Customer Support

Pros and Cons of Outsourcing Customer Service

When it comes to your customer service, should you let an external provider take the reins? 

Now seems to be the right time, especially with the proliferation of local companies that are staffed by specialists who can provide the level of familiarity customers expect. Developments in IT infrastructure have also made outsourcing a more practical and affordable solution. 

These changes address many of the previous concerns that businesses had about outsourcing their customer service. Not having to work with an offshore organization eliminates language barriers and reduces security risks, while improved connectivity has lowered costs and helped both parties stay on the same page. 

But there are still a number of potential drawbacks that you should consider. As for whether they outweigh the benefits, it depends on your individual circumstances. The following pros and cons can help you make a more informed decision. 

Pro: Cost Savings

One advantage that may be particularly attractive to smaller businesses is the cost savings associated with outsourcing customer service. 

Just setting up and maintaining an in-house call center can be expensive. Labor, training, infrastructure, and daily overheads can quickly add up, so it makes sense from a financial perspective to hand them off to another company. This is even more true if you opt for an offshore service, although there are some noteworthy cons that we’ll look into later. 

It’s also worth mentioning the fact that outsourcing offers flexibility, with pricing structures that include charging per resolution as opposed to an hourly rate. 

Pro: Language Options

Outsourcing opens up the opportunity to broaden your customer base by providing support for additional languages. This can prove to be a significant advantage in some industries. Plus, you won’t have to do any of the work associated with managing and implementing it. All you need to do is ensure that your customers know they can contact you in other languages. 

Pro: Improved Coverage

As your company grows, the need for 24/7 customer support does as well. But to have a team of agents working around the clock requires a large investment of resources. Outsourcing your customer services ensures that as many service reps as needed are available all the time. 

This has the added benefit of improving your response times, which are a major factor for customer satisfaction. Moreover, you can one-up the competition by providing after-hours and weekend support. 

Pro: Access to Infrastructure

Working with an external customer service provider allows you to benefit from their technologies and resources, which might be beyond what you would’ve been able to invest in. At the same time, you don’t have to deal with staffing concerns. You will also be afforded more time and money to put towards pursuing the main goals of your business. 

Pro: Customer Satisfaction

The above-mentioned benefits will likely lead to an increase in customer satisfaction. Improvements in response times, language options, more available channels, and an overall better product all contribute to a superior user experience. Granted, this largely depends on who you outsource to. With this in mind, let’s move on to the potential drawbacks. 

Con: Communication Barriers

If you opt for an overseas provider, you risk running into linguistic and cultural barriers that can impede your ability to work with them efficiently. The agents might also lack the cultural knowledge and fluency required to interact with your customers at a satisfactory level. 

Of course, this won’t be a problem if you choose a local company, but they are more expensive. 

Con: Quality Control

Your customers have likely come to expect certain standards that are strictly upheld in your business. This is key to running the type of well-oiled machine that maintains a reliable reputation. 

When a department as large as customer service functions remotely, it’s difficult to ensure that the guidelines you’ve laid out are being followed. The customer service provider may not consider your brand values when dealing with requests, and it only takes one subpar interaction for serious consequences to arise. 

This is why it’s important to find a company that knows how to and is willing to align with your values and commit to providing good service with your mission in mind. 

Con: Security Risks

Employees who work in-house are more invested in the success of their company. A customer service provider that works with several businesses at once can’t keep your prosperity on top of mind. They have themselves to worry about, after all. This may lead to a lack of brand loyalty that has additional consequences, including security risks. 

The fact that the provider’s employees likely have access to a wealth of sensitive information needs to be taken seriously when outsourcing your customer service, especially if you’re taking it offshore. There can also be a difference in laws that warrant hiring an international law expert. 

This is another problem that can be alleviated by choosing the right provider and sticking to local companies. 

Considerations

Let’s end things off by taking a look at some tips to help you outweigh any potential disadvantages of outsourcing your customer service. 

• Consider working with separate professionals instead of an entire team. This can improve loyalty while giving you more control over operations. 
• Remember to perform thorough background checks to ensure that the company you plan on working with is reliable and trustworthy. Don’t let a more affordable pricing structure sway your decision. 
• One way to improve your connection with a remote team is to hire an intermediary manager whose responsibility is to ensure that the service reps are performing up to standard. 
• Invest in an established service that utilizes the latest technologies. This improves your chances of working with a company that maintains proper quality control standards and provides useful feedback. Your outsourcing partner should have a genuine interest in doing better. 

Now that you’re aware of the benefits and drawbacks, it’s up to you to determine whether or not it’s a good idea for you to outsource your customer service. 

It’s clear that you can mostly avoid the cons of outsourcing. In doing so, you can reap the rewards and start providing the type of industry-leading customer service that makes your business successful. 

by Costi

25 Fun, Quirky and Memorable Customer Appreciation Ideas

Do you appreciate your customers? After all, they’re the lifeblood of your business. Chances are that you show your gratitude more than once per day. And if you work in customer service, that number is naturally much higher. But customer appreciation isn’t a one-off gesture; it’s a continuous engagement that keeps a positive feedback loop alive, leading to improved retention and referrals rates. Moreover, gratitude benefits employees and contributes to a better work environment. Build some positive momentum with the following customer appreciation ideas. 

1. Birthday Gifts

Consider sending a gift or discount code on their special day. Even a simple “happy birthday” email won’t go unnoticed. 

2. Refreshments

If you have a physical store, you can offer refreshments like tea, coffee, and water. This is particularly suitable for businesses where customers stick around for a while, like salons and barbershops. 

3. Loyalty Program

Your loyalty program can include tiered rewards with multiple incentives. Customers will be compelled to spend more while enjoying the added value. 

4. Holiday Greetings

Keep your brand at the forefront during the holidays by sending customers a pleasant message. Perhaps you can include some holiday discounts to increase sales. 

