Have you ever experienced bad customer service? Do you ever get an apology? How does it make you feel?

Relationship marketing began its existence in 1990s. Its main focus is a long-term relationship that is good for both company and the customers and this relationship is based on trust and commitment. Customer input is invaluable, as the customer is the one who actually buy the product. If a customer is not satisfied from the beginning, there is no way to gain his or her mind after that.

Establish a sustainable competitive advantage is a main component to long-term financial performance. Customer excellence which focuses on retaining loyal customers and excellent customer service is one of four macro strategies to develop sustainable competitive advantages.

Having a loyal customer is a considerable way of sustaining an advantage over competitors. “LOYALTY” is not just preferred product from a company instead of another. It implies that customers are unwilling to buy the product from competitive firms. For example, I continue to buy Americano at Starbucks even though Blenz opens right across my house. I am a loyal Starbucks customer. Also, companies can build sustainable competitive advantage by providing good customer service.

Several years ago, my family moved into a new apartment and wanted to transfer internet service. It was still hooked up at the previous apartment. When my father asked them to move it, they said they were overloaded and could not. My dad said, “Okay, if you’re overloaded, can I get reduced speed?” He really liked their service compared to the other companies, and he wanted to keep being a customer. However, they refused and cited their policy that they could not move or change anyone’s plan. So my dad took the battle higher, to a manager, who told my father the same thing. He emphasized, “I am a good reliable customer, I am not asking for more. I am asking for the same or less.” However, the manager told my father the same thing over and over. My father could not help changing the company and the new one gave him great service and we got our internet hooked up that same day. One month later, one agent who read the e-mails about my father’s requesting to move internet service and take action to fix the problem called back and apologized. Also, they tried to get my father to come back. My father was really upset and told them he will never come back in future.

In a real world, many customers as well as my father change their mind due to bad customer service. I know dealing with various customers is not easy. However, it is one of serious duties that companies have to solve. Companies should offer a reasonable solution from the point of customers’ view. If handle the situation well, they may even be able to improve relationship with customers, and create further opportunities. I am certain it takes such a long time and effort to win a reputation, once they has earned an excellent customer service fame, it can keep this advantage for a long period of time, since competitors are difficult to imitate.

Take a break! 🙂