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The World of Customer Service, 2e Odgers 1 Chapter 5 Chapter 5 Chapter 5 Resolving Customer Resolving Customer Problems and Complaints Problems and Complaints Objectives Describe the activities involved in proactive problem solving List reasons that customers complain and describe the process for handling those complaints Discuss approaches to use when handling angry customers

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Page 1: The World of Customer Service, 2e Odgers 1 Chapter 5 Chapter 5 Resolving Customer Problems and Complaints Objectives Describe the activities involved in

The World of Customer Service, 2e Odgers

1Chapter 5

Chapter 5Chapter 5Resolving CustomerResolving Customer

Problems and ComplaintsProblems and Complaints

Objectives

Describe the activities involved in proactive problem solving

List reasons that customers complain and describe the process for handling those complaints

Discuss approaches to use when handling angry customers

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The World of Customer Service, 2e Odgers

2Chapter 5

Solving Customer ProblemsSolving Customer Problems

Use Proactive Problem Solving and Customer Self-Service (CSS) to exceed customers’ expectations by anticipating and solving problems before they occur.

Example: At the time of sale, educate and inform buyers about extra costs and possible delays.CSS empowers customers to go to a company’s website and readily find information, view a bill, analyze service usage, compare rate plans, order new products and services.

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The World of Customer Service, 2e Odgers

3Chapter 5

Solving Customer ProblemsSolving Customer Problems

When writing service-related email to customers, remember to

Restate the customer’s question in the opening paragraph of the emailUse headings to organize the emailMake the email brief by linking to detailed information onlineUse consistent formatting to indicate procedures or instructionsWrite for easy reading and comprehension

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The World of Customer Service, 2e Odgers

4Chapter 5

First-Call Resolution (FRC)First-Call Resolution (FRC)

FCRs are calls that CSRs resolve on that first call by the customer.

FCRs positively affect a company’s bottom line because nearly 80% of the time and cost of providing customer service is spent on service resolution.

Page 5: The World of Customer Service, 2e Odgers 1 Chapter 5 Chapter 5 Resolving Customer Problems and Complaints Objectives Describe the activities involved in

The World of Customer Service, 2e Odgers

5Chapter 5

The Quiet CustomerThe Quiet Customer

Categories of the Quiet Customer1. The Satisfied Client

2. The Accumulator

3. The Thinker

4. The Runner

5. The Busy Bee

Page 6: The World of Customer Service, 2e Odgers 1 Chapter 5 Chapter 5 Resolving Customer Problems and Complaints Objectives Describe the activities involved in

The World of Customer Service, 2e Odgers

6Chapter 5

ResolvingResolvingCustomer ComplaintsCustomer Complaints

The overriding reason customers complain is because their expectations for the product or service have not been met.

Why customers complain:Poor service or product qualityLower prices elsewhereCSRs lack of knowledgeCompany policies that create bureaucracyCSRs inability to solve problemsInflexible serviceSlow responses

Page 7: The World of Customer Service, 2e Odgers 1 Chapter 5 Chapter 5 Resolving Customer Problems and Complaints Objectives Describe the activities involved in

The World of Customer Service, 2e Odgers

7Chapter 5

Steps in the Complaint–Steps in the Complaint–Handling Process Handling Process

1. Screen and log in information

2. Listen

3. Empathize

4. Solicit feedback

5. Apologize

6. Deliver bad news positively

7. Take ownership and formulate a solution

8. Communicate a solution

9. Follow up

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The World of Customer Service, 2e Odgers

8Chapter 5

Problem-Solving ProcessProblem-Solving Process(Five Steps)(Five Steps)

1. Identify the problem

2. Analyze the problem

3. Identify decision criteria

4. Develop multiple solutions

5. Choose the optimal solution

Page 9: The World of Customer Service, 2e Odgers 1 Chapter 5 Chapter 5 Resolving Customer Problems and Complaints Objectives Describe the activities involved in

The World of Customer Service, 2e Odgers

9Chapter 5

Dealing withDealing withUnruly CustomersUnruly Customers

Why customers get angry:The customer didn’t get what was promised or what was expected.

Someone was rude to the customer.

Someone was indifferent to the customer.

No one listened to the customer.