5. Handwritten Note

This is great for small businesses as it’s sincere and inexpensive. Take your notes to the next level by personalizing them with the customer’s name. Think about what you can add to the note that would give it special meaning. 

6. Contests

Hosting a competition is an excellent way to generate interest in your company and its offerings. You can also use it as a promotional tool by having entrants perform tasks like sharing your brand on social media or writing a testimonial. 

7. Charity Donations

Give customers the ability to choose a charity that your business will donate to on their behalf. 

8. Sharing Wisdom 

Is there a way that you can enlighten your community? For example, you can share your knowledge or skills with educational content or classes where customers can learn something new. 

9. Acknowledgement and Appreciation 

Some customers go above and beyond to support your business. Others are just exceptionally kind and courteous. Be sure to acknowledge their benevolence and show appreciation for it. 

10. Complimentary Services 

There are many options here. For example, Netflix made their educational content free for teachers. Loom did the same with their video software during the pandemic. Offering more for less is a clear way to show your gratitude.

11. Conversation

Most of your customers will enjoy a short chat. Spark up a conversation and show some genuine interest in their lives. You might just learn something valuable in the process.  

12. Thoughtful Gifts

Sure, almost every company gives its customers some sort of gift. But few go the extra mile to give something truly thoughtful. Think about what would be personal and in keeping with their values. You don’t want to treat a vegan to a steak dinner. 

13. Being Supportive 

Similarly, you can engage with your customers in several ways. For instance, you can showcase their work on your social media accounts. Or, you can refer people to their business. Maybe there’s a position in your company that a customer can take. 

14. Candy Favors

Here’s a simple one. Grab some candy from the store, place them in clear bags, and slip in a personalized note. 

15. Picnic or BBQ 

Whether at a park or outside your business, a picnic or barbeque is a great way to get to know your customers. 

16. Social Features 

Give a lucky customer a shoutout on social media, be it to share an inspiring story or host a Q&A with them. Some people will love the attention. 

17. Secret Sale 

Treat a lucky group of customers to an exclusive sale. Perhaps they can come into your store after hours and document their spree, which can leave you with some powerful promotional content. 

18. Thank You Video 

Get your staff involved and film a cute “thank you” video to post online. 

19. Referral Rewards 

This serves as a great incentive to get customers involved in promoting your business. Consider creating a referral program where customers are rewarded for bringing you business. The best part is that it only has a cost when it works. 

20. Exclusive Product Access 

Allow your most dedicated customers to get exclusive access to products. You can give them the ability to shop new releases before anyone else, which can inflate the perceived value of your products. 

21. Free Branded Items 

From pens to stickers to water bottles and more, there are plenty of branded items that you can have made for a low price. Hand them out for free to customers to keep your business on their minds when they leave.

22. Bend the Rules 

Don’t let that customer who knocks on the door after you close go home empty-handed. It will probably only take a few minutes to assist them, but they will certainly remember and talk about your effort. 

23. Unexpected Upgrade 

There’s nothing like a free upgrade. If the nature of your business facilitates it, make it one customer’s lucky day by moving them up to the next level. Imagine if your airliner or hotel did that! 

24. Customer Appreciation Week 

For the ultimate show of gratitude, put together a few days or a week that’s dedicated to treating your loyal customers. You can get some ideas on what to do by running a survey or asking customers directly. Turning it into an annual event will give everyone something to look forward to and remember your business by. 

25. Get Creative 

With some outside-of-the-box thinking, you might be able to come up with an even better way to show how much you appreciate your customers. Doing something truly unique is a surefire way to get noticed. 

These are all great ways to show your appreciation. That said, they aren’t your only options, so be sure to give some thought to what you can do that will make your customers’ day just that little bit (or a whole lot) better. 

by Costi

Benefits of Pre-Sales Support

So, what exactly is pre-sales support? If you’re selling your products online or you have a complicated sales process, you can consider it imperative. But it’s also something any business can benefit from, as pre-sales support helps with obtaining, assisting, converting, and keeping customers. 

It’s all about ensuring that a prospect has the facts they need to click the buy button. By developing an effective pre-sales support strategy, you can improve the sales process and build lasting relationships with customers. 

Shoppers are often hesitant to make a purchase from an unfamiliar company. Putting their mind at ease by answering any questions they might have about the product or service increases the likelihood of them converting. In a B2B setting, pre-sales support reps can assist in identifying which deals to focus on. 

Of course, this doesn’t just happen. Proper planning and clearly defined objectives are key. You also need to have a knowledgeable team that knows what you’re selling inside-out. They need to be able to listen to the customer and understand them. Get that right, and you can reap some tremendous benefits.

Read on to learn more about the advantages of pre-sales support. 

Increased Qualified Leads

As you may already know, a qualified lead is someone who requires your product or service and has the money to buy it. The pre-sales process helps to make your prospects more qualified by informing and persuading them. This naturally results in more conversions. 

The pre-sales support team can focus on leveraging their knowledge and expertise to engage your audience with the right marketing messages, which contributes to a more robust and consistent sales process.

Specialized Sales Skills

In order to move a prospect along the sales pipeline, you need to have a certain set of skills. That’s what the pre-sales process is dedicated to. 

Your pre-sales team can freely sift through a quality pool of prospects while satisfying any queries that come their way, as you’ll now have other departments responsible for accumulating customers who are within the circle of influence. 

Valuable Insights

A pre-sales support team doesn’t just convert prospects. They can also serve as a valuable resource for improving the effectiveness of your marketing strategy. 

Through interactions with customers, pre-sales support reps can obtain vital information about your target audience that can be relayed to your marketing team. This can help to increase your marketing ROI by inspiring content that resonates better with the ideal buyer. 

It’s rare for the two departments to work in alignment with each other, so sharing details about relationships with the end user can help sales and marketing stay on the same page. 

