5.13

• Good customer relations involves more than just ensuring staff are friendly and helpful in their

  dealings with customers. Most competitors will be doing this much, and so it does not

  differentiate the business sufficiently. Superior customer relations involves an enhancement

  of the customer experience, so that your business becomes the automatic destination of

  choice for anyone seeking the products you sell.
• Customer service refers to how well a business responds to the needs and problems of the

  customer. Quality customer service will result in improved customer satisfaction and a positive

  reaction from customers towards the products they purchase. This establishes a sound

  customer base with the possibility of repeat purchases. Establishing superior customer

  relations will require a proactive approach. A successful business owner will invest in training

  staff, so that they are not only friendly and approachable, but also highly knowledgeable about

  all products sold.
• Such a business owner will also ensure that every aspect of the business is

  customer friendly, with clear signage pointing customers to different product ranges,

  uncluttered product display, and staff members who are alert and ready to offer assistance

  before they have to be asked.
• Being proactive means anticipating possible problems before

  they arise, and having all the systems and processes in place to prevent those problems

  occurring. For example, a business should have policies established for dealing with customer

  complaints or returns and exchange of goods. Quality service does not just happen by

  accident, but has to be planned in detail, with clear guidelines for staff to follow, and a culture

  that puts the customer first.
• Businesses will attempt to assess levels of customer satisfaction

  in a number of ways. The return of customers on a regular basis

  is usually a sign that the customer believes they are receiving

  value for money. A business can also seek feedback from its

  customers. Businesses today often collect the email addresses of

  customers, and then send them surveys to allow them to provide

  feedback.
• Good customer relations means welcoming complaints and using them as a basis for improvement. Handling complaints effectively can

  lead to a better understanding of customers’ expectations, improved customer satisfaction and loyalty, and a reputation that will

  attract more customers. It is better to have customers telling the business owner how to improve than having them make negative

  comments only to their friends.
• A successful complaints-handling system will include the following features:

  • the ability to deal with complaints immediately, and keep the customer informed if the resolution of the problem is likely to take more

  than 48 hours

  • a simple process for customers to complain and clear communication that complaints will be welcomed

  • a procedure by which detailed information on types of complaints is kept and fed back into business processes to make changes

  where necessary.
• While there is a legal requirement to offer refunds or replacement products in some cases when goods are returned, it is not necessary in

  every case — such as when a customer simply changes their mind. Going beyond simple legal requirements by having a flexible returns

  and refunds policy can enhance customer relations.
• If the return of goods is dealt with in a reluctant or argumentative way, it is highly likely that a customer has been lost forever. Being

  willing to listen to the reasons a customer wishes to return a product, being sympathetic to those reasons and offering replacement

  products, possibly at a discounted price, will encourage the customer to return in the future. Staff should be empowered by the owner

  or manager to use their judgment in achieving the best outcomes in these situations.
• A highly successful customer relations strategy is loyalty programs. A

  customer loyalty program is a rewards-based program offered by a

  business to customers who frequently make purchases. Many

  businesses offer customer loyalty programs. Coles and Woolworths

  may ask for a loyalty card at the checkout; however, many loyalty

  programs are now run through online apps. These apps can provide

  the customer with instant discount coupons.
• Today when anyone mentions the name of a business, the

  immediate response of most people is to ‘check out the

  website’. The fact that we can do this instantly on our

  mobile phones makes a customer-friendly website a

  necessity for just about every business. If you can’t examine

  a website before you visit a business, you will probably

  instead visit an alternative that has a user-friendly online

  presence. An informative, easy-to-navigate website is an

  essential part of the customer relations strategy.
• A business can also set up a mailing list database to send

  emails or text messages to update regular customers with

  details of special deals or discounts. Customers value

  regular updates to websites. They will quickly be turned off

  by information that is out of date.
• Australia is a multicultural nation. Approximately 29.1

  per cent of Australia’s estimated resident population

  was born overseas (this is around 7.5 million migrants).

  A business operating in an area where large numbers

  of potential customers have a first language other

  than English can reap the benefits by hiring staff with

  an ability to communicate in languages spoken by the

  community.
• Prominent signage can alert potential

  customers that the language they are most

  comfortable with is spoken within the business.

  Demonstrating sensitivity to a variety of different

  cultures will ensure that customers return frequently,

  and will value the recognition the business shows

  them. They will also speak positively to their friends,

  attracting new customers.
• Business owners and managers should be

  proactive in providing quality customer

  service.
• Customer relations strategies can include

  treating complaints and requests for refunds

  and replacements in a positive manner.
• Businesses can also use customer loyalty

  programs, an online presence and

  connecting with the multicultural community

  as customer relations strategies.