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The cost of poor service

Written by: Mark Gwilliam

Article Overview: Have you ever wondered how much money has been lost due to poor customer service? Does it happen where you work? Or do you own your own business and are unaware of your employees’ actions?

The cost of poor service

This month, my wife and I decided to purchase a new lounge suite. Being a business owner myself, I try to visit small, local, businesses first if they have what meets my needs. As it was early January and the week after Christmas we knew there were a lot of sales going on and we should be able to purchase something at a discounted price. I tried a local store that claimed to have an excellent selection of lounge suits and excellent rates.

I decided to call first so I could talk with someone on the telephone. An answering machine answered the telephone and informed “they were busy with a customer and would return the call.” I did not leave a message. I tried again an hour later and the same scenario. Finally on the third call I left a message stating “I wonder how many customers you have lost due to no response.” I did not leave any contact information. Later that day I decide to drive to the store since it was only a few miles from my home. When I arrived at the store, I find out the store is not open at all. It was closed for the week!

To say the least I did not purchase a lounge suite from this store, nor will I purchase from them in the future. I did send them a letter notifying them of situation that occurred and how I could help them improve on their services. I didn’t receive any response which I guess correlates with their customer service values.

What do you think this cost that company? I spent approximately NZ$4,000 on my suite, but was I the only customer that tried to contact them that week? Probably not. Being one of a few local stores to have the services and items they claim to carry, there were probably other inquiries and potential customers went elsewhere.

This company had an opportunity to be the best source for suites in the area. Being a local company, they had the opportunity to show their customer they were “the shop” for all of their furniture needs with the home town appeal. I much prefer to buy from a local company than one of the bigger firms when their customer service is the personal touch. All of us want the personal touch when dealing with companies and I believe the smaller business has the greatest opportunity to apply and show they care.

Customer service is so important, no matter whether you are big or small. People want to buy from companies they know who will take care of them but also care about them. It is not all about the company but it is all about the customer and what you do for them! Take care of your customers everyday as if it were their birthday! Do we not try to be nice to people on their birthdays if we are aware?

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Article Tags: answering machine, business owner, christmas, customer service values, furniture, inquiries, local businesses, local company, local store, local stores, lounge suits, miles from my home, town appeal



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