Connect with us

Business Operations

What Can we Learn from Amazon’s Customer Service? A Lot!

Advertisement

I love Amazon! Over the past five years or so, I have purchased countless items from Amazon: books, DVDs, office supplies, electronics, coffee, assorted gifts and a lot more. In fact, rarely does a week go bywithout at least one Amazon package arriving from UPS.

Click Here to Read More
Advertisement

I even have my own “Recommended Reading Store” powered by Amazon.com. You can visit it by clicking here.
 
Apparently, I am not alone in my infatuation with the company. In the recently published 2011 Temkin Experience Ratings, Amazon was ranked #1 in customer service out of 143 large companies across 12 industries. According to Temkin, the results were based on feedback from 6,000 U.S. consumers that evaluated three components of the customer experience:

1. Functional: How well do experiences meet consumers’ needs?

2. Accessible: How easy is it for consumers to do what they want to do?

3. Emotional: How do consumers feel about the experiences?

Anyone who has attended my Pinnacle Perfomance sales/customer service trainings can tell you this is remarkably similar to my teachings of theingredients of a properly balanced world-class customer service organization. As an example, far too often I see businesses (in and out of the tire/auto service industry) that focus too much attention on meeting customers’ “functional” needs, compromising or outright neglecting the “emotional” aspects of the customer experience.

Advertisement

As I have stated many times, great customer service is a feeling thing; it’s how the customer feels when they’re doing business with you and, more importantly, how they feel and the stories they tell when their business transaction is complete. Amazon, as well as any company, figured this out and committed to consistently delivering a complete customer experience.
 
Speaking of Amazon’s customer-centric philosophy and success, Jeff Bezos, CEO of Amazon, said, "If there’s one reason we have done better than our peers in the Internet space over the last six years, it is because we have focused like a laser on customer experience, and that really does matter, I think, in any business. It certainly matters online, where word of mouth is so very, very powerful."

Advertisement

Here are a few Amazon best practices that every tire/auto service business can also do to improve the customer experience, customer retention and sales:
 
They Personalize – When you purchase any item from Amazon, you will often receive an email back that reads, “Customers that purchased what you just purchased are also interested in these items.”

Every time you visit the website and search for an item you are also shown alternative items that other customers have ultimately purchased. These types of recommendations personalize the customer experience and make customers feel like someone is paying attention and is interested in helping them. Speaking from personal experience, Amazon not only knows my buying history, they use it effectively to introduce me to other items aligned with my interests.

Advertisement

How well do you monitor and manage your customers’ specific service/product purchase potential? How well do you communicate this with them in ways that do not feel generic or one-size-fits-all?

They Keep You Informed – One of the biggest consumer grievances in all of customer service is the lack of progress updates once a business transaction is underway. This is especially true of service providers where consumers typically experience anxiety and frustration when they are not kept informed of developments with their job.
 
This issue rarely, if ever, occurs at Amazon. Place an order and you’ll receive an instant email with your order confirmation and estimated timeof delivery. Not long after that first email you’ll receive another with your shipping information and tracking number. Any questions along the way can easily be administered by e-mail or, if you prefer, by calling a real live human being on their customer service line.

Advertisement

Do you practice proactive customer contact? When customers are waiting for tires or service, do you check in with them and provide progress updates? Do you phone customers on drop-offs when their vehicle may be serviced longer than originally anticipated?

They Reward You – Amazon apparently understands a fact I reference in mytraining: Keeping existing customers is cheaper and more profitable than getting new ones. Accordingly, they have created a rewards program that, well, rewards customers for their loyalty. As an Amazon Rewards card holder, members receive points on purchases transacted with the card and can then apply those points as rebate dollars toward future purchases – something I regularly do!

Advertisement

Amazon is not alone in this endeavor. Most industry-leading retail and service companies have some type of customer rewards or loyalty program.Why? Because they work to strengthen the customer relationship, make customers feel that their business is valued above and beyond the transaction at hand, and provide an added incentive to continue the relationship.

What does your customer rewards program look like? If you don’t have one, why not? Are you losing business to competitors that may be benefiting from their program?

They Practice Customer-First When Things Go Wrong – The true test of a business’ customer service effort is not when things are going right – but rather what is done when things go wrong.

Advertisement

Consider this personal experience I had last December while attempting to purchase an MP3 player as a Christmas present for my daughter. Below is the self-explanatory communication between myself and Amazon customerservice.

Me: My MP3 product was delivered today. It arrived in a thin white box with "BP Consulting" on the return address. I opened it and was (still am) shocked and upset to find the product in a plastic bag with PC connecting wire and headphones – that’s it. There is no original productpackaging, users manual, mfg info, etc. I will leave packaging feedbackwith photo shortly. This is a gift and I can’t give it as is. Looks like I purchased, discarded packaging, used and re-gifted this way. Verydisappointed and need resolution ASAP (or sooner)

Advertisement

Actual response from Amazon.com Customer Service (received three hours after original message): Hello, I’m sorry to hear if your MP3 disc player arrived that way. This usually doesn’t happen. We make every attempt to package items securely to protect them during shipping, but sometimes cases like this occur.
We always appreciate customer input on how we can improve our store, andI’ve forwarded your message to our shipping department. I want to make this right for you, so I’ve requested a full refund for the MP3 player, since you received the item that way. This refund will appear as a credit on your credit card in the next 2-3 business days. We look forward to seeing you again soon. Did I solve your problem? Best regards, Donna A.

 
This response is right on many levels – there’s empathy, appreciation, no blame, accountability and action. You’ll notice I didn’t ask for a refund but that’s exactly what I received.

Advertisement

Customer service champs like Amazon realize it is far better to lose a little bit now than it is risking the loss of a customer for life.

Do you have a customer-first complaint resolution process? Do all your employees understand and are they empowered to use it?

Amazon practices world-class customer service every day. Following theirlead can make a real difference in your tire/auto service business results, as well!

Advertisement
Click to comment

POPULAR POSTS

Business Operations

How Data, Analytics Can Boost Profitability for Tire Retailers

Business Operations

Consider Software Solutions to Streamline Operations

Connect
Tire Review Magazine