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Customer Service CHAPTER 2

CUSTOMER SERVICE

2

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Customer Service CHAPTER 2

OBJECTIVES

Objectives

The objectives in this unit are based on the skills standards for the National Retail Federation Customer Service and Sales Certification.

Students will be prepared to:

2.1 Understand Customer Service by:

l Defining quality customer service.

l Discussing the importance of quality customer service. 2.2 Learn About Products and Services by:

l Seeking out and participating in training opportunities to support products and services and to further develop customer service skills.

l Testing or sampling products and services to build recommendations for customers.

l Researching and reviewing relevant data on competitors’ products and/or services.

l Remaining current regarding products, services and industry standards. 2.3 Assess and Meet Customer Needs by:

l Greeting and engaging the customer in a personal and professional manner.

l Listening attentively and responding effectively to customer’s comments and questions.

l Assessing the customer’s needs while determining the customer’s knowledge of products or services to promote customer loyalty.

l Identifying the customer’s budget through active listening.

l Arranging service recovery and handling service failures

l Using customer feedback to improve customer satisfaction. 2.4 Educate the Customer by:

l Explaining levels of product or service value to customers in a way that is relevant to their needs.

l Recommending comprehensive solutions, products, services, and related items based on customer needs.

l Educating the customer about service policies and related resources (e.g., returns, warranties, guarantees, service plans, support plans, instruction).

l Knowing when to ask for help, support and advice.

Chapter 2 Answer Key The Answer Key for the Exercises and Quiz in Chapter 2 can be found on pages 276-287.

Customer service is not a skill. The ability to provide good customer service is a result of learning and applying a combination of skills that include planning, problem-solving, decision-making, critical thinking, professionalism, respect and more. These skills form the bedrock for successful careers in every industry.

This winning combination is part of what makes retail jobs so special; entry-level associates with a commitment to providing outstanding customer service will learn and practice invaluable skills that they will use throughout their lives.

It has been said that customer service is not a department—it’s an attitude. Defining great customer service is simple; it occurs when you consistently give the customer more than they are expecting and deliver an experience they’ll want

to share with others. It’s what Ken Blanchard and Sheldon Bowles, co-authors of Raving Fans, call the “raving fan concept.” Unlike a customer who is merely satisfied with your service, a “raving fan” will become part of your sales force by telling friends, co-workers and family about your products and services.

The job of a salesperson can be challenging, but is very important. By continually learning about the products your company sell and honing your people skills, you will be able to increase your confidence—and your sales. Eventually, you’ll have “raving fans” who keep coming back and referring your business to others, rather than dissatisfied shoppers who go elsewhere, often without letting anyone at the store know why.

Customer Service – What Is It And Why Is It Important?

2.1 Understand Customer Service l Define quality customer service

l Discuss the importance of quality customer service

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Customer Service CHAPTER 2

Tell students to keep these answers in mind as they move through the course.

EXERCISE 1 : Personal Experience

OBJECTIVES

1. What are some examples of poor customer service you have encountered in the past, either as a customer or as an associate?

2. How could a customer service associate turn these examples into positive customer service experiences?

3. What are some examples of great customer service you have encountered in the past?

4. What did the associate do to make the experience so good?

You’ll learn later on in this chapter module that dissatisfi ed customers are more likely to tell friends and family about their experience than satisfi ed customers. The bottom line is that bad news travels faster than good news. In today’s digital age, news travels faster than ever before, so it’s

very important for businesses to train their employees on products as well as customer service skills. One bad customer experience posted on Facebook or Twitter could do a lot of damage to a store’s reputation and might put sales associates at risk of losing their jobs.

Learning about products and services is a critical work function for all retail employees. This means taking responsibility for learning about products and participating

in available training, attending company-provided workshops or seminars, using products, reading product lables and studying materials provided by vendors.

2.2 Learn About Products And Services

l Examine how seeking out and participating in training opportunities helps associates

• Support products and services

• Further develop customer service skills

l Learn to build recommendations for customers by testing or sampling products and services

l Discuss researching and reviewing relevant data on competitors’ products and/or services

l Explain the importance of remaining current regarding products, services and industry standards

Since more than 60 percent of retail employees have direct contact with customers, employee training is extremely important. As a retail employee, you are responsible for helping satisfy customers’ needs and resolving their problems. Attending any training offered by your company will help ensure you are prepared to do so.

The simplest but most frequent request your customers will have is for help locating a product in the store. While a tour of the store will probably be part of any standard orientation, it won’t be enough to make you an expert. Simply walking up and down the aisles of the store in your downtime is a great way to begin familiarizing yourself with all the items offered.

