fulfilling the offer & serving the customer copyright © 2010 pearson education, inc. publishing...
TRANSCRIPT
Fulfilling the Offer & Serving the Customer
Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall.
Chapter 9
Please Note:
Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall.
Opening Vignette
DuPont Building Innovations, DuPont Corian
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Fulfillment
Fulfillment – the act of carrying out a customer’s expectations
Delivery of products and information
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Prentice Hall.
Traditional Fulfillment Standards
1. Orders should be shipped within 48-72 hours of placement.
2. 85-90% of the products should be available in the warehouse.
3. Customer refunds should be processed within 72 hours.
4. 90% of all telephone calls placed to the organization should be received without a holding delay.
5. Customers should receive a response to inquiries within a week.
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The Six Steps In The Fulfillment Process
1. Offer2. Response3. Processing4. Shipping5. Billing 6. Customer
Service
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Fulfillment Options In-House Fulfillment Integrated Order Fulfillment Outside Fulfillment Centers On-Line Fulfillment
LET’S DISCUSS EACH ONE…
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In-House Fulfillment Company handles
warehousing and order-processing functions at its own distribution center
In-House Warehouse Process
Integrated Order Fulfillment
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Integrated Order Fulfillment Based on the idea that the process of
building & delivering products should not begin until after an order has been taken.
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Hall.
Outside Fulfillment Centers
Direct Marketer out-sources their fulfillment operations to third-party fulfillment centers or on-line fulfillment providers.
Advantages & disadvantages exist.
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On-Line Fulfillment E-Fulfillment- the integration of people,
processes, and technology to ensure customer satisfaction before, during & after the on-line buying experience
E-Commerce organizations have sometimes lack ed the needed focus & emphasis on e-fulfillment
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Delivery Options Multiple channel
distribution options USPS
First-Class Mail Periodicals Standard Mail Special Mail
Services Alternative
Delivery Systems
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Common Sources OfFulfillment Problems
Accuracy of the Order Package Presentation Speed of Delivery Stock Availability Return Processing
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Ways To Avoid Fulfillment Problems
Paying Attention to Packaging Slips
Including a Toll-Free Number
Hire a Well-Trained Customer Service Staff
Establish Quality Control Measures
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Call Centers A call center is a dedicated team
supported by various telephone technological resources to provide responses to customer inquires
Telemarketing activities can be carried out via call centers in a variety of ways:
Within the company(in-house) Outside of the company(calls are made by a
teleservice outsourcing firm) a combination of both methods
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In-House Call Centers Advantage-the degree of control the
company has over the telemarketing operations
Disadvantage-time and expense of training the telemarketers and large financial burden
“Call-abandonment” is the number of callers that hang-up before being serviced by a telephone sales representative
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OutsideCall Centers
Advantages Low initial
investment Fixed operating
costs Quick start up Time Flexibility
Disadvantages Lack of direct
control Lack of direct
security Lack of
employee loyalty Mass-market
approach
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Customer Satisfaction Defined
Customer Satisfaction- the extent to which a firm fulfills a consumer’s needs, desires, and expectations
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Importance of Customer Service
Customer Service Level- how rapidly & dependably a firm can deliver what the customers want
* Customers don’t care about what happens behind the scenes.
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Customer Relationship Management
(CRM)
CRM- a business strategy to select & manage customers to optimize value
Main purpose: to build and maintain better customer relationships
CRM is “the big picture”
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Evaluating Customer Satisfaction
Pretending to be Customers- file complaints w/ the organization
under a fictitious name Surveys
- periodic follow up surveys- should only be a few questions
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Keeping Customers Happy*
1. Remember: the customer is always right2. Don’t promise something you cannot deliver3. Inform customers how to return products4. Inform customers about how to complain5. Test your own service6. Date and record all customer correspondence7. Investigate competitors’ offerings regularly8. Exercise care in billing and collection *Stanley J. Fenvessy, Direct Marketing Manual
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Examples of Good Customer Service
SubmitOrder.com Harry and David Lillian Vernon Corporation
*The key is keeping customers happy.
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Case Study
1-800-FLOWERS.Com
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