Don Hales, founder of World of Customer Service takes time to speak with Fizzback’s Head of Customer Transformation, Lee Mostari, on how technology is being implemented to drive improvement and excellence in customer service.
So, can you start by telling us, why you are so interested in Customer Service?
Don: I always knew how important customer service was to the well being of organisations but when I launched the National Customer Service Awards in 1999 and, as chairman of judges, began listening to the presentations of so many outstanding individuals and teams, I really came to appreciate just what a difference great service could make.
How good do you rate customer service in the UK right now?
Don: Well the Institute of Customer Service do a bi-annual survey – The UK Customer Service Index, which shows that customer service in UK has generally improved over the last few years but overall is still short of being “World Class”.
When I ask delegates at conferences how important they think customer service is within their organisation and how do they rate customer service in the UK generally, they always rate importance at 9 or 10 and for delivery it is usually about 6. Sometimes a bit lower and occasionally it might reach 7 (but not often). So we have a long way to go.
What can Contact Centre Managers do to improve Customer Service?
Don: Empower their agents to listen to customers and treat them as individuals. The one-size fits all approach only works for those of that particular size.
The contact centre leaders must engage with their staff, improve skills and confidence through coaching and training and listen to what the agents are saying about their experience with customers. The agents often know more than management about this aspect as they are close to customers but they need help to understand what they are experiencing and have the confidence to relay their massage to their bosses.
What part does employee incentivisation around Customer Satisfaction play in a company being a more customer centric organisation?
Don: This can play a big part – as long as the organisation incentivises the right things. For example, incentivising sales can lead to agents overselling and giving a lesser service to customers who are unlikely to buy on that call. Incentivising on number of calls taken or average call length, whilst important factors for management in the overall running of the centre, can all lead to unsatisfactory calls.
I have been greatly impressed with contact centres where the only measurement used for reward and recognition is agent behaviour. They measure the call against whether the agent exercised the right behaviour for that call. Their results have been impressive, including the fact that whilst no agent has a sales target, the contact centre as a whole exceeded its sales target (because agents exercised the correct behaviour when a sales opportunity arose) and were the only contact centre within the company to achieve their sales target!
What do you think comes first within a Service Company, Employee Satisfaction or Customer Satisfaction?
Don: Great question. I think one has to appreciate that Customer Satisfaction is the most important aspect – the Holy Grail, if you like – but to achieve that you must first look after the staff. They must be fairly rewarded (which does not just come down to paying “top dollar” all the time), know they have prospects for personal and career development, have a good working environment and believe that everyone is treated fairly. Also they need to feel valued by the organisation and believe in the products and services.
Happy Staff equals Happy Customers and whilst this may sound like a cliché, it is absolutely true. What kind of service would you expect from an underpaid, undervalued, unhappy and slightly bullied staff member?
So whilst customer satisfaction is the end game, staff satisfaction comes first in order to achieve this.
What do you think has been the most important development in Customer Service in the last 10 years?
Don: It has to be the advance of technology and the use of electronic communications. Everything is faster and more immediate than ever before. Customers are more demanding, more knowledgeable and more empowered than ever and this will continue. Companies need to stay, not abreast, but ahead of the game. Sadly this is not always so.
What part do you believe Social Media plays in Customer Service?
Don: It depends from sector to sector but whatever the level in any particular sector, it is going to grow in importance. The immediacy of social media, its widespread (and accelerating) use means that companies must have a well thought through strategy for this. The smarter companies will use social media to their advantage but others will lag behind due to indecision, suspicion of the media and sheer lethargy.
Should Social Media strategies be integrated into Customer Service strategies?
Don: You bet. Again smart companies are already on to this and others are testing the water. Many customers will expect to engage with their product and service providers in this way and those companies that do it well can create customer fans and advocates.
How would you recommend a Company becomes more customer focused?
Don: Listen to customers, understand their needs and their feelings. Provide an empathetic service and train, coach and engage with staff to provide this service. If you do this correctly, it is not a cost issue as the saving in complaint handling, increased business and reduced staff and customer churn will more than repay any outlay to get there.
Do you believe big businesses should have Customer Experience Strategies or should Customer Experience just be a way of doing business?
Don: Both. Companies should have strategies to provide a great customer experience and to continually look for improvements to meet the fast changing business environment but that does not prevent the general ethos of the company to be all about providing a great customer experience as part of their corporate DNA.
In your view, what part does customer feedback play in improving customer service?
Don: Feedback in all walks of life is important. As a professional speaker on service and related issues, I always want to know what my audience thought. Usually, they are very complimentary but when my scores slip a little I am anxious to see why and what I can do to improve. Otherwise, I would go on making the same mistakes until eventually people stop asking me to appear.
It is the same in customer service. Feedback is essential. Even when results are excellent, you need to keep measuring because requirements and perceptions can change and standards can slip.
The most important thing about feedback is to accept with grace (not complacency) the good stuff but really examine the critical elements. Do not be defensive or try to justify or, worse still, identify someone to blame. Just keep saying “how can we improve?”
Being as passionate as you are about Customer Service, how do you react if you experience poor customer in your day-to-day life?
Don: Funnily enough I have a low boiling point and tend not to create a fuss. I get my revenge by taking my business elsewhere and……almost uniquely, I have the extra weapon of being able to relate the story to many hundreds of delegates at my sessions, until the next story comes along.
About Don
From early on in Don’s career and throughout his time in the competitive world of Financial Services, he instinctively knew the value of good customer service and soon established himself as a leading seller in Legal & General. It wasn’t long before Abbey Life headhunted him to work alongside their leading salespeople, developing business with high net worth customers. When the principal directors of Abbey Life (including the now Sir Mark Weinberg and Lords Joffe and Lipworth) left to form a new company, they invited Don to head up the Bonds Department, where he became a key member of the management team and saw Hambro (now Zurich Life) become a major player in the market. By 1979, Don and four colleagues formed their own company which was later sold to The Sun Life Group.
His first role in this new company was Marketing Director, with responsibility for developing the sales force. By 1984, the company had reached 500 sellers, with the highest average earnings and best retention rates in the industry for both business and sales force. By 1988 he became Managing Director before leaving in 1990 to take on role of a business advisor and management consultant to clients such as Scottish Widows, Black Horse Life and a traded endowment company, Policy Portfolio.
In 1997, Don linked with Quest Media as their Deputy Managing Director, to launch the National Sales Awards and followed three years later with the National Customer Service Awards. When Quest Media was sold in 2007, Don had helped the company grow into one of Europe’s largest award organisers as well as developing an exciting range of business relationship magazines and conference programmes.
To date, Don has addressed audiences in 18 different countries and contributed hundreds of articles to dozens of publications in recent years and has close ties with the Institute of Customer Service and the Society of Consumer Affairs Professionals, as well as most of the leading academics, trainers and consultants working in the customer focus profession. His long awaited first book: “WOW! That’s What I Call Service”, was published in 2007.
