A couple of months ago I had a small kitchen fire in my home. All is well now, but for a few days my family and I camped out in a hotel room and once we returned home we had no oven (it was destroyed in the fire) so we were forced to eat every meal out for several days.

On the day of the fire two representatives from the insurance company told me to “Hold on to your meal receipts, send them to us and we’ll cover your meals plus sales tax.” After the contractors restored my home and we settled back in, I was preparing to mail in my meal receipts for reimbursement and I gave my adjuster a quick call before dropping the envelope of receipts in the mail. He explained that reimbursement was actually for 50% of meals and not 100%. While a partial adjustment made sense to me, I clearly recalled two company representatives promising to “cover meals plus sales tax.”

My adjuster became sarcastic and defensive in both his words and tone and said, “No one in this entire company would have told you we cover 100% of meals. Our policy is to cover 50% because you would have been eating even if the fire had not occurred.”

I was livid. Now it’s no longer about the issue, it’s about the principle. So what did I do? I assembled all the facts that supported my case, presented an opening argument to the company’s corporate office calmly and methodically, and finally delivered a fervent and succinct summation of my evidence and closed the deal—walking away with 100% of my meal charges.

Here’s the lesson here: Had the claims adjuster done and said the right things during my initial phone call, the company would have been able to resolve this problem with a simple explanation and apology. Instead, they paid out nearly $200 more than they had to and had to spend 10 minutes listening to my case.

This costly scenario is played out countless times every day throughout the service sector because employees don’t know how to communicate with upset customers with diplomacy and tact and in such a way that creates calm and goodwill.

In my case, had the claims adjuster responded with, “What we were trying to explain is that your policy covers 50% of your meals plus sales tax. You would have been out of expenses for meals even if you had not experienced the regretful fire. We try to minimize your inconvenience during your loss by covering expenses above and beyond your normal meal expenses. Does this make sense? I’m so sorry for any inconvenience this misunderstanding has caused you.”

This approach certainly made sense and I would have very likely accepted the 50% policy. But instead, the claim adjuster’s attitude incited me and I was determined to accept nothing but full reimbursement. The wrong approach to an already upset customer only makes them more forceful and often results in a much higher payout from the company. I don’t want you to have to pay one dollar more than you absolutely have to and to help you manage costs better I’ll give you 5 things not to do with upset customers.

1. Don’t tell a customer they are wrong. Telling your customer he is wrong arouses opposition and will make the customer want to battle with you. It’s difficult, under even the most benign situations to change people’s minds. So why make your job harder by starting out on the wrong foot.

2. Don’t argue with a customer. You can never win an argument with your customers. Certainly, you can prove your point and even have the last word, you may even be right, but as far as changing your customer’s mind is concerned, you will probably be just as futile as if you were wrong.

3. Don’t speak with authoritative tone as if you have to prove the customer wrong. Even when the customer is wrong, this is not an appropriate response, as it will put the customer on the defense.

4. Don’t say, “We would never do that.” Instead try, “Tell me about that.”

5. Don’t be afraid to apologize. Offer an apology even when the customer is at fault. An apology is not admission of fault. It can be offered to express regret. For example, “I’m so sorry for any inconvenience this misunderstanding has caused you.”

Never forget in problem situations the issue is not the issue. The way the issue is handled becomes the issue.

1. Be assertive - not aggressive or passive. My definition of assertion is simple: “Say what you mean, mean what you say, and don’t be mean when you say it.” Let this rule guide your conversations with all customers and you will always be confident, cool, and in control AND you’ll always be professional.

2. Speak more slowly. You’ll be amazed at how much more clearly you can think and how much control and confidence you experience when you consciously slow down your rate of speech. Speak slowly and methodically when your emotional triggers are launched and you’ll maintain poise during difficult conversations.

3. Wait 1-2 seconds before responding. Responding immediately to difficult or tactical customers could result in you saying something you’ll later regret. Before you respond, take a deep breath, wait at least 2 seconds, and think about the best response and the best approach.

