Customer service is the greatest acquisition strategy in any financial services
Satisfaction of the customer’s needs is the pre-requisite for the existence of the bank. The essence of marketing is about understanding, creating and retaining customers. Each individual working in the bank should be a marketing person, contributing to the total satisfaction of the customer. Thus, the first pillar of marketing in banks is its CUSTOMER FOCUS.
A BUSINESS IS NOT WORTH ITS NAME IF IT FAILS TO ATTRACT AND RETAIN ENOUGH CUSTOMERS -NOTWITHSTANDING HOW EFFICIENTLY IT IS CONDUCTED.
The bank with convenient retail outlets, branch network and most efficient services will be the ultimate winner in the growing competitive financial market.
Essence of Good Service
* Good service is giving people a little more than what they expect.
* Excellent service is enjoying giving people more than they expect.
* Excellent service is a win-win experience.
* These feelings do not emanate through thorough analysis but through brief encounters with all the elements of service.
* Moments of truth generate an experience whether the service is excellent or otherwise.
* Banking business will contain thousands of moments of truth between you and your customer.
* Moments of truth can be considered as managed well if the customer walks away with enriched feeling and delighted by experience.
* Excellent service is very much a win/win/win/win situation.
Factors Affecting Service Quality
* Quality in services is an elusive concept. Evaluating is affected by the service-process [friendliness & responsiveness of service personnel].
* Quality in service is a customer-oriented phenomenon. It is, defined by customer; all other judgments are of little value.
* Many service business do not recognize that a quality problem really exists.
*Service reliability… customers expect delivery of services dependably, accurately and consistently.
* Responsiveness… should be delivered promptly and bank should respond to customers’ demands.
* Assurance…employees should be courteous, knowledgeable and assuring.
* Empathy…customers should be attended to on individualized and personalized basis.
* Physical evidence associated with service should be clean.
* Failures occur, not in relation to service product but in addressing the issues of service execution.
* Not personalizing the service… absence of warmth and personal touch in providing service.
* Abysmally low level of productivity standards.
* Lack of distinct image in the market
Five Dimensions of Refined Service Quality Scale (“Servqual”)
TANGIBLES : The appearance of physical facilities, equipment, personnel, and communication materials.
RELIABILITY : Ability to perform the promised service dependably and accurately.
RESPONSIVENESS : Willingness to help customers and provide prompt service.
ASSURANCE : Knowledge and courtesy of employees and their ability to inspire trust and confidence.
EMPATHY : Caring, individualized attention, the firm provides its customers.
Parameters for a sense of welcome
CLOSE OPEN
Behaviors that will choke customers Behaviors that will open customers
Ignoring Smile
Keep waiting Offer hand shake
Totally vague Give your name first
Offhand Eye contact
Rude/impolite Stop what you are doing completely
Talk too much Ask “How may I assist you”
Allowing others to interrupt Match their pace fast or slow
Not listening Give other options
Forgetting their name Show enthusiasm and warm energy
Looking their name Be focused on them only
Looking dis-interested Offer a personal touch
Dishonesty If you do not know say so but find out
Being indecisive If they are kept waiting explain why
Not following through with tasks Avoid run-arounds if you need to refer elsewhere check beforehand that your reference can really assist.
Having no product knowledge Escort them personally if they need to find something in your branch
Disorganized paper work Slow down your voice
Six Major People Skills that need to be Developed
* Making people feel special.
* Managing the first 4 and last 2 minutes.
* Demonstrating a positive attitude.
* Communicating clear messages.
* Showing high energy.
* Working well under pressure.
Developing Customer Centric Approach
1. Customer enrolment (volume based expansion)
2. Customer enhancement (value based up-selling & cross-selling) Customer empowerment customer enrichment
3. Customer retention
4. Customer grievance redressal
5. Customer counseling – financial partnering
6. Journey of customer delight to customer Ecstasy
Handling Customer Complaints
1. Don’t be defensive.
2. Be composed at all times.
3. Don’t take criticisms personally. It’s not you the customer is angry with; try to be objective and put yourself in their shoes.
4. Offer an apology even if the disservice is not your fault. “I’m terribly sorry you are so upset” does not admit blame but does establish some rapport with the customer.
5. Show empathy by using phrases as: “I can understand how I feel”, “I appreciate what you’re saying”.
6. Address customers by name.
7. All communication should be in the first person. Use: “I am sorry” not the royal “We”.
8. Don’t make excuses or blame others in your organization. The customer wants a solution to the problem, not an inquisition of your internal operations.
9. Give the customer your full attention and establish eye contact. Sympathetic nods help defuse situations and many customers feel they are receiving a fair hearing if they see someone jotting down a few notes.
10. Paraphrase their complaint in your own words to determine if you have correctly understood the situation. Play the situation back to them to check for understanding: “I just want to check that I have understood you correctly?”
11. If you don’t know the answer to their problem, don’t lie. Adopt the old teaching maxim and admit you don’t know but make a commitment that you will find out and get back to them within a specified time.
12. Do call back when you say you will, even if, for some reason, you haven’t been able to obtain a satisfactory answer by then.
