Comments on: Customer Service: Why No One Bothers http://weakonomics.com/2009/10/19/customer-service-why-no-one-bothers/ Everything That's Wrong With You And Your Money Wed, 23 May 2012 01:09:00 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: RR http://weakonomics.com/2009/10/19/customer-service-why-no-one-bothers/comment-page-1/#comment-3163 RR Mon, 26 Oct 2009 02:50:57 +0000 http://weakonomics.com/?p=3222#comment-3163 So true! Customer service counts only when the company does not have to expend too much resources. I was recently laid of from my job - my department was outsourced to India. We were constantly told to focus on customer service. Outsourcing to India saves on money but diminishes the level of customer service considering the language (American English vs Indian English) and culture barriers. I have personally experienced the frustration of dealing with outsourced (credit card) customers services reps. So true! Customer service counts only when the company does not have to expend too much resources. I was recently laid of from my job – my department was outsourced to India. We were constantly told to focus on customer service. Outsourcing to India saves on money but diminishes the level of customer service considering the language (American English vs Indian English) and culture barriers. I have personally experienced the frustration of dealing with outsourced (credit card) customers services reps.

]]> By: Financial Samurai http://weakonomics.com/2009/10/19/customer-service-why-no-one-bothers/comment-page-1/#comment-3143 Financial Samurai Wed, 21 Oct 2009 04:31:00 +0000 http://weakonomics.com/?p=3222#comment-3143 The reps just aren't properly incentivized, and callers are generally pissed off folks. Next to a meter attendant, this could be one of the worst jobs around! The reps just aren’t properly incentivized, and callers are generally pissed off folks.

Next to a meter attendant, this could be one of the worst jobs around!

]]> By: Mneiae http://weakonomics.com/2009/10/19/customer-service-why-no-one-bothers/comment-page-1/#comment-3137 Mneiae Mon, 19 Oct 2009 17:04:31 +0000 http://weakonomics.com/?p=3222#comment-3137 This is totally true. Have you read Trade-Off by Kevin Maney? He argues that there is a tradeoff between convenience and fidelity. AMEX Black Card holders have high fidelity, because they are handled well. Personally, I've had a wonderful experience with Chase, so I would argue that their customer service is very good, though I don't have an Amex and cannot compare the two. One place that has lost me because of customer service issues is Dell. Dell's customer service is incredibly bad, and that is a pretty popular opinion. Calling them is a veritable nightmare and not only have I gone off them, I've switched to Mac, so horrific was my experience. Mac has extremely high fidelity and I'm happy beyond belief with my Mac. I still have two Dell computers, but when they die, as all Dells do, I'm buying a Mac. They have much better longevity and contract fewer viruses. This is totally true. Have you read Trade-Off by Kevin Maney? He argues that there is a tradeoff between convenience and fidelity. AMEX Black Card holders have high fidelity, because they are handled well. Personally, I’ve had a wonderful experience with Chase, so I would argue that their customer service is very good, though I don’t have an Amex and cannot compare the two.

One place that has lost me because of customer service issues is Dell. Dell’s customer service is incredibly bad, and that is a pretty popular opinion. Calling them is a veritable nightmare and not only have I gone off them, I’ve switched to Mac, so horrific was my experience. Mac has extremely high fidelity and I’m happy beyond belief with my Mac. I still have two Dell computers, but when they die, as all Dells do, I’m buying a Mac. They have much better longevity and contract fewer viruses.

]]> By: Rob Bennett http://weakonomics.com/2009/10/19/customer-service-why-no-one-bothers/comment-page-1/#comment-3136 Rob Bennett Mon, 19 Oct 2009 15:23:06 +0000 http://weakonomics.com/?p=3222#comment-3136 <i>So it isn’t that business don’t bother with customer service, they’re actually customer service experts. </i> I don't agree with this conclusion. I do agree that this is the take of the companies involved. These companies hire bean counters to tell them where they should direct their limited resources. Money spent on customer service often does not yield a quantifiable benefit. Good customer service may make a customer for life and bad customer service may send someone to the competitor for life. But the person who is thrilled or sickened with his or her customer service experience often does not say so in a survey. If it isn't said in a survey, the experience doesn't count for purposes of the bean counters. The idea that things that cannot be effectively counted do not in fact exist is the greatest fallacy of the modern age, in my assessment. Businesses are destroying themselves by providing poor customer service. But the numbers guys say that they are doing the smart thing and that makes them happy. Companies in which all the top executives think they are doing a wonderful job fail all the time. Rob So it isn’t that business don’t bother with customer service, they’re actually customer service experts.

I don’t agree with this conclusion. I do agree that this is the take of the companies involved.

These companies hire bean counters to tell them where they should direct their limited resources. Money spent on customer service often does not yield a quantifiable benefit. Good customer service may make a customer for life and bad customer service may send someone to the competitor for life. But the person who is thrilled or sickened with his or her customer service experience often does not say so in a survey. If it isn’t said in a survey, the experience doesn’t count for purposes of the bean counters.

The idea that things that cannot be effectively counted do not in fact exist is the greatest fallacy of the modern age, in my assessment. Businesses are destroying themselves by providing poor customer service. But the numbers guys say that they are doing the smart thing and that makes them happy. Companies in which all the top executives think they are doing a wonderful job fail all the time.

Rob

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