4. Take a time-out. When you sense that your buttons have been pushed, take a break. You can tell the customer you need to put him on hold while you review a file, or whatever excuse sounds good at the time. The point is to get away from the customer for a few seconds so you can re-group.

5. Use positive self-talk. I’m going to sound like Dr. Phil on this one, but I’m quite serious. Instead of saying to yourself, “I don’t get paid enough to put up with this ____.” Say something more positive like “This guy really needs my help.” Thinking more positively helps you respond more positively and professionally. Negative thoughts lead to negative words, and it spirals into a very negative situation.

6. Show your power before you use it. Often, a subtle suggestion of your “power” is far more effective than the outright use of your power. As a customer service professional you may have the power to terminate a phone call. You could say to your customer: “If you don’t stop yelling, I will terminate this call.” But, believe it or not, you are far more “powerful” if you say, “I want to help you, but when you yell and cut me off, you make it difficult for me to work with you.” The latter statement demonstrates your power and your message most definitely gets across. The former statement uses up all of your ammunition and won’t usually diffuse an irate customer.

These incredibly simple tips will position you to keep your cool when customers get hot!

Here are Seven Business Growth W.O.W.

At the beginning of my creative career, I volunteered as an overnight deejay at a college radio station. I loved playing the music and interacting with insomniac listeners, but I got a real kick out of reading the news. I would tear copy straight off the wire service printer and if I was lucky, I had a producer turn that raw newsfeed into informational text that I read into the microphone. The text was broken up into reasonable sentences that were designed for easy delivery over the air. When my producer didn’t show up for my shift, I did this myself I’d mark up the page, insert pauses, and emphasize the words and sentence clauses that I wanted to stress. If I couldn’t be understood over a fuzzy and weak AM signal, then what was the point of taking five minutes at the top of the hour to deliver the news? I had a lot of fun and I learned how to “speak” all over again. Whenever I do any live speaking today, I use the same exact techniques that I learned while the “On-Air” sign was flashing above the studio. I mark up my speech or the text passage I’m reading because I know that impact is everything. If I lose my breath in the middle of a sentence, then it’s too long. If the last word of a sentence drops out inaudibly, my message is lost. If I stumble on an unfamiliar word or name, my audience loses confidence in my message.

Live telephone operators who work in call centers and answering services need the same help that any live speaker needs. It’s the job of the call center operator to communicate the client’s business image to the caller, and this begins with the first few seconds of the phone call. Many small business owners’ needs never go beyond representatives answering their lines with “XYZ Company, may I help you?” and improvising the rest of the conversation to obtain the information that the client requests. When clients upgrade their accounts to more complex services, it’s important that they create a script that works for both the company signing up for the service, the operator reading the script, and the customer. Your sales representative is more than willing to help you create the best script to fit all of your sales or information inquiries.

Creating a call center script begins with the “answer phrase” and the same principles continue through the entire process of creating a logical script. H ere are some important items to keep in mind when you are creating your script:

• Avoid tongue twisters. Make your greeting as easy to pronounce as possible. “Doctor Perkowicz Peoria Plastic Surgery Plaza” isn’t easy to say, even for the native English speaker. Make sure that your operators know how to pronounce every part of your answer phrase, and the rest of the words in your script. Keep phrases brief and avoid repeating consonant sounds that will sound awkward over the phone or might lead the operator to stutter.

• Go global. A “Good Morning/ Evening” greeting can work for some businesses, but not for all of them. If your company is doing business across time zones, think about using a simple “Hello, XYZ Company” for your customer on the other end of the globe.

• Humanize your greeting. Have an impartial friend or a trusted customer listen to your greeting, especially if it’s a long introductory message of more than a sentence or two. Do you sound like a recording? If you give that impression to a caller, the person on the other end of the line might just hang up because she wants to talk with a live person, not a machine. Keep all parts of your script brief and give the operator relaying your message time to breathe and sound like a live person when you create your script.

