Unit 2 Deliver Customer Service in a Business Environment (GC01115)
Unit 2:Deliver Customer Service in a Business Environment
Task 1.1: Produce a report on explaining what ‘added value’ means in terms of customer service
In marketing, the added value is something that makes a product more appealing to customers. For example, if organizations give a customer a free belt with the purchase of slacks, that’s a straight freebie. If organizations offer free alterations, that’s the added value (Morrison, 2017). Added value is the difference between the costs of purchasing raw materials and the price the finished goods are sold at. Value is added to a good at each stage of production from raw material to the finished good. A common example of added-value selling is a software operating system that includes a free Internet browser, word processing software, and spreadsheet programs.
Adding value to the brand can help build a strong bond between the business and the customers and enable them to charge a premium for the products or services says Alan Kaplan. Added value is important for a business (Vertical Response, 2017). One key element in the creation of successful brands is the ability to augment a core product or service with additional and distinctive values that distinguish it from the competition—simply, the importance of adding value to a product. The concept of value added is very important in marketing because it acts as an incentive for customers to purchase a product or subscribe to a service.
The concept of added value is very important for businesses. A business that adds more value to their products and services can charge more to their customers and eventually lead to higher revenue. The concept of added value is very important for businesses (Morrison, 2017). A business that adds more value to their products and services can charge more to their customers and eventually lead to higher revenue.
Added value allows firms to market their products more successfully, emphasizing the strength of the brand as opposed to a commodity. They can charge higher prices, achieve a USP, and obtain a competitive advantage. Added value is an important tactic that can be used by small businesses to acquire and retain customers, increase brand awareness and brand image.
Task 1.2: Recognize the opportunities to add value to a customer interaction
The idea that brands should add value to their customers’ purchases and transactions is a popular one. It’s probably one of the most commonly talked about strategies for pleasing customers and keeping them around.
Not always about money
One of the most common ways brands add value to their products or services is by offering discounts. Of course, these do make customers happy most of the time, but there are situations when money won’t create that effect (Ocampo, 2017).
Adding value through personalization
All customers want to feel special. They want brands to notice them, especially if they’ve long been patrons. They look for customer support interactions that go beyond mere problem-solving sessions, preferring meaningful and authentic conversations instead. Meaningful interactions, however, are just a tiny component of personalized customer experience. In business, what personalization really means is using consumer data to create customer-centric marketing and support strategies.
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Listening to the voice of the customer
The real key to adding value to your customers’ journey is to understand their needs. Giving them a platform to voice out their concerns and opinions can be a good way to truly understand them. Organizations can only determine how best to improve their products and services if they have a complete view of the customer (Ocampo, 2017). It’s also necessary to put together the right tools to gather information about them and analyze consumer insights.
Providing continuous support
Brands can elevate the customer experience by ensuring that customers have several options on how to connect with them and that these channels are available 24/7. Thus, most brands nowadays execute an omnichannel customer support approach. With agents continuously manning their communication platforms, customers are assured of a problem-free brand journey (Ocampo, 2017).
Task 1.3 Write a report on identifying/recognizing at least four constraints in carrying out ‘added value’
The added value statements embody certain limitations also (MBA Knowledge Base, 2017). These limitations of carrying out added value are given as follows:
- The limitation of added value is that it increases the danger that the management may take the maximization of added value as their goal i.e. the inclusion of the added value may incorrectly lead management to pursue maximization of the firm’s value(MBA Knowledge Base, 2017).
- Another limitation of added value is that its inclusion in the corporate annual report would involve extra work, therefore, extra costs and delay and also a slight loss of confidentiality in view of the additional disclosure involved.
- It is difficult to make inter-firm comparisons. Even intra-firm comparison is not possible if the treatment of these items is changed in the subsequent years.
- The limitation of added value data emerges from the lack of any uniformity and consistency amongst different companies in the preparation of Value Added statements. Added value is flagrantly standardized (MBA Knowledge Base, 2017).
- Added value may lead to problems especially in those cases whereas wealth or value added is growing while earnings are minimizing (MBA Knowledge Base, 2017).
In spite of these limitations, it may be said that the added value brings about certain changes in emphasis rather than a change in the content in the traditional financial statement.
Task 1.4 Produce a report explaining the importance to let the customer know when you have gone the extra mile. It is recommended to provide examples to support the discussion
Nowadays, excellent customer service is considered the highest badge of merit that a company can earn. It is an attribute that many people value more than low pricing or even product quality. This is why entrepreneurs who focus on their clients’ needs and seek opportunities that take their customer service to the next level are gaining a competitive advantage in the market.
Nowadays, most of the companies are busy making their support service facility as perfect as possible as it is considered to be the highest badge of merit among customers. For them, customer support is even more important than product quality and low pricing (Customer Think, 2017). Companies are trying to take it to the next level, only to stay ahead in the highly competitive market.
Customers love the personalization and attention organizations give them. Great interactions begin with knowing what the customers want and need. It is a good idea to know all of the customers by memorizing their names as well as prior conversations business organizations have had with them. Take note of what was discussed earlier so that it can refer to it the next time organizations meet with the customer.
Organizations need to assess each customer individually because the needs of the customers will differ. Business organizations can try dealing with both types of customers in the same way, but it probably won’t be very effective. For some individuals, it may appear that money and time are not an issue, but this is not always the case.
Just like transparency is important in a business, customer service is no different. No matter how good the businesses are, there is always room for improvement. The act of avoiding responsibility for mistakes is a sure way of getting a bad reputation not only for the business but for the company as well. This is where getting feedback from customers becomes very useful (Customer Think, 2017). Thus, always strive for high-quality output with customer feedback as it shows high standards and cares about the customer experience.
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