6 Ultimate Benefits of Customer Service Management

Are you focused on customer service management? It’s not uncommon for business owners to be overwhelmed and forget about your most important job – your clients.

Research shows that a 5% bump in customer retention boost profits from 25-95%, depending on the industry. Research also shows that it costs five to seven times more to acquire a new customer than retain one, and on average, loyal customers are worth up to ten times their original purchase.

Clearly, boosting customer retention makes economic sense.

But how do you do boost retention given today’s consumers? The most cost-effective way is to boost retention is to deliver epic customer service.  Installing a customizable dry-cleaners POS computer system in your business, for example, helps pump up customer service while increasing productivity and efficiency.

More importantly, it lets you offer new services that meet consumers’ needs—services like routing and delivery, easy online payment options, and faster check out times. These are all things customers want—and expect—from today’s retail business. Give consumers what they want and demand and they’re less likely to bolt.

Boosting Service Increases Retention

But increasing customer retention is only one the many benefits of providing better customer service management. Below are several more:

  1. Builds brand loyalty — A recent study by Forester indicates that emotion builds brand loyalty, and the secret to driving emotion is personalized customer service. Once customers establish a connection with you, they tend to keep coming back. But you need to return the favor with epic customer service.
  2. Increases word of mouth advertising — There’s nothing better for your business than word of mouth promotion. And satisfied customers—made happy by unforgettable customer service—spread the word. Word of mouth, says research, boosts marketing effectiveness by 54%. When the quality and credibility of your service is evident, customers tell their friends.
  3. Improves cash flow — In addition to boosting profits, unforgettable customer service drives cash flow. That’s more money to pay lenders, hire more workers, invest in technology like a dry-cleaner POS computer system, or re-model storefronts. In other words, improved cash flow helps you expand your business.
  4. Reduces employee turnover — Providing epic customer service doesn’t just make customers happy, it also makes employees happy. No one wants to deal all the time with customers upset by waiting in long waits, billing mistakes, lost clothing, and so on. That negativity rubs off on employees. Creating a positive work environment through better customer services often leads to job satisfaction. That, in turn, cuts down on employee turnover and helps cut costs.
  5. Boosts differentiation — Providing unforgettable customer service is also a differentiation among businesses. It differentiates you from the rest of the dry-cleaners out there not providing the kind of personalized service that today’s customers want. Customers today want what they want when they want it, and how they want it. If you don’t provide it, they won’t hesitate to bolt.
  6. Combats higher prices — Providing unforgettable customer service can also help you combat high prices. As a small business, you may not be able to charge the same low prices than chain-store type operations can. Customer service is the equalizer. The Small Business Success website says businesses can charge up to 9 percent higher for their product and services if they provide memorable customer service.

These are just some of the key benefits you get with better customer service management. It’s no wonder that more and more savvy companies are opting to boost customer service levels.

Enhancing Customer Service Management

But enhancing customer service management using technology is only one half of boosting customer services. The other half is creating a customer-centric atmosphere throughout your business. Below are seven best practices that can help you do that:

  • Know your customer — Collecting business information on your customers can help you better understand their preferences and behavior.
  • Engage customers more — Engaging customers by providing things like time-limited offers or following up them either after they’ve used your service can help you the kind of feedback you need to enhance services even more.
  • Personalize customer experience — Establish one-to-one relationships with customers that are highly personalized, like providing them easy access to a complete history of their purchases or picking up and delivering laundry to save them time.
  • Empower your salespeople — Improve the customer experience in storefronts by empowering salespeople with the right set of tools, such as in-depth customer information when they need it.
  • That can help them make decisions faster and resolve problems quickly.
  • Join the mobile revolution — More and more customers are becoming connected through mobility. Join the revolution by providing better customer service reps with better sales tools, such as mobile couponing, promotions, and service recommendations.

These six best practices can help you boost customer service at your dry-cleaning business starting right now. Better customer service provides numerous benefits that you just can ignore, including reducing turnover, cutting training costs, and increasing customer retention, which leads to higher profits.

Customer Service Management Meme

More importantly, better customer service management can differentiate you from your competitors. And that can keep you going through tough times when your competitors are folding up and going out of business.

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