Thursday 1 November 2012

Bad customer service - the downside of social networking...?

UK shoppers seek customer service support by email (49%) or phone (43%), younger shoppers are highly likely to turn to social channels when these touch points fail, with 46% of under 25s and 33% of 25-33 year olds using social networks to air their grievances more publically.  A new study, commissioned by Rakuten’s, consisted of an independent survey of 1,000 UK consumers.

Corrective Action?
One approach can be to consider Omotenashi – a Japanese customer service style to deliver enhanced customer service. Meanwhile, for pointers, see how Rakuten approaches customer service using Omotenashi by stepping  away from the vending machine retail model and aiming to go the extra mile when delivering great customer experience.

Why this is important…
As any branded NAM will appreciate, the cost of persuading a consumer to try a new product is so high, unless they are delighted/surprised at what they find in the tin (see Aldi Xmas pud) and thus require less investment to encourage a return visit, the upfront marketing investment never achieves payback mode.

The survey indicates key influences of a second visit:
o 39% – Loyalty programs & rewards
o 20% – Strong after sales support
o 14% – Personalised offers shared after purchase

Moreover, it is only on the third visit to the brand that consumer satisfaction may result in them telling one of their friends…

Alternatively, if the experience is not satisfactory (i.e. we don’t meet their needs) the disaffected consumer will complain to 10 of their friends, and that was before the arrival of social networking…

P.S. See here for details of the survey’s key findings

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