Customer service is a crucial part of any business that is often overlooked by established companies. With many automating the process to cut the costs, there is often a personal touch that is missing from the whole process, thus leading to many taking their business elsewhere. Because of this, many businesses are making the effort to revert back to traditional methods to drive sales and online conversions but is customer service really important? In this article, we will be providing you with insight into the importance of customer service for your business in 2020.
Maintains Customer Retention Rates
Customer retention is oftentimes significantly cheaper than customer acquisition, therefore it is important to keep your customers. Customer service can help you to achieve this as they can provide insight into orders as well as answer any questions about services. This is key to a business as a highly-skilled customer service team will keep customers happy and keep them coming back. This will allow you to cut costs on marketing and still see an increase in monthly revenue.
Happy Customers = Higher Conversions
Conversions online are ultimately the end goal of e-commerce, but when people have a bad experience with your company this can harm conversion rate. Whether this is a bad review by word of mouth or over social media, this can all affect the success of your business. Therefore, using customer service online and over the phone can help to prevent negative reviews and answer all questions quickly. This will prevent you from noticing the negative impacts and will likely increase the chances of brand loyalty as it continues to expand. This is beneficial in the long term as this will allow for insight even when customers opt for the use of send international parcel services.
Showcase The Brand In The Best Possible Light
Your brand identity is paramount at every stage in its life and therefore customer service should mirror this. It should be in line with the ethos of your brand and should treat customers with the utmost respect. The more positive the interaction with a customer service team, the more likely people are to continue using your business frequently. This can see an increase in conversions online or an increase in footfall to a physical store. This will benefit you in the long term as you can begin to grow your business with an ethos that you and your employees follow.
Customer Service Increases Customer Lifetime Value
Customer lifetime value is a crucial part of business as this will determine the number of funds the customer will bring to your business. It is proven that customer service can help to increase the lifetime value of the customer as this will aid in keeping them using your company for a longer period of time. The more helpful and responsive your customer service team are when helping with enquires, the more likely the customer is to keep returning to your company. This is particularly useful for smaller businesses as they are then able to use this customer acquisition to grow the business over time.
With this being said, there are a number of reasons why customer service can benefit your company throughout its lifetime. Though it may seem like an expensive upfront cost, this will increase the longevity of the business and strengthen the relationship between you and your customer base.