• Less is more. There’s a temptation to try and pack all the information about your company into your call center script, including providing an operator a copy of your frequently asked questions list (FAQ) so that he or she can quickly scan the file and answer 99.9 % of your callers’ questions. However, this skill takes practice and training on the part of the operator and patience on the part of the caller. Long pauses to look up information, add expensive minutes to the call and are frustrating experiences for the operator and the caller alike. Extensive account training is available through most call centers, if your budget permits. If this resource is not an option for you, limit the information available to the operators to a few facts about your product or service, and let them know that it’s okay to ask callers if someone from the right department can return their call and answer their questions in depth.

• Test. Call your account weekly and test to make sure that the operators are following your instructions, are handling your scripts the way that you expect, and are able to easily access the information that they need to take your calls. After the honeymoon period with a new account, operators often grow lax and shorten your script, or improvise far beyond the call of duty. This can be detrimental to your business. Make sure that you follow up with your call center to make sure they are serving your needs.

• Tweak, and tweak again. Review your script from time to time, and see if it’s still leading to action. Ultimately, your script should lead to a sale, an appointment a request for more information or further contact from your office. Check your call logs and any statistics your sales representative provides you with on a monthly basis. If you notice a downward trend in your results, work with your sales rep to change your script.

These suggestions are only the beginning of creating a successful call center script for your organization. Work with your sales representative and listen to their suggestions, add your own, do your market research and your script will be a success. Clear communication starts with clear instructions from you, and clear voices on the answering end of your phone lines. Your call center will work with you to make sure that all of your needs are filled over and above your expectations.

Is your online company really serious about Internet customer service? When it comes down to it, excellent customer service is pretty much the only way you will convert visitors to customers. You can also increase your ROI and improve online sales with excellent customer service.

If you are truly serious about offering quality customer service, your best option would be customer service software. With customer service software you can reduce customer service costs and increase your conversion rate at the same time. All the while, you will be making your customers happier, which will lead to more sales and an increase in ROI.

Customer service software helps small businesses and large businesses alike by offering customer service messenger, support messenger and support messenger. These offer 24/7 customer service to customers and potential customers. They can also allow you track customers online and track consumer behavior online as well.

Customer service software can offer live chat help and/ore animated avatar help, animated avatar service, animated avatar support and animated avatar guide. Many people prefer the avatar because it makes them feel more like they are talking to an actual person.

Serious quality customer service means a serious customer service solution. Consider customer service software for your online business if you would like to convert visitors to buyers and improve your ROI.

When you listen to a customer (or co-worker, spouse, significant other), your brain is constantly making hundreds of assumptions. Each word, inflection, and tone of voice is interpreted, but not always as the speaker intended. Research shows that 2/3rd of all employees feel management isn’t listening.*

We all think we know how to listen, yes? The fact is that very few people know how to truly listen. In our earnestness to serve, we get pulled out of a conversation by preparing for the answer while the other person is still talking. We wait for a pause and when the person takes a breath, we jump in to improve or remedy the situation.

Or, we worry about the question that we may be asked that we might not be able to answer intelligently. Will we know the answer? Will we be able to respond appropriately? What if I am asked a question I don’t know the answer to? What if I don’t understand the question? What if they find out that I’m new on the job/on the equipment/at this company? What if they get angry at me? What if I frustrate them? What if, what if, you fill in the blank. We are anywhere but listening to the other person.

Our intentions are good. We want to give the best response we can, hopefully the right answer. However, if we are not present to the conversation, the other person feels not heard, unimportant, ripped off, and the like. If there was no upset on their side to begin with, it now exists big time. Fact: if you are not listening to the customer, there is no way you can answer the question. The truth is you probably haven’t even heard it.

Listening is our least used and weakest communication skill. None the less, great customer service professionals are first and foremost great listeners. Active listening forces us to tune in to what the customer is saying, instead of trying to think of what our responses will be.

Hearing and listening are not the same, though many people use the words interchangeably.

Hearing is a physiological process whereby auditory impressions are received by your ears and transmitted to your brain.

Listening involves interpreting and understanding the significance of the sensory experience.

The derivative of listen is ‘list,’ which means to lean toward one side. Have you ever noticed how you lean in when someone is talking to you, or vice versa? Even on the phone?

