" in the customer�s mind to move to a solution. Note: If possible, please use the customer�s name throughout the conversation.

3. Listen
Customers want tell their side of the story and feel like they are only heard but you listened to them. Mentally take a step back and dedicate yourself to actively listening to the customer�s story with an open mind so that you can find a solution. In the above situation, the manager stood silently while my students were explaining their story. Be active in your listening and create empathy ("put yourself in the customer�s shoes") with statements such as:

* "I can appreciate what you�re saying."

* "I can understand how you�d feel that way."

* "I can see how you�d be upset."

* "It sounds as if we�ve caused you inconvenience."

* "What I understand the situation to be..."

Please stay away communication that alienates the customer such as:

* "I don�t know why you are so upset."

* "That�s the first complaint we ever got on that."

* "I know how you feel." (Because you don�t)

* "Boy, you�re sure mad."

In the above story, the students told the manager that they weren�t happy with the service because they didn�t have time to eat their meals. The manager, not listening, said, "Would you like dessert?" The solution was not more food. Listen for the solution!

4. Be Sorry for the Right Reasons
Be sincere in your conce for the customer and say sorry the correct way. Many time in the heat of the customer service situation we what to show some sign of conce so we do the following:

* The first words of the interaction with the words, "I�m sorry." First, you didn�t find out any information from the customer to be sorry.

* Say sorry throughout the conversation with saying what you are sorry for. When saying you are sorry, say exactly what you are sorry for.

The students, even though the manager kept repeating she was sorry, didn�t think the manager was sincere in her apology. The correct say to say you are sorry is:

* "I�m sorry you had to wait so long for your food."

* "I�m sorry that you were treated that way."

* "I�m sorry that our employee said that to you."

* "I�m sorry this situation happened to you."

Let the customer know exactly why you are sorry. The students thought the manager�s "sorrys" were insincere because she never mentioned why she was sorry.

5. Give Your Personal Assurance.
Let the customer know you will personally create a solution for them. It could be as simple as saying, "I�m taking personal responsibility for this."

6. Ask Them What They Want
One of the fears that we have when trying to satisfy the customer is that we think they want something out of our reach. Ask the customer, "What would you like you to do?" or "What would make this situation right for you?" You will be surprised that in most cases the customer will ask for less you were willing to give.

7. Use Statements of Conviction
Sure the following to gain the confidence of the customer:

* "We�re going to do something about that!"

* "We will make a change right now!"

8. Present a Clear Plan of Action
Make sure the customer knows what you are going to do to correct the situation for them. 95% of making things right for the customer is making them aware that you are taking action to make a difference for them. Explain to them the actions and timelines you need to take to make things right for them. If you need to leave or make a telephone call to obtain additional information, say:

* "Please excuse me while I make a telephone call obtain the best solution for you. This will take five minutes, can you please wait?"

* "Excuse me, I need to ask the person with the missing piece of information so that we can quick resolve this for you. Do you mind waiting five minutes?"

Note: Make sure you get back to the time customer before the time you specified. If you promised ten minutes, get back to the customer before ten minutes. Rule of thumb, double the time it would normally that to get the information. If you know it will take ten minutes to get the answer for the customer then tell the customer you will get back to them within twenty minutes.

9. Move Quickly to the Solution
If you applied steps 1-8 you are ready to give the customer the solution they wanted for a win-win situation. You can confirm this by saying the following:

* "Would this be agreeable for you?"

* "Is this the solution you were looking for?"

* "Will this make things right for you?"

10. Ask for the Business
If you did everything right this is the perfect time to ask the customer to come back and do business with your organization. You showed that you were professional, caring, sincerely, positive, and proactive. Why wouldn�t they do business with you again?

Some of the way you can say this is:

* "We would appreciate the opportunity to serve you in the future."

* "Please come back and I will personally guarantee you receive outstanding service."

* "Here is a 20% coupon. Please use it on your next visit to our establishment."

It�s important that you let the customer know that you appreciate their business and want them to come back. Remember, if you did everything right, not only will them come back but they will other people to do business with you. Use challenging customer service situations to build your business.

Ed Sykes - EzineArticles Expert Author

Ed Sykes is a professional speaker, author, and success coach in the areas of leadership, motivation, stress management, customer service, and team building. You can e-mail him at mailto:esykes@thesykesgrp.com, or call him at (757) 427-7032. Go to his web site, http://www.thesykesgrp.com, and signup for the newsletter, OnPoint, and receive the free ebook, "Secrets, Stories, and Tips for Marvelous Customer Service."

Friday, March 27, 2009

Stimulate Customer Curiosity

Want to get prospects to read all of your marketing message? Want to generate interest and motivate them to action? Awaken their curiosity!

A great example of this is the direct mail package put out by Boardroom Publications. They offer exciting news and benefits, with the page number where you can find out the details. Of course, to get to that page, you have to first order the book from them. They get lots of orders from people who want to look up the information they were teased with in the ad.

Get customers itching to know more by engaging them in these ways:

  • Make an outrageous statement that causes them to wonder about who you are and why you think that way.
  • Ask a provocative question that gets them thinking.
  • Pose a puzzle or a riddle.
  • Tantalize them with a chance to get something free, lea something new, or get something more.

Leave them wanting more, but with a call to action. Tell them how they can satisfy their curiosity by reading your book, visiting your Web site, coming to your workshop, or whatever it is you want them to do. Then, deliver what you promised.

According to the old saying, curiosity killed the cat--but it can build your success.

