The Customer Service Hall of Shame

By Barbara Bartlein

Businesses are struggling and profits are down. You would think that companies would be trying harder to increase customer loyalty through excellent customer service. Wrong. Customer service is worse than ever according to MSN Money. In a nationwide survey commissioned by MSN Money and conducted by Zogby International, the scores for the Hall of Shame companies are, on average, down from a year ago.

The company that was the bottom feeder in customer service was Time Warner’s AOL. Over 47% of people who had an opinion of AOL’s customer service said it was “poor.” “I don’t know what to attribute that to,” AOL spokeswoman Dori Salcido said. “I just do know that we continue to improve customer service.”

It is clear that Ms. Salcido never tried to terminate her AOL account or she would know what some of the complaining is about. It takes an hour or more of routing from one agent to another as they insist you owe for another year even though there is no contract. Several customers reported being sent to collections for bills they did not owe.

But AOL is not alone on the list. Most of the Hall of Shame companies are communication companies and banks that provide technical and complicated products. The Hall of Shame companies includes:

1. AOL
2. Comcast
3. Sprint
   
4. Nextel
5. Abercrombie & Fitch
6. Qwest
7. Capital One
8. Bank of America
9. Time Warner Cable
10. HSBC Finance
11. Cox Communication
    

Responses from the companies offered little explanation for their poor showings with executives citing sheer size as the issue. “I think we’re the victim of our own success, in that we’re growing so rapidly,” said Rick Germano, the senior vice president of national customer operations for Comcast. “People are choosing to get Internet and cable and telephone with us, and that’s where we’re playing catch-up on the customer-service front.”

The companies on the other end of the survey including Nordstrom, American Express, and Marriott had few marks for poor service. All three have a history of investing in customer service training to earn lifelong, loyal customers who cost less and pay more. They know that it is easier and more cost efficient to keep loyal customers than constantly replace them.

Smart businesses make customer service their primary focus especially when business is sluggish. This is when customer loyalty can make the difference between a slow and profitable year. Every person in the company should be trained on the following:

• Greeting customers promptly and courteously. A friendly, helpful attitude is a must. Acknowledge the customer immediately even if there is a wait. Most people will be patient as long as they are not treated as invisible.
  
  
• Making the first contact count. Answer questions, solve problems, and give information on the first contact. Customers become frustrated when they are routed to multiple people, have to contact different phone numbers, or the company representative simply can’t help them.
  
  
• Listening with understanding. Yes, I know you have heard it all before, that is why it is so hard to really listen. But, listening is the key to exceptional customer service. Give the customer a chance to vent and ask questions. This confirms your listening and keeps you focused.
  
  
• Helping customers with answers and action. If you don’t have the answer, personally contact someone who does. Show the customer that you will take action on their behalf. Few things are more frustrating than calling for service and never getting any help.
  
  
• Honoring commitments in a timely manner. Keep your promises. If you said you would get back to the customer, make sure you do it. If you say you are going to send something, follow through the same day.
  
  
• Not using the “P” word. No one really cares about your “policies” and “procedures.” Citing them sounds like an excuse, not an answer. Customers want service and they want it fast and efficient.
  
  
• Making it easy for people to do business with the company. It should be simple to contact you, get information, and buy. Update your Web site and take all forms of payment. Today’s customers expect to get information and shop online.
  
  
• Turning complainers into company advocates. There is no better opportunity to create a loyal fan than when you deal with the angry or complaining customer. Fix their problem and then give them something free for all their trouble. They will remember the extra effort.
  

Keep your company off the Hall of Shame list by focusing on the service you deliver. Focus everyone in the company on building customer loyalty for long term success.

Barbara Bartlein is The People Pro and President of Great Lakes Consulting Group. She offers keynotes, seminars and consulting to help you build your business and balance your life. She can be reached at 888-747-9953, by email at barb@thepeoplepro.com or visit her Web site at www.ThePeoplePro.com

Published Networking Today September 2008