Winning Over Prospects

In the B2C space, pre-sales are incredibly useful when it comes to educating customers. This is particularly true for businesses that sell complicated products or services that don’t necessarily speak for themselves. One way that B2B companies benefit is that they can build the type of trust and closeness required to get clients on board. 

For instance, prospects may ask for case studies or referrals, which would typically leave a sales team in disarray. On the other hand, pre-sales support will be able to provide what potential clients request, and are likely to do it through face-to-face conversations that further improve relationships. 

Customer Satisfaction

The impact that pre-sales support has on customers is evident even after the sale is made. When applicable, pre-sales can streamline the implementation of the product or service after ensuring that it’s an ideal fit for the buyer

Another way that pre-sales can help with customer satisfaction is by communicating with customer support teams to better inform them about the customer’s needs. In fact, there’s no end to where a pre-sales team can prove useful, as they have the ability to collect a wealth of data that can prove valuable in several departments. 

This all comes together to create a superior experience that leads to improved customer satisfaction, which might just be the edge your business needs to stay ahead of the competition. 

Understanding the Pre-Sales Process

Now that we have a better idea of what pre-sales support can do for your business, let’s take a closer look at the activities that pre-sales covers: 

• Product and market research
• Identifying and qualifying leads
• Analyzing customer data 
• Preparing scripts for communication with clients
• Developing solutions to pain points 
• Creating a value proposition 

Keep in mind that there’s typically some overlap between what sales and pre-sales does, but the latter mostly focuses on prospecting and research. Here’s what the pre-sales process flow entails:

1. Qualifying a lead
2. Discovery
3. Product or service demonstration
4. Proposal
5. Closing the deal
6. Implementation
7. Follow-up

When your pre-sales process is working like a well-oiled machine, it supports sales throughout the pipeline. 

Building an Effective Pre-Sales Process

What makes a pre-sales process effective? To start, you need to foster a culture of mutual respect and collaboration in your sales department. Making the most out of the opportunities that come down the pipeline requires an environment where everyone trusts each other and works together productively towards a common goal. 

Part of this is predicated on the implementation of clear objectives. Each support rep needs to know exactly what they have to do at every stage. This is especially important when the sales process is more complicated. 

Take the time to define everyone’s roles and responsibilities. Then, determine how time and talent are best distributed along the pipeline. This will help to prevent miscommunication and misunderstanding that may otherwise cost you opportunities. 

Finally, ensure that there is effective communication between teams and team members. Getting this right will help you leverage everything that pre-sales support can bring your business. Clients will be more satisfied, marketing will be more effective, your ROI will increase, and with it, retention. That’s not even mentioning the insights you can gain. 

With sufficient planning and a bit of know-how, you can see major benefits from the implementation of pre-sales support in your company. Don’t forget to invest in the latest tools for supporting the pre-sales process. It’s only a matter of time before your competitors follow suit. 

by Costi

Examples Of Difficult Customers & How To Deal With Them Professionally

Even if you do everything right, you’ll always come across the occasional difficult customer. It’s impossible to satisfy everyone. The best you can do is ensure that you know how to deal with difficult customers in a professional manner. Your company’s reputation depends on it. 

Of course, there are different reasons why certain customers are considered difficult. Some have unreasonable demands. Others want to vent their frustration. Some just can’t decide what they want. Your method for dealing with one might not work for another, which is why you need to know how to handle each situation accordingly. 

In doing so, you can make happy and loyal customers out of the most unlikely people. Here’s how. 

Vague Customers

Situation: A customer has trouble communicating what they want. 

Solution: Don’t hesitate to ask questions here. Knowing more about their needs will help you determine what is necessary in order to be of service. Perhaps you can suggest relevant material such as pamphlets or pictures. Try to ask open-ended questions as opposed to getting yes/no answers. This will help you obtain more information. 

Indecisive Customers

Situation: A customer is unsure about what to choose. 

Solution: You can tackle this in a similar manner to the above customer type. Let them explain what they want. It’s likely that they have a concern about the product or service that needs to be addressed, such as with the price or choosing between different options. Providing examples of what you believe would best suit the customer’s needs can help. 

Impatient Customers

Situation: A customer is particularly upset about something taking longer than expected. 

Solution: Start with an apology, but only when you have a valid “because” to back it up. Provide a good reason for the delay while making sure to use positive language. For instance, you can say that you’re working with the maintenance team to get things up and running again. 

When appropriate, you can end by offering to inform the customer with a follow-up message when everything is ready. 

Unhappy Customers

Situation: A customer has a complaint or is simply not pleased with the product or service. 

Solution: It’s good to start with an apology here as well - even if their dissatisfaction isn’t justified. Be sure to frame it accordingly. From there, you can suggest a solution and attempt to alleviate the issue. It’s worth listening to the customer to hear about how they want the matter resolved. 

Furious Customers

Situation:  A customer is extremely angry and cannot be reasoned with. 

Solution: The safest way out here is to simply listen. Let them explain their dissatisfaction without judgement or interruptions. At this point, any answer, no matter how good, will likely be interpreted as an excuse or just flat out ignored. Remember not to take anything they say personally. 

As always, an apology is in order once the customer is finished venting. Speak slowly and calmly while asking questions that help the customer work through their problem. Chances are that they’ll eventually solve it themselves. If not, then it’s up to you to determine a suitable solution. 

Demanding Customers

Situation: A customer is set in their ways and refuses to budge. 

Solution: This is the opposite of the indecisive customer. They seem to know what they want so well that they ignore any alternatives, even if the alternatives are better for them. Your best bet is to politely inform them that there are other choices and let them decide how they want to proceed. You essentially act as a source of information. 

If you can’t meet their demands, then try to find an appropriate compromise, such as a free product or discount. 

Talkative Customers

Situation: A customer is speaking a lot, but saying very little. 

Solution: These aren’t always easy situations, as the customer might not be unhappy. In fact, they might love the product or service to the point where they can’t stop talking about it. Depending on the circumstances, one option might be to move the conversation to another channel. 

