Constantly organizing and improving systems is a major service leadership
responsibility.
Better signs or color-coded lines can be simple examples of A-plus information.
The customer demand for fair value (which will remain constant into the future) makes
earning immediate profits critical for companies to be successful.
The discussion of newspaper auto reviews in the chapter illustrates the need for
companies to be aware of a constantly rising value bar.
Service intimacy tends to grow over time as the relationship with customers evolves.
Insight into what may be turning customers off”although sometimes difficult”is
essential to service improvement.
Targeted, personalized messages can be sent to huge audiences with today’s technology.
Some employees need to actually practice smiling like an actor might.
Online customers may feel left in a vacuum if the company does not communicate
efficiently, clearly, and in a timely manner.
Online merchant Zappos.com has a very sophisticated system that measures the speed
of call handling in an effort to make each customer call as brief as possible.
Required log-in for online customers may be regarded as a turnoff.
While listening capacity can clearly be hampered by too much information, it can also
be hurt by too little.
In a McKinsey and Company study of business-to-business customers, the most
frequently identified turnoff was ‘sales style [that] is too aggressive.”
Chipolte’s restaurants provide an example of A-plus information by telling customers
exactly what is in their burritos.
Measuring time spent by employees on telephone contacts is always a key to better
efficiency and stronger loyalty.
Unfortunately, you cannot use packaging to enhance value when selling intangible
products.
Your first reaction when hearing a complaint should be to demand additional or more
specific details.
High-stress customer contact employees such as card dealers in casinos need frequent
breaks.
So-called “ripple effects” of bad service are less damaging today than they once were.
When trying to influence people to change behavior it is best to offer a tangible reward
each time they avoid the unproductive behavior you seek to change.
We should avoid challenging customer complaints, instead taking a “let’s fix this”
attitude.
Managing others requires special skills not every employee has.
In a broad sense, a customer can be described as anyone with whom we exchange vale.
Inviting a customer to go to a better place to listen can signal goodwill and improve
understanding.
Avoid explaining or justifying until you have listened fully to the customer’s feedback.
Ongoing nave listening is more of an attitude than a strategy.
Good listeners listen with their faces.
After dealing with a difficult customer, put it out of your mind immediately.
Among the reasons callers might be upset are feelings that they are not valued, are
helpless, and “it” just isn’t fair.
People answering phones project the voice and image of the whole organization.
Creating A-plus value is primarily for external customers since many of these actions
will not work for internal customers (employees).
Most companies need to increase the number of complainers they hear from.
Do not answer a call too quickly as this will be perceived as being over-eager.
In most cases, you must be a manager or executive in a company in order to influence
the quality of customer service.
Customers don’t want to hear excuses or explanations about what problems the
company is facing.
The lack of effective listening may be the most common human communication
problem and can significantly damage customer service.
When choosing customer communication media, companies should typically focus on
efficiency.
Companies can”and should”continually teach their Web sites to learn and adapt.
Environmental elements that affect listening include:
A)noise.
B)use of gatekeepers.
C)individual listening capacity.
D)All of these are environmental elements.
When employees are dealing with a chronic complainer (the “customer from hell”), it is
important to:
A)force the customer to pose a solution, especially if he or she does not like yours.
B)repeatedly apologize.
C)accept their interpretation of the problems without questioning it.
D)All of the above.
A company’s organizational culture:
A)can be described as a company’s self-identity or shared mind-set.
B)is shaped by its shared sense of vision, values, heroes, rites, and rituals.
C)arises from such things as how its people dress, behave.
D)All of the above.
A major disadvantage of relying on Web-based e-service is:
A)that there really are no down-side disadvantages to e-service.
B)that it damages personal relationships.
C)that some companies try to make it a substitute for phone or direct contact with
customer service personnel.
D)the high cost of creating a web page.
In addition to ongoing feedback processes, companies should consider:
A)focus groups.
B)mystery shoppers.
C)explorer groups.
D)All of the above.
Customer loyalty is sometimes mistaken for:
A)customer satisfaction alone.
B)repeat buying alone.
C)a large share of the market.
