Customer Service Matters

Too many times companies fail to consider the impact of customer service decisions. It seems that many believe that doing what is expedient, rather than taking care of their customers, is the best choice. We have had numerous examples of that in the airline industry lately.

Have you looked at your service from your customer’s point of view? It could be that decisions are being made that will have a lasting impact on your business.

A Tale of Two Companies

I am going to relate two examples of customer service where I was the customer. Both of the examples have similarities, but the difference in customer service generated two very different reactions.

The Good

The first example occurred more than 15 years ago, and I still remember and talk about it. I took my car to a local mechanic for an oil change. After draining the oil and reinstalling the drain plug, the mechanic forgot to add oil. The engine failed about a mile from the dealership.

You may be wondering why I called this the good. It was the mechanic’s response that made this a positive experience. He immediately dispatched a towing company and towed the vehicle back to his shop. He provided us with a loaner to use. He then rebuilt the engine two times, neither of which worked. He then purchased a used engine and installed it, restoring my vehicle to service with an engine that was much newer than the original.

The way the mechanic handled the situation made me a customer of his for the remainder of the time I spent in that state. Every dollar I spent on vehicle maintenance went to him. I constantly recommended him to everyone I knew.

The Bad

I recently purchased a new tractor from a local dealer. When it came time, I had the dealer perform the service. I paid significantly more for him to do it at my location, since I didn’t have any way to take the tractor to him.

When I got the tractor back, I used it for several days before discovering that a drain plug was missing from the front axle. I notified the dealer, and he said that they didn’t have the plug in stock, but he would order it and I could pick it up the following week. This did not sit well with me.

I called the owner of the company several days later and reviewed the situation. I pointed out that I do not work on my tractor and so his mechanic either must have failed to install the plug, or did not tighten it properly. He said that in that case, he would give me the fluid and the plug free. I found his reaction surprisingly inadequate. I had paid for on-site service, and now he required that I drive to his location, pick up the materials, and install them myself.

This was an extremely shortsighted decision. I will never recommend his dealership to anyone. All of my future business will go to another dealer. If I upgrade my tractor, it will be with another dealer. All because he failed to do what was right. It would have cost him maybe $50.00 in time and mileage to send his mechanic to install the plug. His failure to do that will cost him many thousands of dollars in service on my tractor.

Additionally, I will tell everyone I know who is looking for a tractor about his poor customer service. Did you know that the average happy customer tells from four to six individuals about their experience, while an unhappy one tells fifteen to twenty? Your customers have contacts, and they will share their experience with them, whether good or bad.

Conclusion

I am encouraging you to review your customer service policies and methods to see how you would respond in a similar situation. The equipment you sell will fail. The technicians that you hire will make mistakes. All of your customers know this. Your response to these failures can define who you are as a company.

It is important that all your employees know and understand the value of a customer to their and your company’s future. Happy customers tend to stay, and unhappy customers leave and warn others about you. By proactively caring for your customers and taking responsibility for your mistakes, your company will benefit in the long term.

For a more thorough discussion of the value of a customer, I recommend Customers for Life, by Carl Sewell.

Ken Edmonds
About the Author
KEN EDMONDS is the owner and founder of 22nd Century Management, which helps managers in the service industries learn the skills they need to successfully lead their teams, exceed expectations and provide outstanding customer service. An Air Force veteran whose background includes owning a copier dealership and working as a service manager for other companies, Edmonds also spent 18 years working for manufacturers as a district service manager. He’s helped dozens of service managers incorporate cornerstone methods to enhance their success.