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The World of Customer Service, 2e Odgers

10Chapter 5

Customer Emotions and Customer Emotions and Service RecoveryService Recovery

When customers are dissatisfied, they become difficult, frustrated, and quick to anger.A genuine apology is an excellent first step to diffuse customer anger.Know the difference between trigger phrases and calming phrases when dealing with customer emotions.Service recovery examples: cash refunds, credits, discounts, and apologies.

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The World of Customer Service, 2e Odgers

11Chapter 6

Chapter 6Chapter 6Recovering From and Winning Recovering From and Winning

Back the Angry CustomerBack the Angry Customer

Objectives

Describe the five types of customers who defect and why they do so

Describe the various types of feedback survey instruments

Identify ways to recover from an angry customer

Identify the key points of a win-back message

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The World of Customer Service, 2e Odgers

12Chapter 6

Understanding Why Understanding Why Customers LeaveCustomers Leave

1. Unintentionally pushed-away

2. Intentionally pushed-away

3. Pulled-away

4. Bought-away

5. Moved-away

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The World of Customer Service, 2e Odgers

13Chapter 6

Understanding Why Understanding Why Customers LeaveCustomers Leave

Indications that a customer is defectingThe squeaky wheel

The product return

The quiet customer

A slow pay

Falling revenue and reduced sales volume

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The World of Customer Service, 2e Odgers

14Chapter 6

Getting FeedbackGetting Feedbackfrom Customersfrom Customers

Feedback ToolsWeb-based surveys

Mailed surveys

Telephone surveys

Comment cards

Focus groups

Feedback forms

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The World of Customer Service, 2e Odgers

15Chapter 6

Issues to Measure on Issues to Measure on Feedback SurveysFeedback Surveys

Ability to meet deadlines and on-time deliveryAccurate invoice amountsClear and helpful invoicesClear and helpful quotes, estimates, and proposalsFollow-through on commitmentsOverall value and range of products and services

Presence of competent people and helpful CSRsPriceProblem-resolution approachPrompt problem solvingPrompt shipmentsQuality of product or serviceShipments that match orders and specifications

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The World of Customer Service, 2e Odgers

16Chapter 6

Feedback SourcesFeedback Sources

Employees

Comment cards

Competition

Documentation and records

Mail surveys

Telephone surveys

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The World of Customer Service, 2e Odgers

17Chapter 6

The Mystery ShopperThe Mystery Shopper

A third-party person who anonymously and objectively evaluates a business relative to customer service, product quality, store presentation, and other areasThese evaluators follow specific instructions during visits, complete written reports, and help to identify strengths and weaknesses of the business being visited

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The World of Customer Service, 2e Odgers

18Chapter 6

Interpreting Customer Interpreting Customer FeedbackFeedback

Use thorough data-gathering and analysis techniques before acting on complaints.Do not spend lots of time, energy, and money gathering complaint data and then do nothing with it.Do not take feedback results personally.Inform customers about the impact their feedback has had on the way issues will be addressed.

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The World of Customer Service, 2e Odgers

19Chapter 6

Recovering from the Recovering from the Angry CustomerAngry Customer

Listen and empathizeApologizeFix the problem quickly and fairlyKeep your promisesMake realistic and achievable promisesThank the customerOffer some form of compensationFollow up

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The World of Customer Service, 2e Odgers

20Chapter 6

An Effective Win-Back PlanAn Effective Win-Back Plan

Win-back messages shouldAcknowledge the customer’s past patronage

Point out improvements and changes made since the customer’s decision to stop buying

Emphasize the ease with which the customer can re-engage and place another order

Provide a financial incentive, if possible

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The World of Customer Service, 2e Odgers

21Chapter 7

Chapter 7Chapter 7Problem-Solving, Time and Stress Problem-Solving, Time and Stress

Management SkillsManagement Skills

Objectives

Describe the steps involved in solving customer problemsIdentify techniques to better manage timeDiscuss the importance of stress managementArgue the difference between positive and negative stress

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The World of Customer Service, 2e Odgers

22Chapter 7

Practicing Problem-Practicing Problem-Solving SkillsSolving Skills

Problem solving with customers is a process that involves four steps:

1. Determine whether the situation is a disagreement or a true conflict of interest.

2. Analyze your interests and the customer’s interests.

3. Brainstorm solutions and generate ideas together.

4. If step 3 doesn’t resolve the situation, make some mutual low-priority concessions.

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The World of Customer Service, 2e Odgers

23Chapter 7

Practicing Problem-Solving Practicing Problem-Solving SkillsSkills

The price of service goes up when complaints are passed on to the next level in the organization.