D)All of the above.
Nordstrom department stores, which are well known for exceptional customer service,
uses:
A)an elaborate system to provide employees answers on how to handle any customer
situation.
B)a single 5 x 8″ card containing 75 words as its guide to employee behavior.
C)a well-detailed employee handbook.
D)a simple phrase, “treat the customer like a king” as its major guideline.
In the example in the text, a dissatisfied customer at Happy Jack’s store could cost the
store how much in revenues and other lost customers over a ten-year period?
A)$442,000 in lost revenue and 17 lost customers
B)$874,000 in lost revenue and 28 lost customers
C)$198,000 in lost revenue and 12 lost customers
D)The text does not estimate the total revenue loss.
When attempting to influence employees to change, a critical first step is to:
A)create conditions where people can have positive attitudes toward change.
B)be specific about what vital behaviors you want people to produce.
C)assemble a team of participants who agree on a course of action.
D)All of the above.
When a customer is not acknowledged or greeted promptly:
A)he or she is likely to estimate that the time waiting to be served is longer than it may
objectively be.
B)the organization misses an opportunity to establish a positive relationship.
C)the customer may leave the organization and go elsewhere.
D)All of the above.
Which of the following phrases would be acceptable for keeping a business
conversation tactful and professional?
A)What’s your name again?
B)Speak up. I cannot hear you.
C)You need to call our other branch for that information.
D)None of these are acceptable.
Which of the following can be an effective “icebreaker” when greeting a customer?
A)responding to some interest of the customer such as a sport or activity, based on cues
B)expressing appreciation for them coming in
C)talking about something of local interest like the weather
D)All of the above.
The oft-told story of the Nordstrom customer who returned a set of tires:
A)reinforces the need to maintain management control on what employees give away.
B)reflects poorly on the manager since Nordstrom doesn’t even sell tires.
C)shows how irrational some customers are.
D)illustrates positive ripple effects that can come from a service tale becoming a
legend.
When taking a message from a caller for another person, be sure to:
A)get the full name and correct spelling.
B)include the name of the caller’s organization if appropriate.
C)note the time and date the message was taken.
D)All of the above.
The U.S. insurance industry data reveal that:
A)there is an awareness of the importance of giving quick answers to customers.
B)although improving, there are still significant opportunities to exceed customer
expectations with better responsiveness.
C)responsiveness to customer inquiries is improving.
D)All of the above.
This chapter cites as examples of failing to build value with credibility the following:
A)live bands in the parking lot that play unpopular music.
B)airline frequent flyer programs.
C)products that break down.
D)None of these.
E-commerce has affected customer service by:
A)reducing the need for good face-to-face transactions.
B)eliminating the need to write a letter to complain.
C)making spreading the word about service experiences easier than ever.
D)reducing the impact of complaint web sites since there are now so many of them.
You can best overcome the problem of dead air by:
A)just ignoring it, customers expect some of it in most calls.
B)keeping the customer informed of what you are doing.
C)using air fresheners in the office.
D)recognizing that it can provide emphasis for what you are saying.
Regarding courtesy titles,
A)their use is inappropriate except in very formal organizations such as law firms or
banks.
B)they sound stuffy and are unnecessary in modern commerce.
C)they are an old-fashioned idea that has little merit today.
D)call handlers show respect for callers by using the more formal, Mr. or Ms.
“Industrial intimacy”:
A)refers to the value of personal hygiene products.
B)is best achieved when the company offers one-size-fits all service.
C)should be a major goal of companies even if it hurts profitability.
D)comes from better understanding of specific customer needs and wants.
People in an organization who are responsible for articulating a value proposition are:
A)top leaders (owners or executives).
B)middle managers.
C)employees at all levels.
D)Both A and B.
Companies should actively solicit feedback for the following reason(s):
A)dissatisfied customers tell many others thus creating negative ripple effects.
B)on average, one customer in four is dissatisfied with some aspect of a typical
transaction.
C)only 5 percent of unhappy customers will complain to the company.
D)All of the above are good reasons for getting corrective feedback.
Examples of associated value include:
A)how reliably a web site stays up and running.
