6. breakdowns affect business
90% of customers who are dissatisfied with service they
received will not come back or buy again
SOURCE: RESEARCH INSTITUTE OF AMERICA
7. breakdown = bad publicity
Only 4% of unhappy customers bother to complain.
For every complaint heard, 24 others are communicated
to potential customers, but not to the company.
SOURCE: RESEARCH INSTITUTE OF AMERICA
8.
9. good recovery = loyalty
Of the customers who register a complaint, between
54% and 70% will do business again with the
organization if they receive a response to their
complaint.
That figure goes up to 95% if the customer feels that
the complaint was resolved
SOURCE: RESEARCH INSTITUTE OF AMERICA
12. a good response from 20x200.c0m
“I'm so sorry about the delay in shipping your order.”
“We always want to make sure the prints are perfect
before we ship them and it sometimes slows us
down!”
“I'm going to refund the shipping and handling fee
you paid right now. ”
13. the basics
1. respond quickly
2. apologize
3. provide an explanation
4. offer a resolution
14. providing an explanation
“You increase my rates by 60% and don’t even
bother to explain why or give me a single reason to
remain a customer?”
ethicalbusinessbuilder.com
15. the resolution - what people expect
The influence of service failure and service recovery on airline passengers’ relationships with domestic
airlines: an exploratory study. P.G. Mostert, C.F. De Meyer & L.R.J. van Rensbur (2009)
16. the right resolution
If the breakdown occurs due to mistakes or errors by the
service personnel or external sources the recovery should
be psychological – the employees need to apologize for
the inconvenience.
If the error however is due to errors in the service
architecture the recovery effort needs to be tangible and
the customer should be compensated.
The service encounter: diagnosing favorable and unfavorable incidents.
Bitner, Booms, Tetrault. (1990)
via designforservice.wordpress.com
33. the gaps model of service quality
people’s expectations
GAP
company vision
GAP
service design
GAP
service implementation
GAP
people’s experience
34. empower employees
how many people does it take to fix
my internet connection?
2 twitter reps
3 call center reps
2 technicians
35. “Too often companies desire to do everything well, and they
create a kind of exhausted mediocrity. Employees can’t do
everything well: When you optimize a system to be both
best in class at speed and best at thoroughness, you’re
going to wind up being average at both.”
Frances Frei, author of Uncommon Service
36. the gaps model of service quality
people’s expectations
GAP
company vision
GAP
service design
GAP
service implementation
GAP
people’s experience