10 Ways Customer Service Can Shape Your Business In 2021
SMEs in Africa must invest in making their customer service impeccable to make significant headway in 2021. It is one of the best ways to improve the bottom line of your business. Businesses with poor customer service tend to struggle in the long run as they often fail to struggle to retain or attract customers.
Furthermore, your customer service speaks volumes about who you are and what your business stands for. SMEs in Africa must prioritise the satisfaction of their customers above being profit-driven alone.
As we begin our adventurous business journey in 2021, we must learn to place customers’ satisfaction above everything else.
Here are ten major ways that excellent customer service can shape your business in 2021:
1. Significantly Save Operational Costs
According to business reports, businesses that retain just 5% of their customers experience about a 25% increase in their overall profits. Furthermore, the report states that it is more likely for existing customers to talk more about your brand. Hence, implying that businesses that retain customers often spend less on operational costs than businesses that don’t.
From the report above, we can see that attracting new customers is five times more expensive than retaining existing ones. Hence, highlighting the need for SMEs in Africa to prioritise customers’ satisfaction above anything else.
2. Improving Sales Of Products Or Service
One of the ways that customer service can shape your business this New Year is by improving the sales of products or services you offer. The chances of selling a product or service to an existing customer are higher than selling to a new customer.
Business statistics indicate that the probability of selling a product or service to a new customer revolves between 5% and 20%. However, according to the same report, the likelihood of selling the same product or service to an existing customer revolves around 60% and 70%.
3. Reducing Overall Business Problems
The way you treat your customers will affect the overall problems that your business may experience. SMEs in Africa can significantly reduce business sales problems and potential legal issues by treating their customers well.
A lot of businesses get into all forms of problems simply by treating customers poorly. Businesses that prioritise customers’ satisfaction are often more successful than those that don’t. One of the reasons for this is that they do not have to spend a huge chunk of their time and resources solving issues that arose due to poor customer service.
4. Enhancing Brand Recognition
One of the ways customer service can shape your business is by enhancing brand recognition. Your customer service is one of the best ways to let your customers know and have a feel of what your brand represents, its values, and what to expect every time to come to you.
Failing to communicate your brand values via your customer service will allow customers to make assumptions about what it represents. Satisfied customers are most likely to live positive reviews about your brand. Hence, influencing new customers to check out what you have to offer.
5. Enhance Your Chances Of Keeping Existing Customers
People tend to stay more in places where they are treated like royalty. As a result, one of the most effective ways for SMEs in Africa to keep existing customers is by offering impeccable customer services. Satisfied customers will most likely do business with you when the need arises than risk having a poor experience at a new store or business.
6. Increase Your Customer Base
Although there are several effective ways to advertise your business, none is as effective as “word-of-mouth” advertising. The best part of this form of advertising is that no amount of money can buy it. People would rather pay attention to their family member or friend’s recommendation than they would pay attention to an online review.
A report indicated that about 77% of satisfied customers are likely to share their experience with your brand with their friends. Hence, indirectly or directly influencing them to patronise your brand.
7. Enhances Other Business Opportunities And Partnerships
Customer service can shape your business this New Year by opening doors for new business partnerships and opportunities. You are more likely to secure new business partnerships when those businesses witness how you treat your customers.
It gives them an overview of your commitment to your business’s long-term success, hence encouraging them to do business with you. Also, it helps assure potential business partners that their existing customers are in great hands.
8. Encourages Customers To Pay More If The Need Arises
Ever heard the popular saying that “quality is better than quantity”? The same is applicable in the business world. About 67% of customers would prefer going to businesses with excellent customer service, even if they have to pay more.
If your customers are treated right, they will stick around even if it means paying a little more than they would in stores with poor customer service.
9. Enhancing Your Competitive Edge
SMEs in Africa must invest in effective ways of satisfying their customers, and one of the ways to do this is by delivering excellent customer service. Successful businesses do not joke with their customers, and if you want your business to be a success, you must too. Some established companies would not mind letting a bad employee go to retain a customer in some cases.
Customer service can shape your business by giving you the competitive edge you need to stay relevant and survive in this highly competitive business world.
10. Enhances Business Longevity
Reports indicate that only 4% of businesses survive ten years of operation. This implies that 96% of SMEs fail within the space of 10 years. One of the ways to remain among the 4% is by paying attention to your customers’ satisfaction.
You must be willing to go the extra mile to keep them happy. You have to be swift at responding to their complaints and be clear in letting them know how important they are to you.
Conclusion
As 2021 unfolds, SMEs in Africa must prioritise the satisfaction of their customers. Developing excellent customer service can shape your business in many ways and steer it towards success.
