Customer satisfaction is the key to the success of any industry. Services that meet or go beyond the expectations of its customers attain customer satisfaction. This could be attained by understanding customer expectations as well as customer perceptions about the service. We have already seen what could be the possible customer expectations in service industry and what factors affect these expectations. Let us now look at what customer perception means and what shapes these perceptions.
Explain the impact of customer service on the performance of the business Customer service is key to business performance. It helps business’s retain or grow existing customers and win new customers. It builds a business’s reputation and trustworthiness. It also enables a business to be more efficient by improving processes and reducing the number of problems created for customers. With the ability to quickly adapt and handle customer concerns, customer service represents an area small businesses excel in, according to the University of Maryland 's Robert H. Smith School of Business.
When a brand has loyal customers, it gains positive word-of-mouth marketing, which is both free and highly effective. Therefore, it is essential for businesses to effectively manage customer satisfaction. To be able do this, firms need reliable and representative measures of satisfaction. In researching satisfaction, firms generally ask customers whether their product or service has met or exceeded expectations. Thus, expectations are a key factor behind satisfaction.
CHAPTER ONE: INTRODUCTION Background of the study The impact of customer services is huge on customer satisfaction and loyalty. In order to understand these factors we need to explain the key words and their meanings. Customer satisfaction in other words emphasis on the high quality relationship with the customer, which in turn determines the satisfaction and loyalty of customer for services provider .The most important goal and objective of any organization is customer satisfaction and retention in long term attainment of the goal. Customer retention cost less than that of attracting new customer. A famous marketing theory of
There are no two opinions on the importance of customers for any organization. Customers are a key to success for any organization. Organizations go great distances to create customers and then to retain them as long as possible. Satisfied customers become loyal customers thereby generating lifetime value (a total sum of series of purchases that a customer is expected to make from a business over its lifetime) for the business organizations. Both theoretical as well practical studies have revealed that customer retention and relationship maintenance exert positive impact on organizational performance (Dovaliene, Gadeikiene and Piligrimmiene, 2007).
Customer satisfaction is the measure of how our product/service meets the customer value expectations. Customer relationships amount to more than just the sum of all customer interactions with our business. The customer relationship is a journey which commences before our customer is introduced to us, and persists long after the point of purchase of product / service. We build value for the customer in order to achieve customer satisfaction and loyalty that will achieve a customer relationship which will result in employee/shareholder/stakeholder value. Question
Customer satisfaction strategy has built a great deal of consideration during the past decades (Oliver, 1996). Therefore, satisfaction is in reality probably the most unassailable concepts of the modern management field (Oliver, 1996). Not simply does the idea of satisfying customers have a good, common-sense appeal, it can be also believed that customer satisfaction would lead towards loyalty, resulting in to increase higher profit gain (Oliver, 1996). For many firms, customer satisfaction is becoming the guiding principle for establishing marketing tactics as well as developing marketing activities. Customer satisfaction must not be described as a goal in its place, it should be considered as a means for improving the company's performance (Martensen et al., 2000).
Therefore, the value for money products or the services would obviously satisfy the customers. Five dimensions are there according to Howat, Crilley& McGrath (2009), such as, quality, price, behavioural price, emotional response and reputation. Therefore, customer satisfaction is the ultimate criterion to decide whether the services meet the perceived quality standard or not (Hafeez& Muhammad, 2012). Theresearcher has thus observed that customer value and customer loyalty are the two important factors of customer perceived
Customer service is vital for establishing and maintaining a loyal customer base. An excellent customer service culture is an essential part of a successful business or organisation. Quality products and competitive prices will take the back seat if your employees do not meet the expectations of your customers. Retaining customers will become a headache with rude and inexperienced customer service staff, ultimately leading to a drop in sales. Existing customers will take their business elsewhere, why patronise an organisation that has no regards for its customers?
Basically, the purpose of a business is to create customer satisfaction. This fact can be seen, that there are some things that can provide total customer satisfaction is customer value consists of the value of the product, service value, personnel value, the value of the image or images, and the total cost, consisting of monetary cost, time cost, energy cost , and the cost of mind (Kotler, 2000:50). The existence of good service quality in a company, create satisfaction for its customers. Once consumers are satisfied with the products or services it receives, consumers will compare the services provided. If consumers feel completely satisfied, they will buy again and give recommendation to others to buy in the same place.