Three Reasons Why Customer Service Directly Affects Your Bottom Line

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As a growing, or established staffing firm, you surely know that customer service may be one of your most important metrics. It can put you into a position to compete with competitors who have perhaps deeper pockets but may take their eye off the ball.

Probably most compellingly, it’s important to realize that customer service directly affects your bottom line. Some owners don’t make that connection, and unwittingly damage their chances of success.

Here are three reasons why good customer service is so important.

1) Word of mouth is a crucial element of success.

Your customers and potential clients (both your candidates and your business partners) talk among themselves. It is a truism that people remember negative experiences more than positive ones. And in this era of Yelp and Facebook, and overall social media connectivity, a bad experience can bedevil your business, and live after that initial bad customer experience.

A solution? There are numerous ones. Make your Website and apps accessible and user friendly. If you don’t have a FAQ page, it’s time to put one together.

In terms of your customer-facing staff (whether they are members of your recruiting team or sales staff or assistants) it’s important to train them in your culture and your policies. Everyone has been a customer, and we’ve all had experiences with people who say “I don’t know”, or “I don’t have the answer to that.” Give your staff the training so that they make your company look good.

1) Your competitors may be gaining on you.

Customer service isn’t just the right thing to do, it’s a solid business practice. Your competitors might be getting an extra edge by stepping up their game. American Express has measured customer service for years and puts out a semi-annual barometer report. It regularly shows that consumers say they have spent more with a company because of a history of positive customer service experiences. It regularly shows, also, that consumers state that they are willing to spend more with a company they believe provides excellent customer service. (You can see some of the stats here:

3) Customer retention.

Savvy owners and managers know that keeping your customers (again, whether they are candidates or business clients) is less expensive than finding new ones. Good customer service keeps these clients coming back.

According to Marketing Metrics, you’ve got a five to twenty percent chance of selling your services to a new prospect, while you have a sixty to seventy percent probability of selling services to an existing customer. Good customer service can make all the difference.

Why Madison Resources?

At Madison, we practice the good customer service that we advise. We offer more support to help staffing firms succeed than ANYONE else. Fully outsourced back office services. 100% payroll funding. World-class business intelligence. And exceptional staffing technology. Madison Resources gives you everything you need to drive sales, improve recruiting and deliver exceptional service.

Contact us today to see how we can help you today.