Posts Tagged ‘Customer Relationship Management’
Customer Relationship Management Around the World
Monday, January 18th, 2010The Genesys study I cited on Jan. 15 also has a version that includes 16 key countries, measuring customer satisfaction and the cost of customer dissatisfaction, and outlining some possible solutions to keeping customers and keeping them satisfied. The main purpose of the study is to continually gain perspective on the changing nature of customer service as well as consumer perceptions of it. This shapes the way companies deliver great customer service.
Surveys were conducted in the following countries: Australia, Brazil, Canada, China, Czech Republic, France, Germany, India, Italy, Mexico, the Netherlands, New Zealand, Poland, Russia, the United Kingdom, and the United States. Enterprises in these countries (combined) lose an estimated USD $338.5 billion each year due to defections and abandoned purchases as a direct result of a poor customer service experience! Nearly 70% of those surveyed had ended at least one relationship due to poor customer service.
Consumers in Poland, China and Mexico have the largest number of interactions per year with customer service. In countries that have fewer interactions, the responsibility to make each interaction count positively is much heavier on the company.
Amazingly, there are three common threads to the demands of those surveyed. The first two are somewhat related.
“Don’t ask me twice.”
Consumers want better integration between self-service and assisted service, including voice self-service and eServices. They want to be able to start in voice self-service or the Web and get live assistance from an agent, and to start in e-mail and have better integration with agent-assisted service.
“Treat my interactions as a conversation.”
Consumers are demanding the ability to communicate across multiple channels. More than 40% said they would like to see companies deploy at least one new channel of communication with all channels being fully integrated.
“It’s okay to give me a call or ask me if I need help.”
When they are stuck on the Web or in self-service, 86% of consumers said they would find proactive engagement either a “strong benefit” or would see it as “welcome assistance.” The most frequently cited reasons for poor service included being trapped in automated self-service, being forced to wait too long for service, repeating themselves, and dealing with representatives that lacked skills or training to answer their inquiry.
As might be expected voice (by phone with an agent) is still the number one choice of method to solve a problem. However, e-mail and web combined now overtake voice, especially if the communication channels are well integrated.
Consumers overwhelmingly want more proactive outreach, with more than 83% calling it a “strong benefit.” This is the strong suite of customer relationship management software.
They want an easy to use interface for reporting or following an issue. And they want continuity from one channel to another, so that everyone is updated on what has been said and done.
Customer Relationship Management and The Company Web Site
Monday, January 4th, 2010Customer Relationship Management and the Company Web Site
The cornerstone of any company’s customer relationship management (CRM) is its own web site. The journey may be started by the customer on a smart phone, a desktop computer, or any one of a variety of other media, but the first point of contact is through the company web site.
Did you know:
- Over 90% of all consumer purchasing decisions begin online?
- 83% of customers use company web sites for service info?
- 4 out of the top 5 reasons for abandoning a web site relate to “couldn’t find the information I was seeking“?
Those facts should cause you to want to look at your own company web site through the eyes of a customer and ask some critical questions. Businesses can and should strive to differentiate themselves on service that involves the use of the internet. The experience of the customer should be consistent through all channels and it should be productive, informative, and in line with their expectations. Site design and static FAQs are two of the biggest roadblocks to effective Customer Service Management.
Site Design
Many web sites are not designed with a clear customer focused approach. As a result, customers and potential customers struggle with navigating the site, finding enough information, finding updated information, or sorting through all the links and FAQs. From the home page, a customer ought to easily find pages for contact us, help, FAQ, instant answers or chat, various types of support (hardware, software, parts, or whatever your company offers), and a variety of pages of information on products (or services) and what they are, how they work, how to get a demonstration, where or how to purchase them, etc. Make the links obvious and easy to navigate.