Accessibility, ownership, explanation of policies, and follow-through promote effective problem solving in the most efficient manner.

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The World of Customer Service, 2e Odgers

24Chapter 7

Improving Time-Management Improving Time-Management SkillsSkills

While organizing your time, ask yourself:What do I want or need to do that I am currently not doing?

What do I want or need to complete that has not yet been completed?

What do I want or need to start that has not yet been started?

What do I want or need to say that I am not saying?

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25Chapter 7

Time-Management TipsTime-Management Tips

Know your purpose

Keep your time in perspective

Plan ahead

Set your priorities

Break a project into smaller pieces

Pace yourself

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The World of Customer Service, 2e Odgers

26Chapter 7

Procrastination andProcrastination andTime ManagementTime Management

Procrastination is the act of putting something off and comes in several forms:

Not wanting to do the task

Interrupting yourself

Making the project too big

Convincing yourself of defeat

Rationalizing it away

Feeding poor self-esteem

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The World of Customer Service, 2e Odgers

27Chapter 7

Organizational SkillsOrganizational Skills

Some activities to use as a matter of routinePrepare a monthly schedule

Prepare a file folder for each item on your schedule

Rely on technology

Organize your work area

Manage your communications

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28Chapter 7

Understanding StressUnderstanding Stress

When unregulated, uncontrolled, or ignored, stress can be harmful to your health and well-being.

Conversely, too little stress can lead to apathy, fatigue, and illness.

The key is to find and maintain a personal balance that works for you at each state of your life.

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29Chapter 7

Stress: Causes and Stress: Causes and Ways to ReduceWays to Reduce

Causes of StressLack of control

Lack of confidence or self-esteem

To reduce stressDon’t worry

Set goals

Finish unfinished business

Resolve conflicts

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30Chapter 7

Managing StressManaging Stress

Pay attention to yourself

Don’t try to control everything

Alter your lifestyle

Change your thinking

Create an outlet

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The World of Customer Service, 2e Odgers

31Chapter 8

Chapter 8Chapter 8Communication EssentialsCommunication Essentials

ObjectivesExplain each of the elements in the communication processIdentify the behaviors of people who communicate using different communication stylesCompose examples of open, probing, closed, alternative choice, leading, and direct questionsUnderstand the fundamentals of business writing

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32Chapter 8

The Basics of The Basics of CommunicationCommunication

Communication has been successful if there is shared understanding between two or more persons.

Seven elements in the communication model

1. The sender

2. The receiver

3. A message

4. Signals

5. The brain

6. Shared understanding

7. Feedback

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33Chapter 8

Service-Oriented Service-Oriented CommunicationCommunication

Listening skills that make the other person feel heardQuestions framed in a respectful mannerA willingness to perform the work needed to reach a desired goalAn ability to remain calm and centered, despite chaos or challenge

Flawless follow upA demonstrated understanding of the other person’s perspectiveAn ability to anticipate the client’s needsA calm and pleasant tone of voiceHonest communicationEase with admitting fault

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34Chapter 8

Communication StylesCommunication Styles

Aggressive–closed-minded, listens poorlyFosters resistance, defiance and retaliation

Passive–indirect and hesitant to say what is on the person’s mind

Tends to agree externally, while disagreeing internally

Assertive–an effective active listenerIs open to negotiating, bargaining, and compromising in ways that everyone wins

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35Chapter 8

Communicating with Communicating with Customers in PersonCustomers in Person

When asking questions, use an assortment ofOpen questions

Probing questions

Closed questions

Alternative choice questions

Leading questions

Direct questions

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36Chapter 8

Communicating with Communicating with Customers in PersonCustomers in Person

When answering questions, firstUnderstand the questionDecide whether you know the answerRemember, you are the expertTake enough timeSmileNever answer a question with a questionBe careful with your powerWhen you don’t know, admit it

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37Chapter 8

Positive Language versus Positive Language versus Negative LanguageNegative Language

Positive LanguageProjects a helpful, encouraging feeling rather than a destructive, negative one

When used, it softens the impact of unpleasant news

Negative LanguageConveys a poor image to customers and may cause conflict and confrontation where not necessary or desired

Examples of negative words: cannot, won’t, will not

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The World of Customer Service, 2e Odgers

38Chapter 8

Fundamentals of Business Fundamentals of Business WritingWriting

CSRs need to compose documents (emails to formal letters) that educate, persuade, inform, or enlighten the customer.

