What ever happened to good ole customer service?
February 22, 2012
A recent study by the Temkin Group showed that employees of smaller companies are 30% more engaged than those at larger companies. As companies grow they struggle to compete with the quality of customer support and satisfaction that their smaller competitors provide.
Here are a few interesting statistics about how customer service can impact the bottom line:
- A dissatisfied consumer will tell between 9 and 15 people about their experience. About 13% of dissatisfied customers tell more than 20 people. ~ Source: White House Office of Consumer Affairs, Washington, DC
- It takes 12 positive service experiences to make up for one negative experience. ~ Source: “Understanding Customers” by Ruby Newell-Legner
- Companies that make customer service a high priority see twelve times the return on sales than those companies with a low emphasis on service. ~ Source: International Customer Service Association
Studies show that it costs 6 – 7 times more to gain a new customer than to retain an existing one. Smart companies are refocusing on customer service because they can see the value but many have not. In the end the customer will have the last say.
Chief Operating Officer
Reuven Capital Investments
“This Blog is for the purpose of sharing of personal opinion and should not be construed in any way as advice. The information contained in this report or information provided does not purport to be complete description of the securities, markets or developments referred to in this material. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. The contributors to this blog and or their affiliates may directly or indirectly have active positions in the securities that are mentioned. Expressions of opinion are as of this date and are subject to change without notice. This information is not intended as a solicitation or an offer to buy or sell any security referred to herein. Past performance may not be indicative of future results. Ron Reuven is a registered principal of Reuven Enterprises Securities Division, Member FINRA/SIPC & Licensed MSRB Dealer, a fully owned subsidiary of Reuven Enterprises Inc. and is President & Managing Partner of Reuven Capital Investments, LP (long/short equity hedge fund).”