Static FAQs
Many FAQ systems are simply a web page of questions and answers formulated at least 5 years ago which are not really “Frequently Asked” or relevant to any questions the customers really have today. At least 1/3 of customers are looking for a single accurate response to a specific question or an advanced FAQ tool that will return an answer or a link to their question. At the very least, FAQs should be updated every 6 months with the real questions that are being asked and the real answers to those questions.
The most cost effective communication medium is the internet. It is not surprising that it is also the quickest communication medium – but that is only when the information being sought is easily available. Remove the roadblocks of ineffective site navigation and static FAQs and you will see your customer satisfaction soar.
Successful CRM is Web-Based Customer Relationship Management Software
Friday, October 16th, 2009Customer relationship management reigns supreme today. Customers are now in charge of the buy-sell relationship. They have the attitude of “do it my way or I will find a company that does do it my way.” Customers are internet savvy and use the internet to research products and companies and compare features and benefits as well as pricing. Thus, there is little loyalty to a brand if they find one with more features or a better price.
Product life cycles have accelerated. There is increased pressure for innovation. And decreased time between design and production. Meanwhile, companies are hard-pressed to bring in more revenue from potential and existing customers.
That means that companies need ways in which to access and view customer information. And managers need to find new ways to give employees better access to customer and supplier information.
Web-based Customer Relationship Management software allows a company to take full possession of all their customer information including notes that sales reps have traditionally made in notebooks, on cards, or in personal PDAs. This provides continuity and makes the data visible and accessible not only to the incoming sales reps but the entire enterprise as it may be needed.
CRM is a competitive tool, a key method for gaining a competitive edge in the game of winning and keeping customers. The success of the web-based CRM software is dependent on everyone in the company embracing it and understanding that it will make their lives better and simpler.
When the CRM software is web-based, it
- creates the same structure enterprise-wide
- ensures accountability
- creates and maintains history
- forces collaboration adn accountability
- provides visibility.
CRM Software Should Benefit the Customer
Wednesday, May 20th, 2009When implementing CRM software, many companies forget what the “C” is for – Customers. Companies are so busy focusing on gains in efficiency and tracking the numbers that they forget that without customers, there is no business. If you don’t take care of customers and grow the customer relationship, there is no reason to make investments in employees, products, office equipment, or technology. Without customers, there is no reason for the product or service. Does your customer define your business? That is the way it should be.
What is the purpose of CRM software? Let’s see. I think that is part of the title: Customer Relationship. But what is the relationship of the customer to your company? Customers make a purchasing decision – often based on the relationship your company had with with friends and colleagues. Ever think about that?
Customers drive the price of your product or service – either up or down, depending on how valuable they perceive it to be. Ultimately it is the customer that decides when, how and how much to interact with the company. It is the customer’s image of the brand that creates the brand.
The third word in CRM is management. Up to now it appears the customer manages the relationship, but the company needs to take some control. The company can and needs to develop strategies to enable the company to work in an ongoing fashion to improve its ability to start, continue, and improve its relationships with its customers.
By putting the Customer first in Customer Relationship Management, the company elevates the customer and his role in the business. By putting the customer first, the company becomes customer-centric and begins to ask questions of their customers and potential customers and listen to the answers. The company gets to know real customers with real needs and not some contrived profile of the ideal customer. From this, the company creates real answers.
The result is amazing. Improved customer satisfaction leads to customer loyalty. Revenues grow. Employees become more production and more satisfied. And the costs of lead generation, customer acquisition, marketing, and sales decrease.
Where does CRM software fit into this picture? The right CRM software enables the company to re-evaluate its priorities and re-shape its processes to fit its goals and its customers’ expectations. It empowers employees to better serve the customer. And it captures all those things that the customer says as well as how the company responds.
CRM is Not a Software Package
Monday, April 13th, 2009Since companies must have customers to survive, it is not a surprise that customers influence the way companies conduct business. Every company faces the challenge of how to effectively manage interactions to best serve customers and prospects while staying aligned with evolving business goals, including growth and profits. The customer-centric companies achieving the greatest success today use flexible customer relationship management (CRM) solutions to manage the customer-facing processes of their business and implement their customer-centric vision.