For example, if the customer is talking on the phone, then you can let them know that the service rep they’re speaking to needs to take a break before requesting their contact information. Then you can communicate with them via email. This is an ideal opportunity to leverage enthusiastic customers into providing a testimonial or positive feedback. 

Let’s end things off by taking a look at some challenging scenarios that don’t necessarily involve a difficult customer. 

You Don’t Have an Answer

Situation: A unique situation has occurred where you don’t know what to say. 

Solution: Of course, being a customer service representative or anyone who stands as the face of the company for that matter, you can’t say that you don’t know. That can turn even the calmest face red. A better option is to inform the customer that you’re going to explore the available options and get back to them. 

Be sure to provide a specific time and stick to it. Don’t make the customer send a follow-up message. If you happen to reach the deadline without a solution, you can still send a quick message to say that you need more time. 

You Need to Transfer Someone

Situation: The issue is beyond your area of expertise. 

Solution: You want to transfer the customer without making them feel like their issue is being brushed off. Give them confidence that you’re sending them in the right direction and remember to use positive language. 

You Made a Mistake

Situation: Something happened where you’re at fault. 

Solution: You might have to put ego aside and acknowledge your error. Take an objective look at the situation and consider how it impacted the customer. Being truthful will make all the difference. Show empathy to the customer and remind them that it won’t happen again. 

You’ll inevitably find yourself in these situations during your time dealing with customers. They won’t always be easy, but knowing what to do and having confidence in yourself will help you get through them promptly and professionally. 

by Costi

11 Tips on How to Handle Customer Complaints

Not all customer complaints point to a valid issue. Not every piece of criticism contains insight. But they all come from your customers, whose approval is imperative to the growth of your business. 

Now more than ever, public image matters. Social media and the internet make it easy for customers to voice their dissatisfaction and use the reviews of others to determine where their money is best spent. 

Regardless of how well you run your business, there will always be the occasional negative feedback. It’s how you deal with it that counts. With the right strategies and tools, you can turn even the worst situation into an opportunity. Here are 11 tips on how to handle customer complaints. 

Stay Calm and Listen

Let’s start with the basics. 

There will certainly be times when it’s easier said than done, but you should always stay calm when dealing with a complaint. It helps to remember that you probably aren’t at fault for the issue being raised, and that the customer is likely highlighting previously unforeseen room for improvement. 

Moreover, you (at least in that moment) are the face of your company. Your reaction will determine what the customer will say about the business when they leave and whether they’ll ever come back. Your best bet is to listen. Ask them to explain the problem and simply let them vent without judgement. This will naturally calm them down. 

Show genuine interest in solving the problem and try to see it from their perspective. Don’t forget to tell customers that their feedback is appreciated. 

Look for Value

A complaint - even when it’s packed into a raging ball of fury - should never be dismissed as nothing more than a sum of its parts. There’s almost always some genuinely useful insight to consider. Keeping this in mind can provide a helpful boost of enthusiasm when it comes to solving problems with customers. 

Record and Analyze

Okay, so you have some insights. Now what?

It’s a good idea to start collecting meaningful complaints and putting them into categories. For instance, a software developer can compile feature requests to determine what should be prioritized in the next update. You can also build on the information by using it to create a survey. The point is to derive as much value as possible from the data. 

Know Thy Customer

There are different types of complaining customers. Some are meek and conflict averse, leaving it up to you to inquire and get to the heart of the issue. Others are more aggressive and require a firm politeness to move past. Then there are chronic complainers, who may test your patience a little. 

Consider writing up a list of “customer archetypes” with explanations on how to deal with each one. This is particularly useful if you have new service reps who aren’t sure on how to handle certain people. 

Blame Appropriately

It goes without saying that aggression should be avoided when dealing with customers in any situation. But more passive forms of aggression aren’t always easy to keep at bay. 

Deferment of blame is a common example that manifests itself in statements like “I’m sorry to hear about your problem.” These dismissive phrases tend to only infuriate the customer more.

Apologies are an important part of customer service, but the blame should be pointed in an honest direction. If the company is at fault, then say so. If the customer is to blame, then apologize for the problem without forgetting to provide a solution. 

Transfer with Reason

Customers need to be assured that their time isn’t being wasted. Telling them to hold while you transfer their call is the opposite of that. You need to let them know why they must wait for their problem to be solved by someone else. 

A simple “I’m going to set you up with an expert on this type of thing to get this sorted out right away.” will suffice. 

Ask Questions

Being genuinely curious about the customer’s problem shows that you care. However, not all questions have a positive outcome. Let’s say that you’ve just addressed a complaint and you’re ending the conversation. Which of the following options would you choose?

1. Are there any other problems?
2. Is there anything else I can assist with?

The second option conveys that you’re willing to address anything else they need, while the first option is more akin to asking for a negative outcome. Number two is the way to go. 

Value Your Time

A customer with a feature request probably won’t mind if their email is answered the next day. A customer with a complaint wants a response yesterday. Make sure that they’re the priority. 

There are several ways to improve your response times, including setting up automated (canned) replies to common issues. And if you do happen to reach inbox zero, a little follow-up message or two can make all the difference. 

Verify

On that note, don’t forget to verify whether the resolution to a complaint was successful. There could be a customer on the other side who’s still pulling their hair out. Knowing that the problem is solved gives you the confidence to move on. 

Show Genuine Respect

Customers want you to speak to them like regular people. They don’t want to be treated like corporate drones. 

To show respect is to show that two human beings are taking part in the conversation. That said, there’s a fine line between a friendly casual exchange and pandering through pleasantry. A complaining customer doesn’t want happiness shoved down their throat. Keep it calm without being obnoxiously bubbly and cheery. 

Leave a Lost Cause Be

At the end of the day, there’s only so much you can do. Exceptional service can win a customer back, but not always. When an unhappy customer already has one foot out the door, rather let them have it their way. 

