Customer Service is the New Marketing
Thursday, May 13, 2010 | 17 Comments
Tags: customer experience, Customer relationship management, Customer service, Marketing
Posted in: Customer service, Marketing
If actions speak louder than words, then it’s no surprise that customer service is playing a larger and larger role in peoples’ buying decisions. Today’s marketplace is packed with redundant products and services, so we turn to big-picture differentiators, like brand reputation and buying experience, to help us make purchasing decisions. This is also part of why we talk to our friends and networks about their experiences with a brand or product, and share our own experiences, as well.
Before the Internet, though, we’d tell a few friends about our fantastic or horrible experience with a brand, and they’d tell a few people, and eventually it would fizzle out, probably not having reached more than 20 people by the time the conversation died. But now, if we have a great (or equally bad) experience, we can share that experience in a blog post, a blog comment, a tweet, a video, a Facebook status update, and on and on, and that commentary could potentially be seen and shared by hundreds, thousands, or even millions of people.
That kind of mass exposure has a definitive impact on brand reputation and, ultimately, sales.
Now that your customers can have such a huge voice in the marketplace, it stands to reason that they need to be handled with a bit more care than the traditional customer service model allows. In the best case, that fantastic care you give will make your customers champions for your brand.
Customer Service is More Than a Department
Companies such as Zappos and L.L. Bean are known for their customer-focused business models. Everything they do, from pre-transaction to post-transaction is focused on making sure the customer experience is as high-quality as possible. Customer service for these companies is not just a department, it’s an important part of the corporate culture.
In these instances, because the customer service mindset lives outside the walls of a single department, the job of every employee to a certain extent is to speak on behalf of the customer. Internal and external conversations, marketing collateral, and larger business initiatives take into consideration the customer, making the entire system more inviting, personal, and people-friendly.
The Marketing Angle
At the end of the day, your business relies on relationships. People choose to buy from you because they like the relationship opportunity your brand presents — it feels good to them — and they come back because they get satisfaction from that relationship they’ve built with you. You’ve solved a problem of theirs and done it in a way that fits them.
To that end, strong relationships will always be talked about, be they with another person, a company, a product, or a service. We share the experiences we have in our relationships with others as a way to connect and relate, and the more extreme the experience (good or bad) the more it will get talked about.
Simply, if you provide top-notch customer service, people will talk about you. They’ll tell others about how well they were treated in your care, what they thought of your product or service, and if they’ll be going back to you for future purchases. With such good word being spread, others will be interested in your products and services, and they’ll seek you out, too.
Creating a positive and personal customer experience is a fantastic way to get people referring their friends, family, and larger networks to your company. The personal reference has power, and it’s one of the strongest marketing tools a brand can work to develop.
How are you improving customer service inside the walls of your company? How do you think those improvements will impact the way your customers, prospects, and community talk about you?
17 Responses to “Customer Service is the New Marketing”
Derrick on May 14th, 2010 at 2:42 pm
Great article! And it's so true. I recently shared this truth with a company that knew nothing about this simple truth. I had originally signed up to be their client, in good faith, only to discover that the company has such bad customer support that they couldn't seem to figure out how to give me my password that could give me access to their CRM product…which I had already paid for. After days of leaving messages and empty promises about fixing the problem I gave up and told them that I had given my business to another company, and I did so in writing. Not only would this company not give me a refund, but one year after the fact they sent me another invoice for another year. After I called the company to tell them I wasn't their client, they told me I still owe them the money regardless of the fact that I never used their product. Unbelievable! Then the turned "my account" over to an equally ruthless collection agency. The company I'm talking about ishttp://www.SalesBoom.com. I believe it's possible for them to learn the value in this truth about customer service, but until they do they should be avoided like the plague!
Sara Kate on May 14th, 2010 at 8:50 pm
This is absolutely true. I think that customer service is truly the original marketing. After all, what better than the recommendation of a satisfied customer? Or, even better perhaps, an unsatisfied customer whose experience was improved through customer service?
You mentioned L.L. Bean as one of the best companies for customer service and, as someone who grew up frequenting the store in Freeport, Maine and whose house was full of clothes, camping gear, and other practical goods from L.L. Bean I can attest to why they are great:
1. They have quality products. These products are something you can trust and believe in. If anything ever happens to them, there is a lifetime guarantee, so you can either return it to the store or ship it back and the company will either fix the original or, if it is not fit to repair, they will send you a new one. Honest.
2. They have great employee benefits and a good working atmosphere. Ever wonder why their employees work so hard? Because they are working for a company that not only pays the bills, but cares about the employee being able to pay the bills, get the health care s/he needs, time off that s/he deserves.
Clearly their customer service comes from a place of trust and appreciation. Were I to own and operate a business, that's exactly the kind of company I would want to run – one that benefits the employees, the customers and myself.
Sara Kate on May 14th, 2010 at 8:50 pm
This is absolutely true. I think that customer service is truly the original marketing. After all, what better than the recommendation of a satisfied customer? Or, even better perhaps, an unsatisfied customer whose experience was improved through customer service?
You mentioned L.L. Bean as one of the best companies for customer service and, as someone who grew up frequenting the store in Freeport, Maine and whose house was full of clothes, camping gear, and other practical goods from L.L. Bean I can attest to why they are great:
1. They have quality products. These products are something you can trust and believe in. If anything ever happens to them, there is a lifetime guarantee, so you can either return it to the store or ship it back and the company will either fix the original or, if it is not fit to repair, they will send you a new one. Honest.
2. They have great employee benefits and a good working atmosphere. Ever wonder why their employees work so hard? Because they are working for a company that not only pays the bills, but cares about the employee being able to pay the bills, get the health care s/he needs, time off that s/he deserves.