CRM is not a software purchase; CRM is a strategy. Business strategy and technology must work hand in hand to bring a customer-centric plan to fruition. Companies must develop CRM strategies that make customers (more than products, processes or profits) the focal point of their business. They need to build value through stronger customer relationships. CRM must take its direction from the company’s business goals and align those goals with the company’s customer-facing channels and processes. Developing a CRM strategy demands an understanding of the market, industry and customer.
CRM must fit the way you work today – and tomorrow. New software should fit the way you work and the way you want to work tomorrow. It should not force you to change the way you work to fit with the software. A rigid software causes resentment and frustration among employees, causing delays in implementation and full adoption. Changing the way you work in unplanned ways will change your effectiveness with your customers. The software should not take aware the uniqueness you have worked so hard to create. The right CRM software should enable your well-honed processes more adaptable rather than more rigid.
CRM must have pre-defined objectives and measurable methods by which to assess its ability to meet those objectives. To determine the impact of CRM on your organization, baselines for key business measures need to be established. Comparing actual results to established metrics will enable you to determine how effective your CRM strategy is.
CRM is not just about the software package, but is much more about the company that makes it. That company should become a partner with your company. They should offer various support services for the full length of time you use their products. They should be committed to helping you when it is necessary to upgrade, modify, or add to the initial CRM package. And they should be responsive to your company’s special needs and concerns. It will be advantageous to you to work with a company with experience in your industry.
CRM does not need to be risky if the appropriate background work is done. A flexible, adaptable CRM deployed with a well-thought-out strategy should be the foundation for CRM success today and in the future.
About VITO and CRM
Wednesday, April 1st, 2009I picked up the book Selling to VITO (The Very Important Top Officer) the other night. It has languished in my library for many years along with 500 or so other books, and it reminded me of some of the issues we forget from time to time. Anthony Parinello reminisces about a meeting he had with a client where he had 10 minutes to make a presentation. Upon entry, he noticed the picture and name of a racing boat the VITO had behind his desk. He asked a pertinent question about the boat, and the VITO spent the next 10 minutes talking about his favorite subject. Then excused himself and left! Parinello states that he lost the sale to a competitor that sold the VITO the exact same brand unit he was touting. And so, the morale of the story is….don’t waste time with small talk….until after the presentation. Leave the VITO with a pleasant experience talking about something that is important to him/her. BUT, get your presentation in first and foremost…After all, CRM may be about Relationships, but it has more impact WHEN you WIN!
Customer Support: How To Communicate Effectively With A Complaining Customer
Tuesday, March 24th, 2009Handling any sort of conflict requires you to draw on all your resources. In particularly your communication skills. The reality is that we all have many communication skills but don’t always use them effectively and certainly we do not take the opportunity to improve them as often as we should
We relate to people on two levels:
Consciously: when we carefully select our words, gestures and behaviours.
Subconsciously: when unknowingly we send out subliminal messages. These often have the most impact on people and can make them feel uncomfortable
Listening Skills:
There are two aspects to communicating: receiving and sending messages i.e. it is a two way phenomenon.
Would you say you are a good listener? Consider the following questions:
• Do you have a tendency to interrupt or finish other people’s sentences?
• Do you find yourself losing patience or concentration?
If so, you need to work on your listening skills. Or:
• Do you stay focused when another person communicates with you?
• Do you make notes, give good feedback and demonstrate that they have your full attention?
Showing people you are listening by nodding and asking questions is a good way of demonstrating that you are taking them seriously and interested in what they have to say.
Listening Skills:
Listening, however, is a difficult task for most people. It requires us to:
• Block out all distractions
• Be observant – use eyes and ears more than mouth!