When you listen, you win and the other person wins. But it is not enough to just listen, you have to communicate to people that you’re listening. Sometimes people don’t think you’re listening when you are because you’re not communicating that you’re listening.

*Training, December 2006, p. 9.

Talk to many business people about how they approach customer service and the majority of them will say that they are aiming to have ‘satisfied’ customers. No! What we all should be seeking is to have loyal customers.

Research has shown that 65% of customers say they are loyal. You may be happy with this but you shouldn’t! Satisfied customers are in a state of nothing &ndash they are neither issatisfied or happy; they are in between. They will tolerate you while you are of use to them but if a better deal comes along, they’re off.

On the other hand, loyal customers are your friends. They will be with you through thick and thin; they will be the first to try out you new product; they willing give you honest feedback; they will regularly refer business to you. This is what you want! But how can you turn a satisfied customer into a loyal one?

Let Them Decide How to Do Business With You

Today customers are a lot more sophisticated in how they want to do business. If your product or service lends itself to be offered via a number of different means, then give your customer the option.

Can you deliver face-to-face? What about telephone services? Could you make use of SMS texts for quick notes and reminders? Do you have a web site through which customers can contact you or even make orders on-line? If you provide a variety of delivery channels which are available to suit the customer’s needs then they are more likely to stay with you.

Build a Relationship

Loyalty can only be achieved if you have a true relationship with your customer. Aim to build rapport. Understand who are dealing with you and understand what they are looking for. Keep in regular contact with them; you don’t necessarily have to be selling something. Always use their names, especially their first name if you can.

All of this will help in building a long term relationship. Once you have this, they are less likely to walk away.

Generate Staff Loyalty

How can you cultivate a loyal customer if your staff are not loyal to the business? You must have staff who care for the job and will do anything to protect and move the business forward. Customers will be more loyal if they see familiar faces. A business with a high staff turnover will find it difficult to build a relationship with their customers.

Treat your staff well. Reward their successes and recognise their achievements. Hold regular training sessions so they feel they are learning and developing. An established training programme will also make sure that their product knowledge is up to date.

Seek Out Complaints

This sound strange but the average customer has to be encouraged to complain! Many will keep quiet about poor service but if they can find someone else to do their business with, they will. Set up a clear complaints procedure so customers can complain if they wish. Provide staff with the tools to effectively deal with customer problems. Follow up all complaints to ensure that they have been resolved.

Take an Interest

Show your customers that you are interested in their views. Run regular surveys to find out what they think of your service, to find out what you can do differently. You can either carry out a survey over the telephone, or go as far as doing a mailing to all your customers.

Taking the trouble to contact your customers will reinforce the message that you want their custom. But don’t forget &ndash take action on what you find out!

Be a ‘Can Do’ Business

Customers like nothing better than a business which delivers on even the most difficult of requests. ‘Can Do’ businesses will always have loyal customers. Train your staff to never use words like, “Sorry but …”, “It’s not my fault”, “Its company policy”.

Be a business where solutions are always looked for and problems seen as challenges.

Look After The ‘Golden’ Customers

The old 80/20 is likely to apply to your business &ndash 80% of your sales or profits are likely to come from just 20% of your customers. Work out who your top 20% are and love them to death! Why not concentrate on turning the remaining 80% into loyal customers? Well, the 20% have already shown that they trust and respect you. A little more effort with these customers will reap more business than concentrating on the ‘maybe’s’. By all means, run a programme to convert the ‘maybe’s’ but put more effort into the converted.

So, there you have it. Some ideas and tips on how to build and keep loyal customers. Take a critical look at your business and put a loyalty building programme in place, which will boost sales and profits.

Are you a stickler about receiving top notch customer service? Do you routinely “come through” as a provider of exemplary services to your customers? Chances are you have been greatly disappointed at one time or another regarding the service you received from a salesperson, an internet hosting company, a hair colorist, or any one of thousands of different service providers. Frankly, customer service in many areas — retail, for one — isn’t what it used to be. However, where there is poor customer service there is also a great opportunity. Read on and I will explain.

