An article posted this summer on MSN News, gives shocking statistics that relay an overwhelming message of customer dissatisfaction. It states that 64% of consumers have walked out of a store as a result of poor service, and an even greater 67% have hung up the phone after a disappointing experience with a call centre.
Among the top contenders for worst customer service was America’s low cost giant, Wal-Mart. Initially I did not find this surprising as the company employs a low price strategy, and is therefore able to get away with a small focus on customer service. After further research, however, I found an statement from Wal-Mart President, Bob L. Martin, that said “one of the major strategies of the company is the promotion of a global brand name.”This statement in context with the above statistics provides a puzzling juxtaposition to me as a company’s brand name is associated with the overall organizational culture of the company, not just their primary strategy. Wal-Mart is spending unnecessary money and resources on advertising campaigns (such as their partnership with Yahoo), and neglecting a highly important marketing faucet: their customers.
In my opinion, the company would be better off improving their customer relations than spending money on external advertising.
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