Retail sector news

Customer service ‘make or break’

7/10/2009
A new report has suggested that good customer service isn't just a retention tool - it can also boost profit margins.

A survey by 'Customer experience' consultancy Retail Eyes has found that 70% of consumers would pay more for a product if it meant better customer service. Retail Eyes also reports that more than half of us will give up on an intended purchase in a shop and walk out if the service is poor.

CEO Tim Ogle says that the smallest things can affect our experience of customer service – for example if the staff look bored, or distracted, or scruffy, customers get irritated.

By contrast, 46% of respondents said that helpful and understanding staff are the most important part of their shopping experience. Service in shops was ranked well below that of restaurants, hotels and even supermarkets.

With some analysts estimating that spending could be down by a third this Christmas, creating the right balance in giving shop customers the right level of attention – particularly after the savage cost-cutting that has taken place across the sector.