service recovery
Post on 17-Nov-2014
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Service Failure Prevention & Recovery
Customer Service for
Airlines Processes
© Sudeshna Chatterjee
Three faces of service delivery Customer needs Total customer experience Preventing service failure Recovering from service failure Engineering customer experience Case studies
In this module…
© Sudeshna Chatterjee
Think about it
95% of complaining customers will remain loyal if their problems are resolved immediately and to their satisfaction.
On average, companies have a 20-40% chance of selling to lost customers, and only a 5 – 20% probability of selling to new prospects.
It costs 4 – 10 times more to win a customer than it does to keep a customer.
Long-term customers tend to spend more with a company than new customers (and they are easier to serve than new customers.
Customer loyalty to airlines is a thing of the past: now it’s all about the customer experience.
© Sudeshna Chatterjee
Why customers leave
Source: CRMGuru© Sudeshna Chatterjee
Three faces of service delivery
Service Excellence
Customer is:
Satisfied/happy
Delighted
Service Failure
Customer is:
Dissatisfied
Has to call back to follow up on service
Service Recovery
Agent:
Prevents/pre-empts service failure
Makes a dissatisfied customer happy againMeet or exceed
customer expectations
Not meet customer
expectations
Meet or exceed expectations after causing distress
Key to Customer Retention!
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Think about it
Product
Service
Price
People
Service
Other
Convenience
Location
What makes you stay loyal to a store, restaurant, or airline?
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Typical customer needs ‘Listen to
me’ ‘Be sensitive
to my needs’ ‘Treat me like
a human being’
‘Resolve my issue’
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Typical agent behaviors
Answer questions
Act on customer requests
Follow procedure
Resolve the issue
Customer service agents: Meet the customer’s STATED needs
But… what about the UNSTATED needs?
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Customer experience
Total Customer Experience
The Functional Needs
The Emotional Needs
ProductServiceResolution
ToneChoice of wordsBody language
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The Singapore girl
Evokes an emotional response
in customers
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Think about it
Review Case Study #1.
At which points did service fail? Could the service have been recovered?
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A different approach
1. Ground staff at the point of departure
2. Ground staff at the point arrival
3. Bus driver
4. Flight attendant
How could the customer experience have been different?
1. Could have informed the customer about the delay
2. Been there to receive the guests
3. Shown more urgency in communicating with airline staff
4. Been professional and empathetic
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Customer service roadmap
1. Prevent Service Failure
2. Recover (Failed)Service
3. Engineer Customer Experience
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1. Preventing service failure
• Keep your promises• Be on top of process knowledge• Offer a solution
Pre-empt Failure
• Repeated calls-backs & confirmations
• Anxiety• Special/unusual requests
Recognize Triggers
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2. Recovering from service failure
Apologize
Own up
Understand
Seek solution
Fix
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3. Engineering customer experience
Lateral Thinking
• Think out of the box: explore unusual options (within process scope)
Old Wine in New Bottle
• Soften the blow by tweaking your words and tone
Create an Experienc
e• Make a big
deal; manipulate the experience
© Sudeshna Chatterjee
Old wine in a new bottle
Explaining Policy
Instead of:
‘‘I’m sorry, we can only upgrade you to First Class if you’ve flown 3000 miles in the last six months. You’re short of 25 miles.’’
Try saying:
‘‘I’d love to upgrade you to First Class but our records show that you’ll become eligible before the next flight. We’d be happy to serve you in First Class on your next flight with us!’’
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Old wine in a new bottle
Saying No
Instead of:
‘‘All the seats on the evening flight are booked. You’ll have to fly out tomorrow morning. There is nothing that I can do. I’m sorry.’’
Try saying:
‘‘I’m sorry, there are no seats available on the flight this evening. However, I can book a seat of your choice on the first flight out tomorrow morning. You will be able to reach Bangalore in time for the meeting. Would you like me to go ahead and book a seat on that flight?’’
© Sudeshna Chatterjee
Old wine in a new bottle
Explaining Procedures
Instead of:
‘‘You can update your contact details on the website. Just go to the Customer Information page and enter the new information.’’
Try saying:
‘‘You can update your address and other contact details in the Customer Information page on our website. If you are at your computer, I could walk you through the steps to do so.’’
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Case Studies
Summary
Let’s recap!
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Thank you for your time!
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