Why Customer Service Is Crucial in Business

Industry News
A happy customer service employee

Aside from marketing your product or service so that people will know about it, another crucial part of expanding a business is effective customer service. Customers bring in the revenue, and in effect, it helps your business grow and move forward. That is why creating an effective system for customer service, or better yet, outsourcing customer service to experts in this area, helps push forward a business’ advantage in the market. To know more about how critical customer service is in a company, read the article to find out. 

A couple experiencing problems

It Affects More than Your Customers

You might think that customer support only affects your customers. 

However, it’s not really the case. In fact, poor customer service might also influence people who did not experience it or are merely witness to it. According to a Washington State University study, when people witness bad customer service, they wanted to seek revenge against the employee. 

This finding is not good news to businesses, it means this can affect a business’ chance of even getting potential customers. Researcher Ismail Karabas advised that there should be an awareness among employees that their audience is larger than their initial customers. This awareness will help a business avoid losing potential customers. 

A client meeting

Customer Service Builds Connection with the Customer

Through customer service, you can build connections with your customers. This increases your chances of creating a loyal following who can help you expand your business. In fact, when your customer loyalty increases, you get a high return from the time and money you have invested. This result is because loyal customers would usually choose your product over others. 

An employee computing profits

It Increases Profits

Last but not least is that customer service helps increase your profits. Yes, with customer service you’re not only helping your clients, but you’re also helping your company increase its profits. 

In fact, Forrester reported that increasing a customer’s retention by 5% can already increase a company’s profit up to 95%. However, you can only achieve this if you have an effective and dedicated customer support in your company. You can have effective customer service by investing a lot of money in building one or outsourcing it to more experienced outsourcing firms.