CUSTOMER service operations are bulky, cumbersome cost centres, haemorrhaging money and resource for what can often seem like little reward or return on investment. However, no matter what industry you operate in, you cannot do without it, and you cannot afford to do it badly. Aggrieved, dissatisfied or unhappy customers cost money. Never has this been truer than with the advent of social media.
Customers have embraced the web and social media as their preferred source of product and satisfaction information. Furthermore, peer reviews and ratings are becoming trusted above all other sources.
Twitter's recent figures state that one billion tweets are posted per week and up to 500,000 new accounts have been set up in a single day. It stands to reason that bad reviews, complaints or negative mentions that appear in the social cloud can spread like wildfire.
It only takes one influential person to draft 140 characters on a negative experience with your company before 250,000 followers see it, and their decision to do business with you is influenced. The sheer scale of these social media sites, combined with the real-time nature of content, poses a threat to businesses' bottom lines like never before.
Without an efficient, proactive process to deal with negative sentiment in the social cloud, the damage to a business brand might be irreversible.
Protecting brand reputation
A recent survey by IAB UK found that 27% of consumers expect a response within days when complaining via a company website, but expected a response within the hour via Twitter and Facebook. Time is clearly of the essence, and there is a worrying trend emerging where customers are exploiting this, and the wider corporate fear of social media, to get what they can for free. And it is working.
Many businesses are becoming increasingly concerned, and affected, by what is being termed as "social media bullying". For business-to-consumer (B2C) relations in particular, the unprecedented reach and visibility of social online communities and networks have introduced an ugly dimension to this phenomenon.
Customers are leveraging their social clout to solicit better deals from businesses – whether it is free product replacement, upgrades, free shipping, unwarranted discounts or rapid service levels.
There are two key reasons this is working so well. First, it is easier for customers to hide behind the anonymity of a social persona than complain on the phone; they are bolder in their statements, can be persistent in their objectives and more threatening in their demands. The second reason is that few businesses have adequate policies in place for customer service on social media; the potential speed and scale of the medium causes knee-jerk reactions from business and personnel, enabling customers to break through the red-tape processes of contact centres and often get what they want, faster.
"Buying off" these bullying customers by succumbing to the freebie requests may well stem the tide of negative brand sentiment in the short-term, but it does not resolve the problem and will quickly become a cost issue as others cotton on. If bullies sense that policies are more lenient or the quality of answers is better on social channels, it will set off a stampede – everyone will go social to get the best service, best terms, and best deals.
Instead, organisations must apply the same customer service ethics and policies from elsewhere in the business into the social media sphere. For example, you would not expect an employee from finance or HR that has never been customer facing to simply get to work in the contact centre, and respond to customer complaints, without any training. So why would that be okay on social media?
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This web seminar will explain how finance directors can monitor and understand the various financial costs of staff turnover, including logistical costs and the impact of lost productivity as new employees are brought up to speed
8.30am, 26 Jun 2014
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