Company-Provided Product And Services Training

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Customer Service CHAPTER 2

If you are scheduled to work in a specifi c department and a customer asks for an item located elsewhere in the store, give them very specifi c directions on how to get to that department. If possible, walk with the customer and introduce them to the associate attending to that department.

Learning about the products your store sells is an important part of becoming a successful retail associate. Having product knowledge will give you the confi dence you need to engage customers and provide an exceptional sales experience. Being a knowledgeable associate is a key component of staying ahead of the competition.

By enthusiastically participating in all training programs, you indicate your readiness to learn new, valuable skills and your commitment to delivering outstanding customer service. In-depth knowledge of products, services and sales model prepares you to confi dently attend to your customers’ needs and desires. Your customer will remember you by the level of service you provide, so take that extra step to stay informed.

Learning About Products and Services

To satisfy customers’ needs, it’s important for you to equip yourself with comprehensive knowledge. This involves:

l Learning the product information

l Using the product or service

l Understanding any safety requirements

l Anticipating questions your customers might have and researching answers

l Keeping notes or checklists to help you (when needed)

Information can also be obtained from others in your organization. Be honest with your customers. If you don’t know the answer, admit it, and then locate a manager or co-worker you’re certain will have the answer. Customers will appreciate your honesty and know that they have come to the right store to get their questions answered.

Your manager or supervisor should work with you to ensure you are aware of and registered for all required training. Your attendance should be recorded so you receive appropriate acknowledgment for your participation. Training programs are documented in several ways:

l Test scores

l Records of completion

l Instructor or manager evaluations

l Course certifi cates

l Training records

Training time should be recorded on your attendance records. Always be sure to ask how information about any training program you participate in is documented and given to your management team.

Training Assignments/Evaluations

You might be required to complete training assignments or evaluations during or after your scheduled course time. These might be in the form of on-the-job exercises, homework, research or participation in a role-playing activity. These assignments and evaluations help determine whether or not you have mastered the information provided during training or whether additional training is needed. Completing these assignments also allows you to practice newly learned skills and helps reinforce the concepts and information. In return, your confi dence and job performance will improve—so be sure to complete and submit your assignments on time.

Sometimes you will need to fi nd additional information and learning resources to satisfy your job-related training needs. Your company, or the manufacturers and suppliers of the products your company sells, will likely develop written and multimedia materials pertaining to their products or services. As part of your work function, it is your responsibility to review and comprehend those materials to enhance your learning experience. Pay attention to visual sources of information, including television and other media. TV ads, sales fl yers, informational videos, etc. can also be great resources for you and can help you become more knowledgeable about competitors’ products as well.

Constant change is the norm for products, services, and retail stores. To stay up-to-date on the latest changes, you will need to know how and where to look for the right information to educate yourself and your customers.

IMPORTANT POINT: You know you have all the information you need to successfully sell the products in your store when you can confi dently and intelligently answer all of your customer’s

questions and solve routine problems.

Features and Benefits of Products and Services

Features are very important to customers, so you need to know what they are and how they can be used. Be prepared to explain particular features to customers in ways that show them how their specifi c needs can be met.

Product features:

Are physical in nature, including color, size, etc., and appeal to our senses of touch, taste, smell, hearing, feeling, and sight; relate to the quality and service of merchandise; are much more specifi c than general product information; and answer the question, “What?”

Product benefi ts:

Are the advantages or rewards of product features and tend to answer the question, “Why?”

Written And Multimedia Material About Products Or Services

nrf.com/foundationnrf.com/foundation 31nrf.com/foundation

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Customer Service CHAPTER 2

EXERCISE 2 : Name that feature

EXERCISE 3 : Testing and sharing

Purpose: Learn how to identify product features and understand how having the information in advance can be a useful job tool.

1. Quickly think about a high-end product (electronic device, furniture, tool, etc.) that you are interested in buying or will be buying in the near future. If you are already employed in retail, think about a high-end product your company sells (if applicable). Write it here:

2. List the information the customer will want to know about this product.

3. List the information the customer will want to know about this product.

4. List three specifi c product features you would want in this product.

5. List one benefi t of each feature you wrote down.

Knowing the specifi c features and benefi ts of the merchandise your company sells can help you better explain to customers how specifi c products can meet their needs. One of the best ways to learn about products and services is to use them yourself. You’ll fi nd it is diffi cult to recommend a product that you’ve never used or seen used. Imagine this scenario:

Mark went to a restaurant and examined the menu. Everything looked delicious. When his waiter approached the table, Mark asked, “I just can’t make up my mind. Can you recommend your favorite meal?” The waiter replied, “I’m sorry; I’ve never eaten here.”

