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June 26, 2007

Study Reveals Customer Service Practices of UK Retail Sectors

By Susan J. Campbell, TMCnet Contributing Editor

Customer service is used so much in the contact center space that it has nearly become a mere buzzword, meaning little more than an acknowledgment that customers play some role in the whole picture. For those organizations that actually take this approach, it is likely they will soon be scrambling for a new strategy to attract new customers to replace those that they drove away.




Certain retailers in the UK seem to be demonstrating bad habits in customer service. New research from Navigator Customer Management examining over 100 key UK retailers reveals that while 4 out of every 5 FMCG brands now offers customers a careline, 20 percent of those customer calls never get returned.

Out of the FMCG sectors studied, Household Products emerged as the surprise winner. While this category displays the least amount of glamour, companies operating in this space appear to be pursuing the best practice. The cosmetics sectors, including both Skincare and Beauty, also put forth strong performances in inquiry handling standards and call answering rates.

The Food and Drinks sectors proved to be the biggest disappointment, despite the fact that they represent some of the highest spending categories of brand advocacy. Companies in this space consistently delivered below average scores, highlighting an urgent need for improvement.

Best practice demands in the market today require contact centers to provide their agents with the tools necessary to access key information on a customer. As a result, the customer is dealt with properly and relevantly, demonstrating that the company recognizes their value. Each of the sectors examined were assessed for live answering rates, inquiry handling quality and contact data/contact permission capture.

The Household Product sector scored above average on every area of assessment, while Food and Drink received consistently below average scores. It is expected that the combination of increasing advertising restrictions, health concerns and increasing legal obligations will inevitably inspire radical improvement in customer dialogue for the Food and Drink sectors in the near future.

Rob Denton, Joint Managing Director, Navigator Customer Management, commented in a statement, “While an overall majority of FMCG brand owners are employing carelines to enhance brand experience, a rump of poor practice is actively damaging brand perception.”

“All sectors studied have room for improvement, but household products stand out as the star of the show, with strong performances also coming from the cosmetics sectors. Food and drink score consistently lower than average, highlighting the improvements that need to be made by these sectors if they are to enhance customer experiences and even recruit customers to be brand advocates themselves.”
 
 
Susan J. Campbell is a contributing editor for TMC (News - Alert) and has also written for eastbiz.com. To see more of her articles, please visit Susan J. Campbell’s columnist page.
 
Want to learn more about contact centers? Then be sure to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP Communications industry. The library offers white papers, case studies and other documents which are free to registered users. The papers are authored by industry leaders, who, in turn, receive qualified sales leads from interested parties. Check here for the latest in CRM information.
 
 

(source: http://callcenterinfo.tmcnet.com/analysis/articles/7927-study-reveals-customer-service-practices-uk-retail-sectors.htm)

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