What is the value of customer service?

value customer services

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Contents

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Contents

Customer service is the direct interaction between the company and the customer. It entails various means of communication, be that support, client engagement, or company updates, and can be exercised both in-person and through the company’s media platforms. Nowadays, such multilateral and proactive cooperation with the customer is considered as one of the backbones of businesses and their performance.

1. What is customer service and its importance?

Making sure the company’s customer service is engaging, constructive, and of utmost excellence on its every stage is key for existing customers to feel content and for the business to develop prospects for sustainable, long-term growth. With customer expectations rising significantly, it is therefore essential that your customer service team goes above and beyond while completing their daily tasks and is willing to put in that extra effort every step of the way.

Providing your loyal customers with reassurance in the company and its support system also plays a crucial part in making your company stand out from the competition. Creating a successful relationship between the company and its customers through customer service and proactive engagement allows them to develop trust in your team to take care of their needs and desires. After all, customer loyalty cannot be replaced.

2. What are the values of customers?

Considering 86% of customers admit they are willing to pay more for excellent customer service and would want to continue cooperating with companies with such strong work ethic, it is essential to keep the values of customers in check, as well as to monitor the customer service team performance and aim for constant improvement. Tracking the company’s customer satisfaction rates can be done by using the Customer Value formula.

The formula of Customer Value is a customer service measuring method, destined to help determine whether the customer support received from the company aligns with how much the customer paid for the service initially. The method of calculating Customer Value is based on a simple formula comparing the ratio between customer benefits and customer costs. It is thus very important to regularly collect and update all customer data, to make performance tracking the most accurate and effective.

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How to calculate the value of customer service

Customer benefits are provided by the company and are ingrained in the concerned product or service and the customer’s personal experience with the process. The most important customer benefits to identify and analyse are:

  • – product/service quality
  • – support accessibility
  • – customer service team proactivity
  • – a unique approach to the customer
  • – the company’s reputation

Customer costs do not always have to be monetary or even tangible – they can be rather defined as the time, energy, and efforts the customer puts into the product or service. In fact, as much as 70% of customer costs is based on how the customer is treated and what they feel along the way. Examples of the types of costs the customer might bear are:

  • the initial financial cost of the product/service
  • installation costs
  • maintenance and potential renewal costs
  • time invested in researching the company’s product or service prior to buying
  • time spent understanding the product or service
  • any physical and emotional stress along the way
  • poor customer service and weak reputation

Although the value of customer service will vary depending on the type of the customer, their particular needs, and expectations, the Customer Value formula comes down to evaluating and redefining customer experience.

3. A few examples of good customer service

Personal service

Showing kindness and care through customer communication not only takes the customer service experience to a much more personal level but also makes customers feel more valued and supported. Personal support can be shown in a variety of ways, from regularly asking about feedback, keeping them updated with evolutions of the products and services they were previously interested in, to even addressing them by their name or nickname, all to make the customer-company relationship that much more unique and tailored to their personal preferences.

Single-step process

Although customer problem solving is usually a rather complex process for the company, the customer should always think of it as simple and easy to follow. The single-step approach ensures that once the customer reaches out to the company and its customer service team, they do not have to worry about anything else – the team will take care of putting the customer in contact with the best experts in the field and provide them with a hassle-free, most unique solution to the issue raised.

Product-specific support

Specialised and thorough knowledge about every single product and service provided significantly increases both customer satisfaction and the trust they are willing to put into the company. Providing knowledge management tools, and ensuring all representatives of the customer service team know the product inside out and are always ready to provide specialised help will provide the company with a valuable competitive advantage. The customer does not have to spend time trying to come up with a solution themselves and develops a sense of loyalty and reliability towards the company, its services, and employees.

Availability and consistency

Constant availability across the company’s channels is key to ensuring consistent and reliable customer service. Nowadays, support agents need to be prepared to solve more complex customer problems quickly and efficiently, while maintaining smooth and uninterrupted processing. Such operations can be escalated by using video assistance tools like ViiBE to provide real-time support and gain a better understanding of the issue the customer is facing. What’s more, with a video assistance solution from ViiBE support staff can also provide step-by-step instructions to guide the customer towards resolving the problem on their own.

Social media as customer service

Branch out from traditional customer contact methods. Apart from email communication, IT support, call centers, and contact centers utilise the chat function and the company’s social media platforms for the most efficient and quick customer service requests. Diverse social media presence also creates more opportunities for increased company visibility and stronger customer engagement. Ultimately, an engaged customer is more likely to create a bond with the company, share appreciation towards its services through providing positive online reviews, and invest more in their relationship in the future.

Open dialogue

Keeping an open dialogue policy within customer communication allows the company to develop a more transparent and honest customer commitment. If you cannot solve a particular problem at a given moment in time, for instance, tell the customer you will seek help from colleagues from other departments to be ready to circle back to them with a relevant solution and full expertise.

The recent release of ViiBE’s V.4 is a perfect tool for resolving such issues. With the new option to schedule a call, the customer is reassured the team will get back to them, yet the customer service agent has more time to find the most tailored approach to the issue. Add tabs for future references and expand the team’s base knowledge management – this way you can effectively keep track of any customer interactions, analyse previous customer experiences, and improve customer service as you go.

4. Conclusion

Customer service is a great and efficient tool for business growth and customer retention. A satisfied customer is more willing to not only develop a deep, long-term loyalty for the business but also spread the word about the excellent customer service they experienced and help they obtained from others. Valuable customer service is one of the most effective ways to maintain an engaging relationship with the company’s existing audience and to bring new customers on board.

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