Importance of Proper Customer Service Strategy for Business

The current ecommerce market is quite competitive. Some businesses find their way and establish themselves as authorities to thrive for years; others fail to create a sustainable model and disappear before achieving substantial results.

The reasons behind failure vary. However, there are a few common reasons why a business might decline, and lack of proper customer service is one of them.

It is cheaper to retain existing customers

Let’s start with customer retention. According to HubSpot, attracting new customers costs about five times more than retaining those you already have.

If someone finds your online stores and buys a product, they may seek some assistance from customer support. A quick solution to potential problems as well as a polite tone from a customer support rep could be the difference-maker between seeing the same person return and having them not bother with your store again.

Of course, responsive customer support is not always enough to retain customers. They may need some perks. For instance, free shipping, occasional discounts, and some freebies like custom stickers or magnets.

Combining different aspects of excellent customer service is bound to improve the overall retention and create a sustainable business.

Current customers are more likely to spend money on your products

Similar to retention, it is easier to sell to someone who has already purchased from you before. Past customers know what to expect, what the checkout process is like, and how long they can expect delivery to take.

About 2.05 billion people have made at least one purchase online in 2020. But what about those that made multiple purchases? It is no secret that such customers prefer to stick to an online store they are comfortable with. Risking to spend money on another service is not a sound strategy, even if it was recommended by someone you trust.

Great customer service raises brand awareness

One should also not underestimate the importance of word of mouth. If a customer encounters great service, they are likely to recommend your store to their friends and family. And the recommendation does not necessarily have to be in person. Sharing their experience on social media also works as word of mouth.

Some might say that this is exactly what influencers do. They post on social media to promote services. Even if it is a random person who posted on Facebook about how he liked your store, it can still make a difference if this person has a few hundred friends on their professional contact list template.

Loyal customers will stay loyal for longer

By building loyalty from the get-go, you also incentivize customers to remain fans for longer. Great customer service will make people stick to your brand instead of look elsewhere. This is similar to overall customer retention, except with an even greater emphasis on making your current customers happy.

There will be new opportunities for partnerships

As the word about your great customer service travels, you can expect other brands to get a little bit out of your success. Keep in mind that this should be treated as an opportunity rather than a nuisance.

Partnerships mean benefits to you as well. For instance, you could collaborate with an influencer and ask them to promote your goods or services. They get some money or free stuff while in return for advertising you to their audience.

Another instance of collaboration is guest posting. If you have a blog, ask established content writers to guest-post on your website. You get a piece of great content that may boost SEO. Meanwhile, the writer exposes their work to a new audience.

Even if an opportunity seems insignificant, you should still take it. After all, you cannot know how much of an impact a small collaboration could make in the long run.

Excellent customer service is a morale boost to employees

At times, customer support employees may have more on their hands than they could handle. Dealing with some customers can be a bother given the nature of some people.

Nevertheless, providing solid support and helping customers results in positive feedback. A small compliment can be a big boost for someone who is having a bad day. A happy customer means a happy employee.

Customers have certain expectations

The last point is about customer expectations. Given how long online stores have been around and how many choices there are, it is not that hard to understand how online shoppers have built certain expectations over time.

Lackluster customer service is a flaw that exposes an online brand for what it is. Failing to meet expectations will result in poor business performance and leave you with fewer customers.

Meanwhile, providing excellent customer service is an advantage that gives businesses an edge to overcome their competition and establish themselves as an authority.