Keep the above information in mind when developing your strategy for dealing with customer complaints. Knowing how to respond will go a long way in helping you efficiently and effectively resolve any issues. 

by Costi

7 Steps to Effective Outsourcing

There are several reasons to effective outsource. Most businesses do it to reduce operating costs. Being able to focus on core operations is another major factor. Improving service quality and gaining access to resources are also possibilities. 

But in order to reap these benefits, you need to know what is required for effective outsourcing. Failing to do so can be a costly mistake that leaves you with a subpar deliverable. Businesses that take the time to develop a plan before settling on a provider fare better when it comes to the success of their partnerships. 

To start off on the right foot, consider the following seven steps for outsourcing effectively. 

Evaluate and Clarify

Take a look at your current business processes. What will benefit from outsourcing the most? Assess factors such as operating expenses, internal capabilities, and service performance. This should help you determine whether a given process meets your standards or requires an upgrade to the infrastructure. 

If the latter is true, then the question is whether the improvements can be made internally. If not, then it’s likely grounds for outsourcing. The next step is to clearly define the objective. This can include goals such as:

• Cutting costs.
• Accessing technologies or skills that aren’t available internally.
• Reducing upfront investment requirements.  
• Making better use of company resources. 

It’s a good idea to set some boundaries. Not everything is worth outsourcing. As for what falls in that category, it depends on your business. Some things require the kind of personal touch that only internal staff can achieve. 

Develop a Strategy

Are you capable of effectively managing outsourced processes? This is particularly important if your sights are set abroad. Ensuring that an external team is working with your best interests in mind is not always the same as with an internal team. Here are some key considerations: 

• Educating the outsourcing provider on your company culture and values. 
• Setting clear goals and responsibilities. 
• Maintaining productive communication between internal and external teams. 
• Being able to identify the right provider or individuals for outsourcing. 

Again, it’s a matter of careful planning and research prior to getting started. 

Identify Potential Challenges

The last thing you want is to spend time and money only to run into a roadblock later down the line. As we mentioned earlier, certain processes and services are best kept in-house, but not only if your team does them better. 

Think about what else could potentially stand in the way of your outsourcing move. Labor laws and organizational guidelines may present challenges that require solutions. Looking into this has the added benefit of giving you a better idea of the most relevant advantages that outsourcing will provide. 

 Know the Market

Before moving forward, familiarize yourself with the outsourcing market and decide which model best suits your needs. There are four different outsourcing models: 

• Fixed Price Models: This is a low-risk option as payment is only made once the project is complete. However, it requires a clearly defined scope and stable objectives. One advantage is that the provider is incentivized to work more efficiently and obtain additional value from the partnership. 

• Time and Materials: T&M starts with providers bidding on your project. It’s another model that works best when the business is good at outlining its needs. 

• Incentive-Based Pricing: Often used simultaneously with one of the two above-mentioned models, this involves agreeing on bonus payments when the provider reaches certain goals that lie beyond the contract. You need to ensure that the gains are measurable to counteract the complexity this model adds to your agreement. 

• Shared Risk-Reward Pricing: Here, you start with a flat-rate while withholding additional payments until certain goals are accomplished. What makes this model unique is that the client and provider typically share the funding of the project and its development. This encourages the provider to innovate as it benefits them. 

Outsourcing should never involve one company taking advantage of the other. It should be a partnership where expectations are clearly communicated, and both parties work with the same goal in mind. 

Since you’ll likely start looking for a provider at this stage, it’s worth noting the importance of doing your homework. Take a good look at their client track record and number of successful bids if applicable. No partnership can thrive without trust. 

Perform a Risk Assessment

It would be wise to consider the potential damages that the partnership could cause your businesses in the event that things don’t go as planned. This can involve legal risk, data loss, and more external factors like the provider’s location and environmental responsibility. Some risks can be converted into opportunities, so it’s worth giving thought to this. 

Formulate a Plan

With all of the above information collated, you can put together and present a comprehensive plan detailing the outsourcing endeavor. Make sure to include the following details:

• Total cost and financial impact. 
• Potential scenarios.
• Workloads. 
• Objectives and evolution.
• Project timeline. 

Don’t forget to include hard deadlines and budgets. It’s also a good idea to identify what deals and relationships will be needed for the partnership. Depending on the scope, you might be left with an overwhelming amount of information, so it’s up to you to compile an effective summary that makes a clear case for outsourcing. 

Define Success Factors

Let’s end things by looking at the importance of defining success factors. Your partner needs to know exactly what you plan to achieve from the relationship so that their work is aligned with your objectives. Lay out any relevant categories with clear definitions and details related to how they will be tracked and reported. 

Some common categories include quality, timeliness, customer satisfaction, innovation, and financial efficacy. Regular feedback is key here. Both parties should be exchanging data to determine how they can each improve. This is imperative in the beginning when there’s a stronger sense of unfamiliarity. 

Once you have the above steps in order, you can move forward with peace of mind knowing that you’re set for an effective outsourcing relationship. All that’s left to do is get started. 

by Costi

How To Deal With Angry Customers — 4 Psychology Backed Tips

Maybe you’re not exactly a people person. Perhaps you’re just not an angry people person. But when your job involves dealing with less-than-happy customers, you need to know how to respond. 

It only takes one ordeal to cripple a business. The infamous “United Breaks Guitars” incident reportedly cost the airline a cool $180 million. That’s not the type of thing any customer service rep wants to be responsible for. Luckily, it’s not a risk you have to run, as it’s certainly possible to keep your cool and bring even the most furious customers to calm. 

Let’s begin by understanding what you’re dealing with when facing an angry customer. 

Understanding Anger

Why do we get angry? According to an evolutionary model known as the recalibration theory, anger is a “bargaining emotion” that arises when our brains deem something unfair. Then we pull an “angry face” to warn the other person that we mean business. 