Cathy Stucker - EzineArticles Expert Author

Copyright Cathy Stucker. As the IdeaLady, Cathy Stucker helps authors, entrepreneurs and professionals attract customers and make themselves famous. To lea more about marketing and get free marketing tips, visit Cathy at http://www.IdeaLady.com/

Three Myths Of Customer Service

At one time or another, all of us have been aggravated by bad customer service. The complaints are familiar: the dry cleaner who refuses to accept responsibility for staining your shirt; the salesperson who talks to a friend on the phone while handling your transaction; the hotel clerk who treats you like a trespasser instead of a guest.

The list goes on. And it happens all the time. Poor customer service is so rampant in this country that we�ve come to expect it.

Maybe that explains why most disgruntled customers don�t bother to complain to organizations that don�t give them quality service, they simply take their business elsewhere. They�d rather walk than talk.

Yes, I know, you�ve heard this before. Just as you�ve heard about the research revealing that unhappy customers do talk to their friends and family. According to customer satisfaction research studies, the average unhappy customer will tell nine or ten people about the poor service he or she received. In other words, large numbers of dissatisfied customers are routinely deserting organizations that displease them and are encouraging their friends to do likewise.

It�s a familiar message. You�ve heard it, your children have heard it, your dog has heard it; for the past few years everybody has heard it. Service excellence! That�s what consumers need!

Companies have certainly heard it. All sorts of organizations are striving to improve their customer service orientation. Hotels, hospitals, airlines, and online businesses now flood their customers with service quality surveys. Everywhere you look you see customer-contact people with service theme buttons on their lapels. Companies spend millions on training programs aimed at improving their employees� service skills. Customer service has been woven into the fabric of so many corporate credos you�d think abrasive employees would be an extinct species by now.

Yet despite all of this, only a handful of organizations have managed to achieve a standard of consistently excellent service. For some reason, it just isn�t as easy as it sounds.

I think the problem is this: A lot of companies operate on the basis of some pervasive myths that make it difficult if not downright impossible, to achieve first-rate customer service.

1. The quality myth

�Pay attention to quality, and customer service will take care of itself.� Many organizations focus a lot of effort on manufacturing quality. Quality gurus like W. Edwards Deming, Philip Crosby, and Genichi Taguchi have helped hundreds of companies use techniques such as statistical processes control to increase the quality of their products dramatically. But these efforts are often thought to be the sole answer to remaining competitive.

Reality: Quality and service are interdependent. It�s impossible to describe quality adequately without considering it from the customer�s point of view. If your product can�t do what your customer wants it to do, it doesn�t matter if your engineering department is proud of its innovative design and your manufacturing department can boost a terrific production record.

Even if you measure product quality from the customer�s point of view, however, that alone does not ensure customer satisfaction. A superbly manufactured product with poor sales and service support will breed aggravated customers. How many products have you vowed never to buy again because of the poor service you associate with them?

Organizations that pursue quality improvements as the answer to all their problems are misguided. It is only part of the answer. Without superior customer service, efforts to improve product quality will be wasted.

2. The complaint myth

�Good customer service is a matter of knowing how to handle complaints.� �Call 800-111-2222 or contact us at www. customerservice.com if you have any complaints.� �Let us know if you�re unhappy with your room; we�ll change it.� �Please fill out this form. We want to hear from you.�

Companies have poured millions of dollars into making sure their customers have a chance to complain, complain, complain. The problem is, many of these companies never make strategic use of the complaints. And more often then not, they fail to provide complainers with satisfactory responses.

Reality: Without resolution, or at least some response, customers� complaints are just so much hot air. A company that focuses solely on complaint handling may win a few battles, but it will lose the war to keep customers satisfied. And this approach is no solution for the great majority of dissatisfied customers who never complain, but simply walk away.

Superior customer service involves much more than handling complaints. It means striving to provide customers with no reason to complain in the first place. Strategies aimed at consistently meeting and exceeding customer expectations are a must for achieving service excellence.

None of this suggests that you can forget about complaint handling, but it must be an integral part of a broader service strategy. Well-managed companies see customer complaints as a way to lea: What lesson can we derive from this complaint that will improve our service in the future? Successful companies also see complaints as opportunities to impress customers by going to any lengths necessary to resolve the situation to the customer�s satisfaction. In other words, successful companies pay attention to complaints, but dedicate most of their efforts to preventing whatever caused the complaints in the first place.

3. The quick-fix myth

�Good service is simply good common sense.� Many organizations try to take the easy road to improving service. They believe that by adopting a new service policy, introducing a new training program, or giving stirring pep talks to their employees, they�ll become known for their excellent service.

Reality: This is the most lethal myth of all. As we�ve seen, it�s not easy to achieve service excellence. There are no shortcuts or quick fixes. Organizations that build their reputations on service do so by observing not just one, but every �reality� there is to providing excellent customer service.

Good training without adequate selection is a waste of time and money. Carefully selected and well-trained service employees who are not empowered to look for ways to improve customer service quality are a waste of precious resources. Good service comes only from a well-executed, coherent strategy. All the pieces of the puzzle need to be in place.

The way we treat customers, listen to their needs and strive to meet their expectations will make the critical difference. We can continue to perpetuate the myths. Or we can face the realities, and take action to change.

Copyright� 2005 by Joe Love and JLM & Associates, Inc. All rights reserved worldwide.

EzineArticles Expert Author Joe Love

Joe Love draws on his 25 years of experience helping both individuals and companies build their businesses, increase profits, and achieve total success. He is the founder and CEO of JLM & Associates, a consulting and training organization, specializing in personal and business development. Through his seminars and lectures, Joe Love addresses thousands of men and women each year, including the executives and staffs of many of America�s largest corporations, on the subjects of leadership, self-esteem, goals, achievement, and success psychology.

Reach Joe at: joe@jlmandassociates.com

Read more articles and newsletters at: http://www.jlmandassociates.com