Most important strategy when writing is to be clear.

The costs of sloppy and poorly written documents with spelling and grammatical errors can be staggering to organizations.

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39Chapter 8

Steps to Use when Writing Steps to Use when Writing Business DocumentsBusiness Documents

Identify the audience, then put yourself in your audience’s shoes as you write for understanding.

Write clearly with a purpose in mind.Present your message in concise, easy-to-understand, and grammatically correct language.

Get to the point by presenting your primary message or call to action as quickly as possible.

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40Chapter 8

Use the Proper ToneUse the Proper Tone

Tone refers to the writer’s attitude toward the reader and the subject of the message.

Be confident

Be courteous and sincere

Use nondiscriminatory language

Stress the benefits for the reader

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41Chapter 9

Chapter 9Chapter 9Customer-Focused Listening SkillsCustomer-Focused Listening Skills

ObjectivesDistinguish among the three levels of listening.Explain the importance of active listening.Develop techniques for becoming an effective listener.Describe barriers of effectively communicating and listening.Identify techniques for communicating with ESL speakers.

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42Chapter 9

Three Levels of ListeningThree Levels of Listening

Level 1 ListeningCharacterizes a good listener who suspends judgment, is empathetic, and who listens with a high degree of understanding and respect

Level 2 ListeningDescribes a listener who mainly listens to words, but does not fully understand what the words mean

Level 3 ListeningDescribes a listener who may be daydreaming, forming a premature reply or faking attention

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43Chapter 9

Active ListeningActive Listening

Means listening with your whole mind and body—not just your earsFive strategies that help improve active listening skills

1. Be ready to listen2. Be ready to take notes3. Demonstrate that you are listening4. Ask questions5. Restate the customer’s points

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44Chapter 9

Strategies forStrategies forEffective ListeningEffective Listening

Realize that listening is hard workMake good use of the thought-speech ratioSeek to listen in more than one wayGive the speaker spaceDon’t begin speaking the moment the person stops talkingDevelop an open posture that encourages the other person to talk

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45Chapter 9

Listening TechniquesListening Techniques

1. Pay attention

2. Be courteous

3. Nod your head

4. Repeat the statement

5. Don’t be judgmental

6. Ask follow-up questions

7. Listen with your entire body

8. Respect the other person

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46Chapter 9

Three Types of FeedbackThree Types of Feedback

Reflective feedback mirrors content and intent“If I understand you correctly, what you are saying is…”

Responsive feedback characterizes the listener’s feelings

“When you [action], I feel [reaction].”

Reactive feedback reaffirms the speaker’s message

“I had a similar experience. It was…”

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47Chapter 9

Passive Listening and Passive Listening and Selective ListeningSelective Listening

Passive listening is characterized by hearing without sending any feedback

It offers no indication of acceptance or rejection of the message.

Selective Listening is hearing only what you want to hear, filtering out what is not important or of no interest to you.

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48Chapter 9

Empathetic ListeningEmpathetic Listening

Empathy is seeking to understand the other person’s position without getting emotionally involved yourself.Putting yourself in the customer’s place can help you analyze the message from his her perspective.

Guiding principlesBe attentiveBe interested in the speaker’s needsListen with a caring attitudeAct as a mirrorDon’t get personally involvedUse verbal cues

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49Chapter 9

Roadblocks to Roadblocks to Communicating and ListeningCommunicating and Listening

1. Judging or criticizing

2. Naming or labeling

3. Commanding or ordering

4. Moralizing

5. Diverting

6. Advising

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50Chapter 9

Effective Communication Effective Communication with Non-Native Speakerswith Non-Native Speakers

ESL (English as a second language) customers have studied English and generally comprehend it, but may have difficulty speaking it for several reasons.

To help these speakers

Avoid making judgments about incorrectly accented speech

Be a patient listener

Don’t finish the speaker’s sentences

Don’t correct grammar and pronunciation errors

Don’t pretend to understand