In doing so, we suggest the possibility of violence, which is meant to put us in a better position to get what we want. Since it’s also a stress response, emotion, and reasoning don’t function as well as usual, which is why angry people tend to be irrational. 

It’s important to realize that most angry customers don’t voice their frustration - they simply leave. Those who stay and share their annoyance, therefore, represent a valuable opportunity to learn and make things right. Here’s how to do that.

1. Practice a Philosophical Approach

When it comes to dealing with angry customers, a bit of philosophical wisdom can go a long way. You could follow the stoics of ancient Greece, who strived to let no pain or hardship end their peace. Or, you could become a Zen master who recognizes that it’s not the event or person that causes your stress, but your reaction. 

Consider it the fear of not being able to solve the problem, or rather calm down the customer. Of course, it’s an irrational fear, as you’re not responsible for the outcome - you can only try your best to make things right. And if you focus on doing that, you can let go of any stress. 

That said, it’s still important to maintain a sense of empathy and compassion for the customer. Putting yourself in their shoes can definitely help, as will remembering that they’re not angry at you specifically. 

2. Calm With Questioning

As you might have learned through experience, arguing with someone whose amygdala is up in flames is to no avail. Anger makes you incapable of listening to reason. There’s no point in trying to tell the customer that their frustration is unfounded, even if it’s objectively true. 

Even a calm mind isn’t as easy to change as we would like to think. One thing that can help is self-affirmation or making the person feel good about themselves. This is where the questioning technique comes in handy. 

It’s as simple as asking the customer to explain what’s frustrating them, with follow-up questions to help clarify the situation. This makes them feel that they are being listened to while also equipping you with valuable information. Questioning has the added benefit of bringing the customer back to a rational state of mind. 

Here are a few more ways to make the customer feel better when speaking to them: 

• Use Their Name: Injecting their name into the conversation makes it feel more sincere and less formal. 

• Smile When You Talk: Donning a more pleasant expression when you’re on the phone helps your voice sound more kind and friendly. 

• Know Your Audience: Subtle mirroring can go a long way in making you more relatable. A New Yorker might want to get straight to the point, for example, while a Southerner will likely want to exchange pleasantries. 

• Let Them Vent: Nobody wants to be interrupted. Put yourself on mute while the client blows off steam. 

3. Apologize Where Necessary

It’s unlikely that you’re the cause of any anger-inducing problems that your customers might have. That makes explaining your involvement (or rather lack thereof) in causing the issue a natural response. But that’s beside the point - especially when you’re the face of the company. 

Remember: if they don’t hear an apology from you, they probably won’t hear it from anyone else. It’s, therefore, a good idea to provide one. This comes with an important side note: 

Taking the blame when you shouldn’t will appear as dubious as it is. If the company is to blame, then the apology should be aimed in that direction - not at yourself. But sometimes, it’s the customer who’s at fault. They might be furious that their new jacket shrunk in the washing machine. That’s when the apology can look something like this:

“Please accept my most sincere apologies for what happened to your jacket. I can understand your frustration.” 

You provide a genuine apology without accepting the blame. 

4. Alleviate With Justification

In one legendary study by Ellen Langer, a Harvard psychologist, the conditions under which people were willing to let someone push in at the photocopier were tested The results proved that justifying your request with a simple “because” greatly increased the likelihood of people allowing you to cut in line - even if the reason is borderline nonsensical. 

You can use this to your advantage when sharing something negative with the customer. Offering an explanation makes it difficult to get angry at the problem. This is particularly helpful after questioning. 

Granted, your average customer isn’t standing in line for a photocopy, so be sure to make your justification reasonable. You can’t just say, “because those are the rules.” This highlights the importance of knowing what you’re talking about. Having a deep understanding of the company and its product or service will equip you with a solid “because.” 

As you can see, it’s not impossible to turn almost any situation with an angry customer into a positive experience. With enough practice, you can ensure that anyone who comes in to voice their frustration leaves with a smile on their face and an interest in doing business with your company again.

by Costi

10 Customer Service Email Tips for Better, Faster Support

Customer service email is a fine balance between quality and quantity. You want to get through as many tickets as possible on any given day, but without losing sight of why each message is important. 

On the receiving end of every email is a customer. Their experience will determine what they say when they talk about your brand and whether they ever make another purchase. That’s why email is central to more than just your customer service department - it influences the success of your business as a whole. 

To help you write better emails without building up a backlog, here are 10 tips for better, faster support. 

Make it Personal

Email is inherently an impersonal medium, but that’s not to say you can’t make it feel more like a conversation between two humans - and you certainly should. Customers don’t want to feel like they’re talking to a business. 

At the very least, they should be addressed by their name, perhaps with a friendly greeting. This sets the tone for the rest of the email. A simple “Hi there” will suffice when you don’t know their name, as long as you’re not calling them “customer” or using their case number. Attaching a name and face to your service reps is also a good idea. 

Automate With Canned Replies

In a world of instant gratification, response times are a make-or-break factor. Email interactions are often repetitive, so it makes sense to implement a faster way to respond to common issues. 

When done right, canned replies can serve as a powerful way to save time without losing the personal touch that every message needs. It shouldn’t be evident to the recipient that the response is automated, so be sure to put some thought into the wording of the messages. 

Show Gratitude

Every email a customer sends, be it constructive criticism or a load of complaints, is providing your business with some kind of value. Remember that unhappy customers are far more likely to leave without saying a word than to voice their dissatisfaction. So, whatever the feedback, be sure to slip in a “thank you” at the end of your emails. 

Answer What is Asked

There’s nothing more frustrating than asking customer service the same question and getting no answer. This is counterproductive, as the primary goal is to end the conversation as soon as possible, which requires solving all of the customer’s problems. 

Value their time as well as your own by ensuring that clear answers are provided to all of their questions in one message. If more time is required, let them know what you’ll have to get back to them. 