B)product cost.
C)product reliability or durability.
D)the experience of dealing with the company.
Some businesses offering exceptional convenience may be:
A)almost any mobile shop or vendor.
B)taco trucks.
C)products packaged together with all ingredients.
D)All of the above.
Regarding acts that get customers to interact with the company:
A)it doesn’t matter so much what they do so long as they begin to do something.
B)can take the form of inviting them to begin filling out paperwork.
C)can help them sample the company culture.
D)All of the above.
The amount of call screening your customers face:
A)is a good way to handle specialized problems.
B)reduces stress.
C)shows them how important you are in the organization.
D)reveals something about your phone use attitudes.
The McDonald’s story in this chapter is presented to:
A)make students hungry.
B)illustrate the importance of having consistent systems.
C)stress the importance of low prices.
D)emphasize potential value turnoff problems.
An Oracle Corporation study concludes that ultimately there are only two things that
can give a company long-term, sustainable advantage in the marketplace:
A)a company’s culture and the relationships it fosters with customers.
B)good working conditions and generous pay.
C)lowest prices and location.
D)best value and highest quality of products.
Vital behaviors are:
A)activities that are required by law.
B)specific actions that have the greatest impact on good service.
C)the same as good attitudes.
D)not particularly important when influencing employees.
A behavior that can impact customer service includes:
A)living by a positive mission statement.
B)poor work attitudes.
C)giving great service.
D)greeting customers promptly.
Customer loyalty manifests itself in key customer behaviors including:
A)repeat buying (or the intention to do so).
B)resistance to switch to a competitor.
C)willingness to recommend the company to others.
D)All of the above must be present for customer loyalty.
Regarding the use of blogs in customer service:
A)about 80% of customers read a company’s blog.
B)blogs are useful for venting and expressing complaints, but rarely for providing
service.
C)companies should use real-time online conversation and be involved in dialogue with
customers.
D)although trendy, blogs have little practical application for customer service.
“The customer is always right”:
A)is the best attitude to get employees to give great service.
B)may distort the importance of thinking about win-win relationships, not who is right
and who is wrong.
C)is an excellent motto for any organization.
D)sets up companies to fail when the customer is actually wrong.
In discussing things that remain constant, the chapter refers to caring, concern and
competence. Describe three ways to do this as discussed in the chapter.
Describe four things (of the six things mentioned in the chapter) that audits of a
company’s writing should look for.
Why should companies seek to recover potentially lost customers? What do studies
show about the cost advantage of such recovery efforts?
This chapter describes seven ways to enhance a customer’s perception of value.
Describe five of these with a brief example of each.
If you do not work directly with customers, of what value is the information in this
book? In what way is “customer service” relevant to you?
Explain “feedback fatigue.”
What are the two most common challenges to telephone use effectiveness that can
negate the benefits of such customer communication?
Name the three kinds of customer turnoffs described in the chapter. Who, in an
organization, is primarily responsible for each?
What are the two major steps we should take to act on customer complaints? Describe
these.
What are some aspects of a company’s appearance and grooming that should be
monitored for appropriateness?
The chapter describes three levels of commitment to feedback. Name and briefly
describe these.
The sidebar story “of wine corks and perceived value” poses a problem for wine
makers. Describe this problem and the suggested ways they might change the
perception of value.
Three areas of having the greatest impact on customer service and loyalty are discussed
in this chapter. Name these and give a brief example of each.
Describe four positive steps to better listening discussed in the chapter.
Explain the distinction between attitudes and behaviors. Why is it important to focus on
behaviors rather than attitudes when seeking to improve customer service?
What is Web-based customer service and why is it important?
The chapter gives five central ideas for recovering potentially lost customers. The first
is to empathize with the dissatisfaction that caused them to quit doing business with
you. (Feel their pain.) Name and briefly describe the other four ideas.
Customer service professionals greatly improve their ability to build customer loyalty
based on their ability to understand two kinds of insights. Describe these.
Describe three examples of “verbal disciplining” your self-talk.
Describe FAQs and other knowledge bases. How can these provide helpful customer
service?