Don’t cut here!

The U.K based The Retail Bulletin reports that one in three organizations will cut customer service training in order to save money. This is not good news for customers or for the organizations.

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The Institute for Customer Service, also based in the United Kingdom, conducted the study reported in The Retail Bulletin.  It found the following:

Companies with a reputation for service excellence and committed frontline staff have a 24% higher net profit margin than same-sector rivals who do not enjoy similar standing, and can achieve 71% more profit per employee.

The article goes on to say:

Jo Causon, the Institute’s chief executive, believes it is dangerous to see training as the place to cut costs because in the current climate there is more competition for customers than ever.

Customer service is a skill, and when it is practiced well, it results in customer satisfaction and retention. If your company is looking to retain customers, it is important to invest in teaching customer service skills.

Just yesterday, we tried resolving a problem with the phone company. The tech support person was clearly working on a skill, and when faced with a problem he couldn’t resolve from the script he turned to blame us. Not good training because it alienates the customer.

There is no doubt in our minds that proper training can improve customer service and in that way, the bottom line. Your thoughts?

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