Promise and Deliver

Similarly, no customer should have to follow up on their message. Consider implementing a system to ensure any emails that need more time are responded to when specified. Some service centers do this by tagging conversations, which makes them easy to find and reply to in bulk when they have an update on the issue.  

Define Your Style

It’s one thing being able to solve customer’s problems, but can you do it in a consistent style? Poor writing, messy formatting, and a disconsonant tone stick out like a sore thumb and make messages appear unprofessional. Simply running your messages through Grammarly can make all the difference. Granted, your service reps shouldn’t have to do that. 

It’s a good idea to clearly define the following elements so that your service reps know how to format their emails: 

• Tone and voice
• Language and structure
• Personalization
• Visual content
• Workflow

Outlining specific rules and values will help to keep things consistent. Be sure to create a style guide as well. 

Delivery

What do you want first: The good news or the bad news? For your customers, it depends. It’s also important. 

Generally speaking, receiving the bad news first makes you feel better about what was told. However, receiving good news first increases your likelihood of acting on the information. So, think about the context. If you want to persuade the customer to take action, the bad news should come last. 

Keep it Simple

Take a tip from Reddit’s “Explain Like I’m Five” subreddit, which is dedicated to explaining topics in a manner simple enough for a five-year-old to understand. You’re not doing that in your emails to insult customers, but to improve clarity and perhaps even empathy - both are paramount to good customer service. 

Insert Links

Customers don’t like scrolling through lengthy emails. Remember, you want to improve customer loyalty, and part of that involves reducing the amount of effort it takes for them to interact with you. Anything tedious or annoying should be cut out of the picture. 

This is where a knowledge base comes in handy, as it can save your customers the hassle of scrolling through endless emails while also saving your service reps a great deal of time. A good rule to follow here is to link to any instructions that contain more than one image or three steps. 

Balance Your Tone

Should your emails be formal or casual? That’s not always easy to determine. In one survey of over 2,000 online shoppers, it was found that 65% of them prefer a more casual tone. But there’s more to it. 

When they can’t receive the help they’re requesting, 78% of respondents said that a casual tone negatively impacted the experience. In other words, when the service rep says “no” while using slang or emojis, it makes things worse. So, a casual tone is generally the way to go, but it’s important to proceed with caution when the word “no” is mentioned. 

Email is far removed from the personal nature of face-to-face interactions, but it can still be a very personal experience. This is especially true if you go the extra mile to ensure that the customer ends the conversation with a smile on their face and an interest in doing business with you again. The above tips will certainly help you make that happen. 

by Costi

The 8 Customer Service Skills And Traits You Should Look For

Not even the world’s best training system can change someone’s personality. If they aren’t a people person, you won’t be able to make them one. The same is true for most other traits, which is why it’s important to look out for them during the hiring process. That said, you can teach skills - it’s just a matter of knowing what to focus on. 

Both aspects are key to building an effective customer service team. When the right skills and traits are present, you can have peace of mind knowing that a great experience is being delivered. The following are the eight qualities you should look for when hiring customer service professionals. 

Communication 

Since it’s at the foundation of everything a customer service rep does, it should come as no surprise that communication is a must-have skill. More specifically, being able to communicate clearly. 

A customer needs to know what to do or how their problem will be solved. For example, if a service rep at an auto repair shop says that the tire change will be “included” in the final bill, the customer might think that means the tire change is free when it isn’t. 

Being concise and getting the point across efficiently is also important, especially when the message is written. Let’s not forget about the basics - grammar, spelling, and the like. Organizing a written test when hiring is a good idea. As for the spoken word, empathy and charisma are major factors. We’ll take a look at them in more detail below. 

Patience

While some people are more tolerant to delays, difficulties, and annoyances than others, patience is a skill that can be practiced. It’s especially important for service reps, as being able to listen to customers and handle them with a level head goes a long way in making it a pleasant experience for both parties. 

There will inevitably be times when customers test your patience, be it by letting out their frustration on you or simply talking beyond the point of productivity. In any case, there are three simple steps to keep in mind:

• Acknowledge the presence of impatience.
• Notice how it makes you feel.
• Pay attention to the present moment and how you respond.

Enthusiasm

This trait is often touted as the number one factor for customer service success, and it’s easy to see why. Enthusiasm makes a happy person happier, and an unhappy person is reassured that their problem will be solved. A lack of enthusiasm is no less infectious. 

It’s seldom easy to incorporate more enthusiasm into a support team other than by hiring the right people. But it’s certainly worth noting that you can build on people’s enthusiasm by fostering a positive work environment that motivates employees instead of bringing them down. 

Empathy

This trait can be described as the ability to see the world from the other person’s perspective. It’s why a sociopath is the last person you want to employ as a customer service rep. Granted, they tend to be charismatic - but more on that later. 

Empathy helps you understand how someone is feeling. And while it’s more of a trait than a skill, it can be learned. Being cold and straightforward is seldom the most suitable approach in a customer service environment. A bit of care and concern can make all the difference, especially when a customer is worried or frustrated. 

Charisma

Being charismatic makes you a people magnet. You’re more likeable, and people are more susceptible to acting in accordance with your best interests. This is particularly valuable when a customer is contacting you because they’re interested in purchasing your product or service. 

While charisma is largely a trait, persuasion is a skill that can be improved to achieve the same effect. We can look at the former as three parts, the mastery of which can make anyone more charismatic. 

• Presence: Being able to focus on the speaker and assure them that you’re listening. 

• Power: Influencing people and resisting their influence.  

• Warmth: Assuring people that you have the best intentions for them. 

Product Knowledge

It’s probably no good hiring someone who has worked in the food industry their whole life to become a service rep for your tech company. Everyone in your customer service department needs to have a deep knowledge of your product or service and the company selling it. After all, most customers call because you know something they don’t. 

The best customer service reps know how to answer the why and not just the what. 