When associates fail to use their store’s products and services, it implies that the products aren’t good. Customers tend to trust the recommendations of people who have used the products themselves.

Preparing in advance (for example, by making lists of features and benefi ts) can be very useful in your sales presentation. You can also keep product sheets, fl yers and brochures on hand for this purpose. Use any method available to you to make sure the information you give to customers is clear, complete and accurate.

Company-Provided Product And Services Training

1. What is your responsibility as a sales associate prior to supplying information about a product?

2. As a sales associate, how can you determine the right time to share product knowledge?

3. How can providing too much product knowledge too soon waste a customer’s time and result in a lost sale?

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Customer Service CHAPTER 2

EXERCISE 4 : Studying the competition

Competition for goods and services is greater than ever before. Sales associates who can compare and differentiate their own store’s merchandise from that of their competitors have an advantage in creating and keeping loyal customers.

Customers will want to know how one product compares to others. To be effective at this, you’ll need to know about similar products and alternatives, so make sure you take the time to explore them.

Review competitor marketing materials.

Competitor marketing materials can be in the form of an advertisement, such as a television or website ad, a sales fl yer, a stand-alone advertising piece inserted into a newspaper or a newspaper advertisement. Depending on the business you are in, this could be anything from a weekly ad to a monthly publication.

Social media outlets have become popular places for businesses to advertise their products and services. Consumers can check out a business’s fan page to gather information about the company’s latest products and promotions.

Compare all product details and specifi cations. Identify differences.

When you review the ad, take note of the manufacturer, brand name, size and any other specifi cations. Then look at the products your store offers that are identical or similar and see how they compare. You might fi nd that the advertised product is slightly smaller or comes in a different size than a similar product at your store. There might be color or style differences or limitations on selection. Spotting these differences is essential so you can confi dently communicate them to your customer.

Compare advantages and disadvantages of competitor products and services.

Once you’ve identifi ed the differences, learn what the advantages and disadvantages are for your company’s own products and services compared to those of competitors. Sometimes a competitor might have a limited selection while your company offers a later model or a newer, superior product. Your company may offer an extended warranty that your competitor does not. Or perhaps your company offers a fl exible payment or fi nancing plan that will enable the consumer to purchase the products and services today instead of waiting.

Understanding Competitors’ Products And Services

1. Use the information to make notes about the product details and identify differences between the two products.

2. Once you’ve identifi ed the differences, compare the advantages and disadvantages of each product.

Answer customer questions.

A good question to ask yourself is why you would buy your own company’s product or service over a competitor’s. This can help you identify reasons to purchase a product that might not be obvious at fi rst glance.

If only a few of your products are comparable to those of your competitors, learn why. This will ensure that you can knowledgeably answer your customers’ questions. It’s important that you are able to describe, in detail, all of the reasons why your company’s products and services are better than the competition’s.

Here is a practical exercise to help you understand the importance of studying the competition as a customer service or sales associate. If you are already working in the retail fi eld, consider using your company’s product and one of your competitor’s products to help with your own position.

3. Discuss how you would present the advantages of purchasing the product at your store as opposed to a competitor’s.

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Customer Service CHAPTER 2

EXERCISE 5 : Responding to customer questions

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1. Inappropriate Response: That’s not my department. Appropriate Response:

2. Inappropriate Response: Ask the girl in that area. Appropriate Response:

Sometimes the customer’s needs are outside the scope of your expertise, department or even your store. It is vitally important that you fi nd a tactful way to direct a customer elsewhere. Look at the customer questions below, evaluate the responses provided and write your own suggestions.

As you restock basketballs in the sporting goods department, a customer approaches to ask you the location of a very specifi c cooking tool in the adjacent housewares department.

1. Inappropriate Response: I don’t really use these. Appropriate Response:

2. Inappropriate Response: I like this one best. Appropriate Response:

You are working on a new cold medicine display, and a customer asks your opinion on which to purchase. (This is a trick question. Think carefully.)

1. Inappropriate Response: If it isn’t out there, we don’t have it. Appropriate Response:

2. Inappropriate Response: Ask the girl in that area. Appropriate Response:

Do you have these in a size large?

1. Inappropriate Response: Is there a sign?. Appropriate Response:

2. Inappropriate Response: We keep sale ads right by the front door. Appropriate Response:

Are these on sale?