Let’s say you are in a field that routinely provides so-so service to customers. It could be that customer expectations are low and no one expects top notch service. Maybe most customers are simply “price sensitive” and could care less about how fast or how well you deliver. However, you can bet that there are a percentage of customers out there who appreciate service that goes above and beyond the industry standard. These same customers typically will pay a little extra for service that really serves them. If you can tap into this customer base, you can create a niche, raise your prices, and make more money in the long run.

Depending on your industry, you could command a price premium of 10-25% over the average provider. That may not sound like a lot, but it could spell the difference between eating hamburger or eating steak. I don’t know about you, but I would prefer eating steak!

Naturally, providing a high level of customer service means you will have to break a sweat. You may have to happily redo [its all in the attitude, baby!] or improve on an existing project in order to satisfy a good paying customer. This is what sets you apart from the pack.

If you are satisfied with the “status quo” then that’s okay too. Just don’t expect to have customers beat down your doors for work. At least the better customers will not!

Almost every company discusses, at length, the need for customer service and the significance of supplying true excellence to its customers. However, very few actually follow through with what it takes to attain this excellence. This is particularly true in the bottled water business since not all providers share the opinion that customer service is of the utmost importance in any business.

The bottled water industry services a wide customer base with numerous companies and individual clients. The industry is characterized by a small number of very large firms and a substantial number of relatively small consumers with specific geographic niches.

The Nature of the Business:

The bottled water business consists of the manufacturing and delivery of spring or purified water in small packages or large containers such as 5 gallon bottles. The product is delivered directly to the customer’s site in either company owned delivery vehicles or through common carriers. Each individual bottled water company provides an implicit promise to its customers that it will manufacture the highest quality product and deliver that product at the agreed upon time.

Many, Many Customers:

The customer base in the bottled water industry is very diverse and ranges from individual consumers with single bottle requirements to large multi-cooler business accounts with significant water needs. Each client has its own specific requirements, which are met by the company providing the services and product.

The Customer Service Promise and the History of the Business:

In the past, various bottled water companies have focused on process rather than customer service. Many firms acted on the belief that the delivery of a superior product completed their obligation to the customer. However, the customer service promise includes much more than a simple delivery of a quality product and requires additional services such as on time delivery, proper pricing, responding to additional delivery requests and other specific needs. One of the most important customer responsibilities is the ability to communicate their concerns not only to the customer service departments, but also to the heads of each company.

Current Status of the Industry (The Unfulfilled Promise):

Although the bottled water industry may seem rather simple, in reality, it is a very complex business. High quality water must be produced and delivered to the customer’s location on time and as ordered. Often enough, customer requests change without warning, which is one reason why flexibility is important to the success of the bottled water company.

Frequently, the water needs of the customer exceed original expectations, which causes shortages . However, in order to avoid such a situation as this, the supplier would have already invested in the communication and stock infrastructure to meet all of its clients’ demands.

For those suppliers who private label water as a means of customer advertising, the design, printing and durability of the label on the bottle is a critical factor. Therefore, companies creating labels of lesser quality in the design and printing of the labels clearly provide a substandard product to their customers.

Communication and the Customer Promise:

Many bottled water suppliers neglect the reality that proper communication channels serve as the basis for fulfilling the customer promise. An overall reliance on voicemail and/or e-mail, an inability to respond quickly to customer needs and the absence of true customer service assistance has created a negative impression of the industry for many customers.

A proper communication system has many technical elements but it should begin with a willingness to include human contact in the communication link. No customer enjoys being dropped into the voicemail void, therefore, the bottled water suppliers that continue to prosper are the companies that uphold the customer service promises and guarantee personally answered customer service calls, which they promptly use to respond to client inquiries and concerns.

Accept Responsibility and Do What It Takes to Provide Customer Satisfaction:

There are many excuses for failure to perform but the bottled water suppliers who are truly world class are those who accept responsibility and persevere with their customer satisfaction guarantees. This often includes obtaining little or no profit on a particular transaction in order to fulfill the customer service promise.

Size is not the determinant in the customer service equation. Often, smaller companies are ready, willing and able to better fulfill the customer promise.

