by Tara Wagner

Created on: February 13, 2011   Last Updated: February 16, 2011

There’s no question that a business is nothing without the customers who purchase its goods and services, or that almost all companies have plenty of competition out there, so obviously those companies must do whatever they can to distinguish themselves in the eyes of those customers. Of course, making their product or service superior would be ideal, but providing the highest quality customer service is equally important to having a successful business.

People who are highly satisfied with the level of customer service they receive from a company may be willing to keep their business there, even if some other areas are lacking. A restaurant that serves great food but has a disgruntled wait staff and takes longer than expected might lose customers to a restaurant where the food is almost as good and delivered on time by a smiling and courteous waiter. The only thing better than getting the best possible product for your money is feeling that the company really cares about having your business.

Even companies that are more interested in looking out for their bottom line than providing quality service should remember that it costs more to attract new customers than to retain the ones they already have. Advertising is a necessity for all businesses, but they’ll incur even more costs by offering incentives to constantly bring in new customers to replace the ones they‘re losing. Of course, it should always be a goal to bring in new business, but they'll want that for growth, not to stay where they are.

Having high quality customer service benefits companies in another way - by doing the advertising for them, free of charge. While people who have had an unpleasant experience with customer service are likely to let anyone and everyone know about it, they’ll often be just as willing to spread the word for a company that went the extra mile to satisfy them. Anyone who has checked out a review of a hotel or restaurant before going there and were deterred by claims of poor service knows this can have far more impact on their decision than what they may find on the business’s website.

It’s not enough anymore just to provide the best product, it must also be accompanied by the best customer service for a company to have an advantage over their competition. Customers can choose to go anywhere, and if two products are equal, or close to it, the deciding factor may be how valuable they feel to the company they decide to give their business to. The best companies will understand this…but fortunately for them, great service can be one of the cheapest and easiest ways to maintain a loyal customer base.

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