13. Make the customer part of the solution – Not part of the problem.
14.Tell them what you can do . . . . not what you can’t do. For example, rather than say: “I’m terribly sorry but you must give 7 days notice to transfer money from a term deposit to chequeaccount”, adopt the following “can do” approach which says the same thing but in a different way: “Yes, I can transfer the money from your term deposit to your cheque account, with a slight interest charge of X rupees, since you were unable to provide 7 days notice”.
16. Find out what it will take to turn their dissatisfaction into satisfaction. Do they want a refund, credit, discount, replacement? Offer a solution and obtain the customer’s agreement that this would satisfy the complaint. Ask: “Will this problem be solved if we . .?”
17. If they agree to that solution, act quickly before they change their mind. If they don’t like your solution, ask them what they think as a fair outcome?
18. Follow-up.
19. And remember: You can never win an argument with a customer!
Sales Tips for a Banker
* Be positive about the competition
* Sell yourselves First
* Improve your face value: “Smile”
* Dress: Neat, clean, dignified and appropriate
* Grooming: Haircut, shaving…
* Hand shake: Firm and friendly… avoid “bone crushing”, “dead fish”, “cocktail” – types of hand shakes.
* Body language: Impressive and subtle neuro-linguistic programming.
* Sincerity: In looks, talk and actions.
* Name: Is the sweetest possible sound for a common man. Make sure! it is correctly spelt and properly pronounced.
* Small chat to build rapport.
* Praise: Wait for a point to praise/appreciate.
* Good manners: “Thank you!” will not cost us any thing. We don’t lose anything by saying “sorry” for a genuine lapse.
* Appointments: Keep up and be prompt.
* Everybody wants to be “important!” the other man is not an exception.
* “Little favors” go a long way in getting big things.
* Cheerfulness and sense of humor.
*“Loyalty” – to your organization and superiors.
* “Empathy” – the concept of being in the other man’s shoes.
* “Sorry for the interruption!” – don’t interrupt when the other person is talking.
* “Preparation” for the call.
* Positive attitude.
* Read this above all…………………………………….. “use of ears” – it’s the most important.
* Ask – don’t tell
* Sell results – “People don’t buy drills, they buy holes”
* Don’t moan about the customers – We need to remind ourselves and our colleagues just who our customers are.
* Keep the customer satisfied
Six Golden Rules
* Take rejection on the chin
* Take control of your time
*Use AIDAS approach (Attention, Interest, Desire, Action, Satisfaction)
*Be humble and be honest
* Act like a professional
* Get to know about your advertising/promotional activities
* Don’t fear objections; use the FEAR technique to overcome them.
* Find the real reason. Ask for clarification
* Empathize. Make it clear that you appreciate the buyers point of view
* Answer. Either remove the objection by showing it doesn’t really apply in this case or accept the validity of the objection and then outweigh it with a strong argument.
* Reconcile. Settle, show compatibility.
* A warm hand shake will make a difference
* Smile with your mouth-and with your eyes
* Keep it simple and short
* Put yourself in the customers shoes and find out what he/she needs.
* Buyers need us to :
* Have knowledge about products and services
* Ability to keep promises
* Reckless promises damage integrity
* Don’t make false promises
* Always remember your promise
* Promises grow like rumors
* Honesty
* Confidence of the support and backup from the sales person’s firm
* Willingness to help in a crisis
* Sensitivity to customers’ difficulties
* Information and accuracy of information given
* Admittance of products’ or services’ weaknesses
Do’s and Don’ts in Sales Negotiation Process
Do:
* Use humor only when appropriate
* Listen carefully to the other party
* Remember that buyers like to be sold to – so show you are making an effort
* Make conditional offers – such as ‘if you do that, we’ll do this.
*Use open questions – ‘what if?’ or ‘How do you feel?’
* Exchange information – don’t just give it away
* Summarize the proposals at regular stages
Don’t:
* Let emotions get in the way. Start speaking until you have got something relevant to say
* Rely on memory to record points of detail – write them down
* Make too many concessions early on
* Make the customer look or feel foolish
* Lose face by making an offer so extreme that you have to back down
* Answer questions with a direct ‘yes’ or ‘no’
* Forget to make direct eye contact
* Respond too quickly
* Sales people need to understand the three related functions
* Typical customer needs
* Buying motivators
* Customers buy benefits – present product facts to the customer by emphasizing the benefits that they will gain from the purchase
* Product knowledge – increasing product knowledge is an essential task for every sales person. It is a vital tool which will help you achieve success in selling. Sales people need to know:
* What the product is
* What the product does
*How the product fulfills customers’ needs and expectations
* Any other relevant information which leads to selling of product or services more efficiently.
Finally…………..
Selling is more a matter of will than skill and we need both
Selling is nothing but the transfer of enthusiasm from seller to the buyer
With the same product and under the same circumstances there are some people who break records while others break themselves.
First impression is best impression because we never get a second chance to create a first impression
So Create a Best First Impression to the Clients
First Impression includes body-language, gestures, postures, shaking hands, smile, eye contact, attire, manners, etiquette i.e., socially acceptable behavior and greetings.
WITH THE SAME PRODUCT AND UNDER THE SAME CIRCUMSTANCES THERE ARE SOME PEOPLE WHO BREAK RECORDS WHILE OTHERS BREAK THEMSELVES.
Authored By:
Paritosh Kumar
Senior Manager (Faculty)
Union Bank of India
Staff Training Centre, Kolkata