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 * 09-04-23
 * modern ceo


GREAT CUSTOMER SERVICE IS A COMPETITIVE ADVANTAGE, SO WHY ARE SO MANY COMPANIES
GETTING IT WRONG?


CHATBOTS CAN’T ANSWER EVERY QUESTION.

[Photos: Yan Krukau/Pexels; Rawpixel]
 * 
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By Stephanie Mehta3 minute Read

Hello and welcome to Modern CEO! I’m Stephanie Mehta, CEO and chief content
officer of Mansueto Ventures. Each week this newsletter explores inclusive
approaches to leadership drawn from conversations with executives and
entrepreneurs and from the pages of Inc. and Fast Company. If you received this
newsletter from a friend, you can sign up to get it yourself every Monday
morning.




--------------------------------------------------------------------------------

I recently worked a shift in our company’s customer service operation. With the
help of two very patient colleagues, I processed tickets and toggled among four
different software tools (the actual reps use at least six platforms). I called
one reader to make sure his issue was resolved. And I came away marveling at how
the crew at a smaller enterprise like Mansueto Ventures juggles the complexities
of solving our customers’ problems.


CUSTOMER SERVICE VS. LIP SERVICE

The topic of customer service doesn’t get the same attention as other company
operations. Business publications today primarily write about customer service
when it fails. Executives prefer to talk “customer centricity” instead, which
suggests a culture focused on customers and their success. However, “at too many
companies it is mostly hype—a rebranding of traditional marketing, sales, and
customer service that involves no fundamental change and delivers little
benefit,” writes a quartet of consultants from Vantage Partners in California
Management Review.

When done right, though, customer care is a competitive advantage. A fresh
approach to customer service helped companies such as T-Mobile and JetBlue wrest
market share from established rivals. Customer service leaders are exerting
their influence at their companies, saying their top priorities are to improve
operational excellence and contribute to revenue growth.




STRIKE THE RIGHT NOTES

Many customer service operations are embracing self-service and bots to reduce
call volumes. The promise of these AI-powered tools is that human reps will be
freed up to handle complex questions or high-value customers. Alas, in my
personal experience, this hasn’t been the case. I recently needed information
about currency exchange from my bank, a global financial services provider. The
chatbot could not answer my question. The call center disconnected me twice
before I got a live representative, who also did not have the information I
needed, nor could he escalate to a more senior agent who might be able to assist
me.

I’m not the only one feeling frustrated: More than three-quarters of consumers
surveyed in 2022 by Harris Poll and now-shuttered tech site Protocol said
customer service had stayed the same or worsened since the start of the
pandemic. Some 70% said they preferred real-time communication, and 91% said
they found phone calls useful.

I know from my own stint as a customer service rep—and from talking with our
company’s customer service leaders—that this stuff is hard: employee turnover is
high, the volume of calls is rising, the work can be repetitive. But there are
those that get it right: Every time I call my family’s healthcare provider,
which is part of a large medical group that uses a call center to field
inquiries, I always speak to a representative, often friendly, always courteous,
who always confirms any information before passing it on to a nurse or
physician. The system has been in place for more than a decade, and I can’t
think of a single time a message was bungled or a call went unreturned.

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WHO ARE YOUR SERVICE ALL-STARS?

What companies provide great customer care? What makes their service
exceptional, and what can my bank learn from them? Send your kudos to me at
stephaniemehta@mansueto.com. It would be fun to compile a list of readers’
picks.

Read and watch: customer service

Now is not the time to cut corners on customer experience



3 ways companies can use customer service to stand out

From the archives: Ideo on design thinking and customer experience

HBR: Kick-ass customer service



Work Smarter, not harder. Get our editors' tips and stories delivered weekly.

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ABOUT THE AUTHOR

Stephanie Mehta is chief executive officer and chief content officer of Mansueto
Ventures, publisher of Inc. and Fast Company. She previously served as
editor-in-chief of Fast Company, where she oversaw digital, print, and live
journalism

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