• Keep an open mind and not be judgemental
• Stay calm, not rising to any bait
• Keep all personal prejudices at bay
• Listen all the way through
• And also listen for what is not being said – read between the lines.
Language:
In difficult situations most people are careful to choose their words by avoiding:
• Inflammatory language, e.g. “That’s impossible, no one else has complained about that”
• Criticism, e.g. “You should have contacted … dept”
• Swearing, e.g.!!**?*!!
• Insensitive language, e.g. “It’s not designed for people over XXX kilos”
• Negativity, e.g. “It’s not possible- we can’t do that”
• Overbearing, e.g. “It absolutely must be returned by …”
Non-Verbal Language:
Inappropriate words can hurt or incite anger in another. However, it is not the most powerful form of communication. According to the experts the breakdown is a follows:
Language: Words used etc 7%
Voice: Tone, pitch etc 38%
Visual: Gestures, facial expression etc 55%
This is particularly true of communication relating to emotion. Positive language delivered in an abrasive or monotonous voice will have a negative impact. We’re more aware of how people say things than what they say.
Body Language:
Body language is understood by most people in business today. Inappropriate facial expressions, posture, sharp movements can make a situation much worse.
As a brief reminder. If you want to keep your unhappy customer calm, avoid:
• Putting up barriers – folded arms, glaring, hiding behind folders or a desk
• Aggressive gestures – finger pointing, posturing, hands on hips, feet apart
• Showing you are bored or irritated – foot tapping, sighing, looking at the clock
Stay relaxed, use open gestures; make good but not excessive eye contact. Even when you are talking on the telephone, these gestures can communicate through your voice. Be careful
Staying Positive:
Why is a positive style of communication helpful?
• It helps to keep everyone calm, including you
• Taking control of your actions gives you time to think, observe and stay objective
• It helps to prevent the situation from becoming worse, which would only give the customer something else to complain about
• It helps to counteract aggression – it’s difficult to shout at someone who is calm and controlled
• You are continuing to act in a professional manner, on behalf of the company, no matter how you might feel about the situation and the customer, it is important to remember that you are an ambassador.
Telephone Communication Skills:
One of the biggest disadvantages when trying to resolve a complaint with an angry customer over the telephone is the heavy reliance on language and voice. The phone is a sensitive instrument and people pick up on sighs and irritation. They also know whether or not you are eating, drinking or smoking. But they can’t see your face and have no idea whether or not you are taking them seriously. You can:
• Smile into the phone – it makes you sound friendly and caring
• Give plenty of verbal feedback to let them know you are listening; it’s no good nodding unless you have a video phone!
• Paraphrase and summarise to ensure you have fully understood
• Press the silent button if you need to confer with someone in the office, no one likes to hear themselves being talked about.
• Try to create an atmosphere of trust and sincerity – they need to know you’re not just saying anything to get rid of them
Written Communication:
When you only have words to play with, you have to make them work for you.
Whether you are writing a letter, sending an email or even a text message by phone, attention to detail is essential.
You never know who is going to see your written communication. It can always be used as evidence so you need to be clear, concise and correct.
Presentation speaks volumes and will go a long way to portraying the sort of company you are. Spelling, syntax, positioning of words all count.
Most importantly, make it a rule to reply as quickly as possible. Customers want a speedy response; at least, to their problem even if it takes a bit of time to sort out a solution. Days, even weeks, of silence will just make them more frustrated!
In Summary:
Successful organisations welcome complaints, because it usually means that the customer wants to reach a resolve, they do not want to go elsewhere. Often, our efficiency in dealing promptly, sympathetically and fairly with a complaint will actually strengthen our relationship with the customer.
At the end of the day customers expect us to deliver the “Five Rights”:
The right product
At the right price
Delivered to the right place
At the right time
In the right way.
Not too much to ask for is it? In return we can expect their loyalty and repeat business but we must always work to earn the right to that business.
The moral right of the author, Jonathan Farrington, has been asserted.