Customer Service Can Makes a Company Great

What makes a company great, makes it stand out head and shoulders above the rest; has not only loyal but repeat customers who go back time and time again?

Is it the size of the company – bigger is always better?

Is it the amount of profits they make – well they must be good if they are making all that money – right?

Is it maybe they are the only business which has a particular item – hardly.

Or is their marketing excelling, taking full advantage of ALL media including online, social, TV and broadsheets as well as radio and tabloids.

What is their secret?

The truth is there is no secret, it all boils down to one thing – no matter size, profits, products, services or marketing plan, if you don’t have this one thing you may as well shut up shop and go home – and that one thing is Customer Service.

Don’t get me wrong the other things do help in some small way but Customer Service is King.

It should be natural and not forced. How annoying did “Have a nice day” become? It was novel at first but…

So how do you achieve great Customer Service?

Try following these dos and don’ts as guidelines:-

Do smile when talking – seems strange I know but it works, try it and see the difference.

Do listen and hear what your Customer is saying but don’t sit in silence use audible nods and empathise then repeat to show you have been listening using expressions like “If I have heard you correctly… ,” or “If I may repeat to make sure I have understood you… ” Goes a long way and also informs customer that you have been listening.

Never use the expressions “You need to… ,” or “You have to… ” They neither have to nor need to do anything.

Do ask permission “Is it OK if I take some details?” “May I have your name?” “Can I take a message?” “Are you happy to give me…?”

Don’t swear, be rude or argue back, tempting as it maybe, wait till your are of the call/ customer has gone/can’t see you, if you must vent/rant.

Don’t take it home, and never carry it over to the next customer.

Do treat each customer individually and although you may think that they are Bat Crap Crazy/stupid or what they are contacting you about is trivial, always remember to them it is important.

Don’t take it personally, they are just wanting to rant at somebody and don’t know you, all they want is for someone to take responsibility, not pass them from pillar to post and to listen.

And finally always end on a positive note, even if it’s a simple thanks for your call.

Follow these guidelines and you will notice a difference, not just in your customers but also in your staff who will be happier in their work and less stressed and if they are less stressed then they are willing to go that extra mile.

Expand Your Brand Using Other People’s Money by Using Franchisor Strategies

Back many years ago, I met a fellow franchisor, he’d built a nice company with 250 franchisees which operated Kiosks in shopping malls – you know those carts in malls that sell various wares. What he did was make each Kiosk its own business, at first as “independent contractors” but later as Franchisees due to the Franchise Law rules. Each franchisee had to sign a two-year franchise agreement with non-automatic renewal, where the Franchisor could merely take over the business, location, as he already had the lease-space agreement with the malls, including the corporations that owned many malls around the country.

After two years, he stopped renewing franchise agreements, took control of all those little businesses, and then sold the whole thing and retired a very wealthy man. Unfortunately, many of the independent contractors, turned into Franchisees were forced out after building up their businesses and providing a substantial amount of goodwill. The franchisor’s concept was built by the blood, sweat and tears of all those individuals, who did make decent money in the meantime, but were then basically terminated when their franchise agreement term ended.

Recently, there is an interesting company in the “Handy Man” sector which has a franchise agreement that states it may unilaterally buy back the franchisee’s business at any time after 2-years of operating. In the Franchisor’s option to purchase there is a mathematical formula for valuation of the Franchisee’s business that negate the value of any “goodwill” and allows the Franchisee to choose if he will see at “Fair Market Value” of assets (used equipment, office furniture) or twice the earnings before interest, taxes, and amortization (EBITA).

Why would a Franchise Buyer buy a franchise like that? I suppose there might be a few situations where it makes sense for instance, the Franchisee just needs a couple of years of income and believes they can build up a good “book” of business, and if it starts to go South, the Franchisor may buy him/her out and they can move on, less risk? But what if the Franchisor chooses not to buy and the business fails? What if the business succeeds wildly and the Franchisee is forced to sell-out a thriving and growing business?

If you think about it, it is a brilliant strategy for a Franchisor, have others build your business, take all the risks, and if they succeed, you terminate their franchise agreement instead of renewal, and if they fail, you simply let them fail, then sell that territory to a new franchisee, until one succeeds and then you just keep winning and building on the backs of others. As a franchisee buyer it may be wise to recognize such strategies and be weary of them, unless it serves your temporary purpose of a short term business and solid temporary cash flow based on your abilities and the Franchisor’s model. Think on this.