EMBRACE Faith Ministries

Customer Service Rules - The Numbers Prove It

Companies who make customer service one of their priorities
not only delight their customers; they also delight their
investors.

The stock market has been crushed, as of late.  I'm not an
economist, but I recently found some interesting
information that may give an investor an edge, and it is
all because of customer service.

The connection between stock prices and customer service
cannot be ignored.  While we don't have data through the
current tumultuous economic cycle, we can look back at a
ten year period from 1996-2006, which included both a bull
and bear market. 

University of Michigan Ross School of Business Professor
Claes Fornell directs the National Quality Research Center
which manages the American Customer Satisfaction Index
(ASCI).

Vanderbilt University Professor Bruce Cooil used the ASCI
numbers to determine that certain high-level customer
focused companies could out perform the market.  Simply
buying a portfolio of companies with high ASCI scores
wasn't the answer.  But, companies with above average ASCI
scores who also had scores that had risen over the past
year far outperformed the market.  A portfolio that
consisted of these companies had a gain of 212% while the
Standard and Poor's 500-stock index gained 105%.

While the above numbers may not apply specifically to your
business, the concept does.  The effort and cost to provide
an outstanding customer service experience doesn't cost.
It pays!

-- Want to start a customer service revolution in your
company?  Shep Hyken's new book "The Cult of the Customer -
How to Create an Amazing Customer Experience That Turns
Satisfied Customers into Customer Evangelists" will be
released in April 2009.(Published by Wiley, hardback and
256 pages.) Whatever employees experience on the inside of
a company is similar to what customers will experience (on
the outside).  Is your company in "alignment?"  Does every
employee understand the vision? Do employees love their
jobs?  This book is filled with lessons, strategies and
case studies that will show you how to build a customer
service culture
that will amaze your customers (and
employees) make them say, "Wow!"  Also, check out
my website for customer follow-up and retention at:
www.sendoutcards.com/31635

Deniese Mack


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