Clearly their customer service comes from a place of trust and appreciation. Were I to own and operate a business, that's exactly the kind of company I would want to run – one that benefits the employees, the customers and myself.
melissaattree on May 14th, 2010 at 8:50 pm
This is *it*! Word of Mouth has always been the most effective marketing tool. What I love about social media is that you can 'see' WOM in action and identify your brand fans or foes…priceless.
Many brands seem to forget that social media is all about people talking to people…they're just using new tech platforms to do it.
Back to basics, full circle – thanks for a cool article that reinforces the core principles of great cust service and marketing.
melissaattree on May 14th, 2010 at 8:50 pm
This is *it*! Word of Mouth has always been the most effective marketing tool. What I love about social media is that you can 'see' WOM in action and identify your brand fans or foes…priceless.
Many brands seem to forget that social media is all about people talking to people…they're just using new tech platforms to do it.
Back to basics, full circle – thanks for a cool article that reinforces the core principles of great cust service and marketing.
Steve Dodd on May 17th, 2010 at 2:27 pm
Teresa, this is so absolutely on target! There has been so much discussion lately about ROI in Social Media but it is all focused on sales and marketing performance stats. People don't seem to be thinking too much about customer service as a key SM business driver that has very distinct metrics and significant business value ROI. L.L. Bean has been the master of customer service for years and certainly has adopted technology to deliver value to customers. Zappos is obviously a significant example as well. The one I like to use is Dell. Dell gets heavily promoted in SM circles for their sales activities in SM but their major application for SM is their customer service channels. Caterpillar is another great example of customer service and community building through SM.
I personally believe this is the hidden gem of Social Media and would love to see more examples showing this value proposition and how companies substantiate this investment.
Steve Dodd on May 17th, 2010 at 2:27 pm
Teresa, this is so absolutely on target! There has been so much discussion lately about ROI in Social Media but it is all focused on sales and marketing performance stats. People don't seem to be thinking too much about customer service as a key SM business driver that has very distinct metrics and significant business value ROI. L.L. Bean has been the master of customer service for years and certainly has adopted technology to deliver value to customers. Zappos is obviously a significant example as well. The one I like to use is Dell. Dell gets heavily promoted in SM circles for their sales activities in SM but their major application for SM is their customer service channels. Caterpillar is another great example of customer service and community building through SM.
I personally believe this is the hidden gem of Social Media and would love to see more examples showing this value proposition and how companies substantiate this investment.
Teresa Basich on May 18th, 2010 at 2:36 am
Hey all,
Thank you so much for the wonderful comments! I think this just proves how integral good customer service is to a good business. It's simple, but businesses tend to put customer service in a corner instead of making customer service a cornerstone of their mission.
Steve, we're really aiming to tie together social media and customer service in a much bigger way, and hopefully we'll all start seeing some more solid examples of how this sort of investment is paying off, too. This is starting to click, but there's so much more work to be done to show the value of tying social strategies and channels to customer service initiatives.
Teresa Basich on May 18th, 2010 at 2:36 am
Hey all,
Thank you so much for the wonderful comments! I think this just proves how integral good customer service is to a good business. It's simple, but businesses tend to put customer service in a corner instead of making customer service a cornerstone of their mission.
Steve, we're really aiming to tie together social media and customer service in a much bigger way, and hopefully we'll all start seeing some more solid examples of how this sort of investment is paying off, too. This is starting to click, but there's so much more work to be done to show the value of tying social strategies and channels to customer service initiatives.
Smart Gray Matter on May 19th, 2010 at 7:01 pm
You are speaking my language Teresa! Great post. Businesses really need to start considering this as a #webfire is the last thing they are currently equipped to handle.
Smart Gray Matter on May 19th, 2010 at 7:01 pm
You are speaking my language Teresa! Great post. Businesses really need to start considering this as a #webfire is the last thing they are currently equipped to handle.
jeffbullas on May 20th, 2010 at 2:46 pm
Hi Teresa Yes customer service is the new marketing and Zappos have demonstrated it with their incredible success over the last decade with sales over 1.2 Billion per annum. They have used social media in their marketing effectively as well as their 13 blogs that communicate with their different target markets in their language. Cheers
jeffbullas on May 20th, 2010 at 2:46 pm
Hi Teresa Yes customer service is the new marketing and Zappos have demonstrated it with their incredible success over the last decade with sales over 1.2 Billion per annum. They have used social media in their marketing effectively as well as their 13 blogs that communicate with their different target markets in their language. Cheers
Customer Attrition on June 3rd, 2010 at 6:53 pm
The internet really has changed the way people network together. It is much easier now to find people's experiences with a company than ever before.
Customer Attrition on June 3rd, 2010 at 6:53 pm
The internet really has changed the way people network together. It is much easier now to find people's experiences with a company than ever before.
Derrick on May 14th, 2010 at 2:42 pm
Great article! And it's so true. I recently shared this truth with a company that knew nothing about this simple truth. I had originally signed up to be their client, in good faith, only to discover that the company has such bad customer support that they couldn't seem to figure out how to give me my password that could give me access to their CRM product…which I had already paid for. After days of leaving messages and empty promises about fixing the problem I gave up and told them that I had given my business to another company, and I did so in writing. Not only would this company not give me a refund, but one year after the fact they sent me another invoice for another year. After I called the company to tell them I wasn't their client, they told me I still owe them the money regardless of the fact that I never used their product. Unbelievable! Then the turned "my account" over to an equally ruthless collection agency. The company I'm talking about ishttp://www.SalesBoom.com. I believe it's possible for them to learn the value in this truth about customer service, but until they do they should be avoided like the plague!