Unit 2- Business & Society.pptx

Business & Society Unit 2 Open your copy of the slides Customer Service Customer Service Mindset ▪ The belief that providing customers with excellent service should be a business’s top priority ▫ “my customers deserve the best” ▫ “my customers are my employers” ▫ “my customers are entitled...

Business & Society Unit 2 Open your copy of the slides Customer Service Customer Service Mindset ▪ The belief that providing customers with excellent service should be a business’s top priority ▫ “my customers deserve the best” ▫ “my customers are my employers” ▫ “my customers are entitled to my focused attention” ▫ “my customers’ problems and complains are important” ▫ “my customers have the right to expect me to be well informed” Benefits of a Customer Service Mindset ▪ Customers ▫ Pleasant, satisfactory experience ▫ Questions answered ▫ Needs met ▪ Businesses ▫ Increased competitiveness ▫ New and repeat business ▫ Reduced complaints ▪ Employees ▫ Career advancement and support ▫ Increased confidence What Is Customer Service? • All the activities a firm engages in to satisfy the needs and wants of its customers • Focuses on getting new customers and keeping current customers • Companies create a customer service strategy and ways to track how well it is doing. About 78 percent of consumers have changed their minds about buying a good or service because of a poor service experience. On average, over time, loyal customers bring in up to 10 times as much revenue as the value of their first purchase. It takes up to 12 positive experiences with a customer to make up for one unresolved negative experience a customer has. News of bad customer service reaches more than twice as many people as comments about a good service experience a person or business has. Perhaps most importantly, it is six to seven times more expensive to get a new customer than it is to keep an existing customer. Human Methods of Customer Service ▪ Ordering an item directly by talking with a customer service representative. ▪ Interacting with someone at the store ▪ Getting help via phone How can you go above and beyond? Mechanical Methods of Customer Service ▪ Placing an order for a product on a company’s web page. ▪ Online chat feature ▪ Easy order tracking Customer Relationship Management Customer Relationship Management ▪ Building, maintaining and maximizing the longterm value of customer relationships through: ▫ Technology ▫ Strategies ▫ Processes ▫ People ▪ Every interaction between customer and company is known as a touch point How CRM Has Changed Over Time ▪ Focus is now on.. ▫ Helping employees be more efficient ▫ Increasing customer loyalty ▫ Aiding business decision-making and product development ▪ Because customers now.. ▫ Look at a business as a whole- no mixed feelings! ▫ Do a great deal of online shopping ▫ Prefer relationship buying “ 71% of customers prefer buying from a company aligned with their values and that they have a relationship with Gaining and Keeping Loyal Customers ▪ Customer Satisfaction ▫ The goal is to promote brand loyalty, driving long-term profitability. ▪ Companies seek to delight customers so that, in addition to becoming loyal, they also will become advocates for the brand to family, friends, and their online community. How can you go above and beyond? How to Build CRM • Focusing on attracting, maintaining, and enhancing customer relationships, thus building brand loyalty • Establishing customer value. • Personal selling. • Differentiate through transparency. • • makes its practices, policies, and future plans available to customers Delivering value by meeting or exceeding customer expectations. Improving Customer Relationships Empowering Service Employees • Companies give empowerment. • • • • • Flexible schedules Relaxed dress codes Comfortable working environments Training Ability to make decisions / take action EXAMPLE- Apple EMPLOYEE EMPOWERMENT ▪ Encouraged to try different roles within the company ▪ Regular training sessions ▪ Company discounts ▪ Consistent raises ▪ Apple Park Improving Customer Relationships Service Recovery • Apologize and ask customer to forgive. • Review complaint with customer. • Fix problem and check with customer on satisfaction level. • Document problem and find root cause. Corporate Social Responsibility Firms balance profitability and social well-being when determining success. • Corporate social responsibility (CSR) must be adopted by all functional areas. • Four Tiers: ▫ Economic ▫ Legal ▫ Ethical involves gray areas: ethics. ▫ Philanthropic: corporate philanthropy. Dimensions of Corporate Social Responsibility Corporate Volunteerism • Civic 50 scores America’s community-minded companies. • Top companies: IBM, AT&T, Hershey, CVS, FedEx. Corporate Volunteerism As part of its corporate volunteerism efforts, FedEx partners with nonprofit organization Direct Relief to deliver emergency medicine to disaster areas. What are customers concerned about? Social Trends Shaping Consumer Values Greener Consumers • By offering environmentally responsible products, marketers add value Self-Protection • 77% of consumers no longer feel comfortable shopping the way they used to Equality • Currently the highest ranked value among US consumers Others? Ethics What are ethics? ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Accountability Adaptability Authenticity Candor Commitment Fairness Honesty Humility Inclusion ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Integrity Justice Kindness Leadership Making a difference Patience Peace Pride Reliability ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Respect Responsibility Risk Taking Security Teamwork Trust Truth Well-Being Ethics in Marketing • Ethics should be a key component of a successful marketing approach. • Code of Ethics • The impact of ethics on business • Can destroy a company • Can generate profits. Performance Comparison of the 2017 World’s Most Ethical Companies and the U.S. LargeCap Index Attitudes About the Ethical Standards of Various Professions ▪ Why do you feel marketers (advertising practitioners) rank so low on this scale? ▪ What can marketers do to improve their ranking? Creating an Ethical Climate in the Workplace Create Values Within – Establish – Share – Understand Rules – Management commitment – Employee dedication Controls – Reward – Punishment Corporate Partners • • Any firm that works with another firm to create a finished product is a corporate partner • Toyota is a firm—Toyota relies on those who supply computer boards, rubber for wheels, sheets of metal, etc. • Who would Apple’s corporate partners be? How corporate partners handle themselves affect consumers Trends Affecting Marketing Ethical Decision-Making Framework 1. Determine the facts in an unbiased manner. 2. Identify the ethical issue at hand. 3. Identify the stakeholders impacted by the decision. 4. Consider all available alternatives. 5. Consider how the decision will affect the stakeholders. 6. Discuss the pending decision with the stakeholders. 7. Make the decision. 8. Monitor and assess the quality of the decision.