Customer Service

Scope:

• Key data and detailed analysis of 7 leading country markets: France, Germany, Italy, The Netherlands, Spain, Sweden, UK
• Examination of the growth in customer service initiatives from CPG manufacturers and retailers
• Detailed analysis of the value of customer service including the costs of lost business as well as the gains of good service.
• Qualitative and quantitative studies of consumers reactions to, and expectations of, customer service from retailers and from manufacturers
• Specific action points which detail strategies for harnessing the value of good customer service

Report Highlights: In 2001, bad service led to consumers across Europe switching €26 billion worth of business between retailers, and €70 billion between manufacturers. Good service meant that consumers spent an extra €21 billion on successful retailers, and €80 billion on manufacturers

Consumers define customer service according to how well they interact with front line staff - capable front line staff should be a priority for both manufacturers and consumers. Customer contact is a valuable source of consumer data and one which is too often ignored

Manufacturers must find a way to establish direct contact with the consumer, rather than filtering information through the retailers

Reasons to Purchase:

• Learn the financial value of customer service to your company
• Discover what consumers consider to be good service
• Understand how best to use data from customer contact
• Find out how to boost loyalty through good customer service
• See how to build customer acquisition while growing customer retention

• Hot topic
  
• The future decoded
  
• Action points

CHAPTER 2 THE FUTURE DECODED

• Introduction
  
• The growing importance of customer care
  
• The value of customer care for retailers
  
• Shopping frequency and spending by channel
  
• Customer dissatisfaction
  
• The cost of customer dissatisfaction
  
• The value of customer customer satisfaction
  
• The total value of good customer service
  
• The value of customer care to manufacturers
  
• The levels of dissatisfaction
  
• Levels of satisfaction
  
• Value of customer service
  
• Manufacturers suffer through less direct access to consumers
  
• Poor retailer service can taint the perceptions of manufacturers
  
• Brand managers need to integrate feedback
  
• “We’re not selling the product, we’re selling loyalty”
  
• Complaints
  
• Consumer attitudes
  
• Conclusions

CHAPTER 3 ACTION POINTS

• Action point 1 - Customer focused front-line staff are crucial
  
• Action point 2 - Integrate feedback into operations speedily
  
• Action point 3 - Think of customers in terms of total value
  
• Action point 4 - Adjust service levels to customers needs
  
• Action point 5 - Manufacturers should increase their contact with customers

CHAPTER 4 APPENDIX

• Definitions
  
• Research methodology
  
• How to contact experts in your industry

LIST OF TABLES

• Table 1: Food industry customer care agents (000s), 1997-2002
  
• Table 2: Frequency of calls to customer care lines, 2001
  
• Table 3: Penetration of technologies in the food sector, 1998-2002
  
• Table 4: Average number of shopping trips, western Europe
  
• Table 5: Share of CPG spending by retail channel, 2001
  
• Table 6: Supermarkets: frequency of visits and levels of spend 2001
  
• Table 7: Local and specialist retailers: frequency of visits and levels of spend
  2001
  
• Table 8: Personal care retailers: frequency of visits and levels of spend 2001
  
• Table 9: Share of personal care market value by channel
  
• Table 10: Consumers’ assessment of supermarket service, 2001
  
• Table 11: Consumers’ assessment of local and specialist retailer service, 2001
  
• Table 12: Consumers’ assessment of personal care retailer service, 2001
  
• Table 13: Tendency to switch retailers, 2001
  
• Table 14: Cost of bad service by retail channel (€m), 2001
  
• Table 15: Increased spend due to good customer service
  
• Table 16: Consumer reactions to good customer service
  
• Table 17: The value of good service by retail channel (€m), 2001
  
• Table 18: Total value of good customer service, and potential value of increased
  
• customer retention and acquisition
  
• Table 19: Frequency of changing manufacturers due to bad service
  
• Table 20: Increased spend on manufacturers through good service
  
• Table 21: Consumer reactions to good manufacturer customer service
  
• Table 22: The value of good and bad customer service to manufacturers
  
• Table 23: Potential value of improved customer service to manufacturers
  
• Table 24: Frequency of manufacturer contact, by contact purpose
  
• Table 25: Reasons to avoid contact with manufacturers
  
• Table 26: Reasons to initiate contact with manufacturers
  
• Table 27: Issues which cause consumers to contact manufacturers
  
• Table 28: Frequency of complaints to food and drinks manufacturers, 2001
  
• Table 29: Importance of customer service by retailer
  
• Table 30: Aspects of customer service by importance
  
• Table 31: Reasons to complain to retailers
  
• Table 32: Table of definitions

LIST OF FIGURES

• Figure 1: Word of mouth generated by good and bad customer service
  
• Figure 2: Retailers distort information flowing between manufacturers and
  
• consumers