For example, a customer might ask why the return period was shortened. The what response would be along the lines of saying that’s what management decided. But a why response is more compelling, such as saying that customers were abusing the policy and they couldn’t keep that period without raising prices. 

This kind of response justifies what might otherwise be considered wrongdoing from the customer’s perspective. It also brings about understanding and indicates that the customer and their matter are being taken seriously. 

Flexibility

No customer service rep can be blamed for feeling overwhelmed. It’s not uncommon to be handling several concurrent chats or browsing through a knowledge base in search of information while a customer is rambling on the phone. Being flexible and capable of working under pressure is key to ensuring these kinds of situations go smoothly. 

Don’t look for “multitasking” here - that doesn’t exist. Being able to efficiently switch between tasks is key, and it takes flexibility. Young people are at an advantage here, which is why they’re typically better candidates for support centers. 

Stress Management

Similarly, stress is commonplace in customer service, especially when a less savory character phones in. Yelling customers can trigger a stress response, which puts your mind in a less-than-ideal state. Training your customer service reps in stress management techniques can make a difference in helping them stay on top of tough situations. 

Training and looking for the above-listed qualities is imperative if you want to build a capable customer service team. Be sure to keep them on top of mind moving forward. 

by Costi

What’s The Difference Between Customer Service And Customer Support?

Customer service and customer support might seem like interchangeable terms, but they represent different activities. The former involves providing value with the aim of improving relationships. Customer support has more to do with straightforward assistance and resolving any issues that might occur with the product or service. 

Sometimes, the terms can overlap. Both are critical to the overall customer experience. Both utilize certain communication tools, skills, and techniques. Ultimately, customer service and customer support achieve the same goal. However, it’s important to know what the terms involve and what sets them apart. This is key to building an effective strategy.

Let’s start by taking a look at the core aspects of customer service and customer support. 

Customer Service Fundamentals

• Provides existing answers and solutions (FAQs, auto-responder emails, chatbots, etc.) 
• Increases the value derived from the product or service
• Guides buyers through the customer journey
• Concerned with customer satisfaction
• Staff in this department mostly utilize soft skills
• Used in any industry that serves customers

Customer Support Fundamentals

• Direct assistance (technical support, troubleshooting, call centers, etc.) 
• Reactive response to issues
• Concerned with product or service delivery
• Staff in this department use a combination of hard (technical) skills and soft skills
• Mostly used in tech and e-commerce

Practical Examples

We can now see that customer service is about the customer, while customer support focuses on the product or service. But what does that look like in the real world? Let’s clear things up with two basic examples: 

Customer service representatives in a clothing store will locate, recommend, and upsell products. They might also ring the customer up or help with an exchange. It’s a transactional relationship that aims to guide the buyer through their purchase as smoothly as possible. 

Customer support agents who work for an online retailer respond to emails or calls made by shoppers who require assistance. They might follow up on a return or send feedback to the product team. Not only do they use customer service skills, but they also communicate with relevant internal departments to improve the experience. 

What exactly these terms involve will differ depending on the business and industry. 

The Role of Customer Service

Customer service takes place at all stages of the sale. Its primary purpose is to solve the common, less technical problems experienced by customers. All interactions between a business and the customer can be part of the customer service process if there’s an opportunity to improve relations or enhance the experience. 

A customer service agent provides both reactive and proactive assistance. They’re focused on engaging customers and offering education or recommendations. They can also provide strategic advice in order to bring a customer closer to making a purchase or increasing their involvement with the business. 

Customer service agents utilize their soft skills to answer queries and onboard new customers while following up on existing ones. They might also collect feedback and perform tasks that go beyond providing assistance. The following are some key soft skills that a customer service agent should have.

• Conflict resolution
• Empathy
• Communication
• Active listening
• Positive language

Within the realm of customer service is customer support, which can be considered a more specialized activity. 

The Role of Customer Support

Customer support includes a range of activities that revolve around assisting customers with the usage of a product or service, such as installation, purchasing, troubleshooting, maintenance, and returns. The term is most commonly used to define teams in tech companies, especially those with products that require ongoing assistance, such as SaaS. 

Knowing the above, it makes sense that customer support agents require a more technical set of skills in addition to the above-mentioned soft skills. To provide a satisfactory service, agents need to have a deep understanding of what their company offers. Their job is made easier through the implementation of knowledge base documentation.

For example, the company can create help manuals and FAQs to ease the load. It’s not uncommon for customer support teams to collaborate with other departments like product development to enhance the customer experience by relaying feedback. Companies use KPIs (key performance indicators) to monitor and improve their customer support. 

Delivering Better Customer Service

So, what makes a good customer service department? Consider the following factors. 

Know the Product

Customer service agents need to be experts when it comes to what their company sells. They should believe in the product or service and understand it inside-out. They should be able to discuss the features and use cases in a simple way that anyone will understand. They should also know what to do when something goes wrong. 

Stay Positive

Keeping your cool when dealing with unhappy customers is no walk in the park, but it’s absolutely necessary to maintain a good image. This is why it’s important for customer service agents to have strong communication skills. They should also be familiar with the tone synonymous with their company. 

Respond Quickly

Now more than ever, customers expect quick responses from companies when they have an issue. Resolving queries in a prompt and efficient manner is key to satisfactory service. It will also ensure that customer support doesn’t get overwhelmed with requests. That said, quality should remain a number one priority. 

Personalize

The best customer service departments treat their customers as individuals and not just numbers. The interaction should feel real and personal. Sometimes, going off script and adding something unique is all it takes to show customers that you care. 

Pay Attention

To identify areas for improvement, customer service agents need to look into the data and listen in real-time. This is key to effectively solving problems and finding ways to do it better. Paying attention also means being mindful of the customer’s issue and their emotional state, as well as their personality. 

Conclusion

Both customer service and customer support have their place in any modern business. Done right, they can serve as valuable sources of insights into how the customer experience can be enhanced while building lasting relationships that increase sales and drive future growth.

by Costi