Look for a supplier with a track record of not only achieving the customer promise but also one with a history of fulfillment of the promise.

Statistics consistently reinforce that the biggest challenge in today’s contact center environment is agent training. Turnover continues to be high; new hire costs are on the rise&ndashI’ve seen anywhere from $6500 to $10,000 quoted per agent! At the same time, losing customers because of bad call experiences negatively impacts your bottom line. What can you do? How do you justify the training expenditure?

Research has been making a case for how spending in human performance areas such as training, translates into bottom line growth. Accenture’s study on the impact of training on ROI has some interesting results. (Smith, David. Y. and Waddington, Ted. Running Training Like a Business: Determining the Return on Investment of Your Learning Programs, Outlook Point of View, March 2003.)

First, in the area of recruitment, training opportunities were among the top three criteria people considered when deciding where they want to work (the others are the opportunity for advancement and a good benefits package).

In the area of productivity, as a result of training, employees were:

17% more productive

20% higher performance levels relative to their peer group

Stayed with the company 14% longer

In the area of retention, employees who had access to the training were:

More than 2 times more likely to expect to be with the company in 2 years

More than 6 times more likely to think the company is a ‘great place to work’

More likely to think they are fairly compensated

Dollar figures associated with their statistics for a fiscal year report the annual per person net benefit or $25,324. They multiplied this number by their 50,000 employees yielding a companywide benefit of training of $1.26 million. By dividing the benefit by the cost of one year of training ($358 million), researchers concluded that the ROI (at Accenture) is 353%.

Negative Customer Service Experiences?

How many of you know (and track) what percentage of your calls are bad experiences? Hopefully, you do know the number, and they’re in the low single digits.

In a recent study, in answer to (1) did the agent satisfy your needs in the call, and (2) based on any negative experience, would you stop using this company and go to the competition? the results were:

Ages Would Stop Using the Company in the Future

18 - 25 100%

26 - 35 97

36 - 45 53

46-55 50

56-65 33

Over 65 63

Source: 2003 Purdue University/BenchmarkPortal.com

As you can see, there is a strong correlation between participant’s age and his/her tendency to stop using the company after a bad experience. Notice that younger participants were less tolerant, more likely to go to the competition, and those over 65 are more demanding that those in middle age.

Therefore, it’s very important to take great care of your younger callers so as to maintain their loyalty. Callers above 36 have more of an ‘emotional bank account’ with the company they’re dealing with-probably had some good experiences and are more willing to ‘forgive’ a bad one.

If you know your percentage of bad experiences, put a dollar amount on that call and then total it out for the year. I think you’ll be very surprised at the amount of lost revenue. Now if you have a 1% improvement, as a result of a training initiative for example, the amount of recovered revenue (and customers) is very encouraging.

This is just another means to tie soft skills to ROI, and to include your front lines as part and parcel of the revenue-producing operation of your companies.

Customer Satisfaction Driver #1

We all know first call resolution (one and done) is the #1 driver for customer satisfaction with best practices reported at 86%. However, if your center is at 86%, this means that 14% of your customers are contacting you more than once to resolve their issues! This not only frustrates your CSRs and yourselves, but your customers as well. Repeat calls are costly not only to operations and the bottom line, but they negatively impact customer satisfaction, and ultimately, customer loyalty.

How do you define first call resolution? And how do you&ndashif you do&ndashcalculate it? Research shows that there is no common measuring method. However, what gets measured gets managed, and what gets managed gets better.

In a recent study (Ascent Group) more than 90% of companies measuring first call resolution reported improvement in their performance. Another study (callcentres.com) reported a dramatic fall in call volume&ndashidentifying that a minimum of 20% of all calls were repeat calls from customers needing an answer or help they didn’t get. Further, that the absence of first call resolution was found to account for a minimum of 30% of a call center’s operational costs!

The bottom line: Invest in your people&ndashgive them the training, the tools, and the authority to get their job done right the first time. After all, CSRs are the interface who handle customer issues. One of the foremost methods to boost customer satisfaction&ndashand improve first call resolution&ndashis to consistently and ongoingly train, train, train your CSRs in world class customer service skills.