Good customer service is critical for retaining and acquiring customers. Learn how to meet and exceed customer expectations in our guide.
Providing excellent customer service is crucial for any business that wants to succeed and retain customers. But what exactly constitutes good customer service? What are the key elements that set good customer service providers apart?
In this comprehensive guide, we’ll break down what good customer service looks like, the benefits it provides, and how you can improve customer service at your own business
The 6 Main Characteristics of Good Customer Service
Good customer service has several telltale traits that set it apart from poor or mediocre service Here are the 6 main qualities of excellent customer service
1. Fast Response Times
Speed and efficiency are highly valued in customer service. According to one survey, 66% of consumers say the most important thing a company can do is value their time.
To achieve fast response times, customer service teams need to streamline their processes and utilize tools like help desk software to automate routine tasks. The goal should be to resolve customer inquiries as quickly and seamlessly as possible.
2. Active Listening and Understanding
The best customer service reps don’t make assumptions about what customers want. They use surveys, interviews and other feedback tools to identify each customer’s specific needs.
This helps them provide tailored solutions and head off problems proactively. It also uncovers opportunities to improve products and the overall customer experience.
3. Easy Self-Service Options
Nowadays, many customers prefer to find answers on their own. That’s why companies need robust self-service resources like FAQ pages and knowledge bases.
These allow customers to quickly solve common problems independently, without having to contact customer service.
4. Omnichannel Support
Leading customer service teams make themselves available across multiple channels like phone, email, live chat, social media and more.
This omnichannel approach provides customers with convenient support access and a continuous experience when transitioning between channels.
5. Empathy and Emotional Intelligence
Despite best efforts, even the best businesses deal with frustrated customers occasionally. Customer service reps defuse tense situations with emotional intelligence: remaining calm, empathetic and focused on resolving the issue.
6. Determination to Solve Problems
The hallmark of great service teams is tenacity. When faced with a challenge, they remain cool under pressure and determined to help the customer—even if it means bending the rules sometimes.
Why Good Customer Service Matters
Providing excellent customer service offers many tangible benefits:
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Higher customer retention – Positive service experiences make customers more likely to return and spend more money.
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Increased referrals – Satisfied customers refer friends, family and colleagues. Referrals have a higher conversion rate than other leads.
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Reduced acquisition costs – It costs up to 25x more to acquire a new customer than retain an existing one. Good service improves retention.
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Enhanced brand reputation – Positive word-of-mouth raises awareness and burnishes your brand image. This helps attract new customers.
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Higher lifetime value – When customers purchase more and stay loyal for longer, their lifetime value increases significantly.
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Lower churn – Dissatisfied customers take their business elsewhere. Good service minimizes preventable churn.
Clearly, good customer service affects far more than just the customer interaction itself. It provides wide-ranging benefits across growth, costs, retention, reputation and revenue.
How to Improve Customer Service
Here are 8 tips for improving customer service to delight your customers:
1. Put Customers First
Adopt a customer-centric mindset across your company. Make customer needs the priority, not internal processes. Train service reps to find solutions and go the extra mile.
2. Set Clear Expectations
Be transparent about your capabilities, response times, hours of operation and other policies. This sets clear standards for customers upfront.
3. Offer Omnichannel Support
Allow customers to engage service reps via their channel of choice – phone, email, chat, social media, etc. Streamline transitions between channels.
4. Monitor and Analyze Feedback
Actively seek out customer opinions using surveys, interviews and reviews. Track this feedback to identify problems and improvement opportunities.
5. Empower Your Team
Give service reps latitude to resolve issues creatively. Support them with training and tools. Recognize and reward good service.
6. Fix Problems at Their Root
Don’t just create workarounds. Diagnose underlying issues and implement systemic solutions. This improves service long-term.
7. Set Goals and Measure Results
Define customer service KPIs like first response time, resolution rate, CSAT, etc. Establish goals for each metric and track progress.
8. Automate When Possible
Leverage tools like chatbots for faster responses and to deflect common inquiries. But avoid sacrificing personalization.
Examples of Excellent Customer Service
To see what good customer service looks like in action, let’s examine a few leading brands praised for their exemplary service:
1. Amazon
Amazon sets the gold standard when it comes to customer service and the customer experience overall. Their customer obsession permeates the entire company.
Some of their best practices include:
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Fast shipping – From Prime’s free 2-day delivery to same-day shipping in some areas, Amazon focuses heavily on speed and convenience.
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Top-notch return policy – Hassle-free returns make customers feel comfortable trying new products. Amazon will even provide prepaid return labels in some cases.
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Robust self-service – Amazon provides comprehensive help resources like FAQs, guides, forums and more so customers can easily find answers themselves.
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Proactive outreach – Amazon reaches out with exclusive deals, personalized recommendations and to share shipment updates. This surprise and delight factor enhances the experience.
2. Nordstrom
Nordstrom is legendary for its superb customer service, surprising and delighting customers since its early days as a shoe store in 1901. Here’s what they do right:
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Hire for attitude – Nordstrom looks for intrinsically motivated people with a passion for service. They can train product knowledge and skills.
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Empower employees – Frontline staff are encouraged to use their best judgment and do whatever it takes to make the customer happy.
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Respond quickly – Nordstrom strives to respond to all inquiries ASAP. For written requests, they respond within one business day.
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Gather feedback – Post-interaction surveys help Nordstrom identify problems and opportunities to improve. Follow-ups with dissatisfied customers aim to retain them.
3. Southwest Airlines
Southwest Airlines is beloved for its exceptional customer service, especially compared to other major U.S. airlines. Their service philosophy includes:
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Have fun – Southwest injects humor and levity into travel through empathetic employees and irreverent branding. This delights stressed travelers.
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Own your mistakes – Employees are trained to take responsibility when things go wrong. They proactively notify customers of delays or baggage issues.
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Empower employees – Frontline staff handle customer issues on the spot without needing manager approval. This accelerates solutions.
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Offer self-service – Customers can change reservations themselves online or via the mobile app rather than waiting on hold for a rep.
4. Zappos
Providing “wow” service is central to shoe etailer Zappos’ brand. Here are some of their top customer service practices:
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Surprise upgrades – Zappos reps occasionally upgrade shipping for free 1-day delivery or overnight international service, delighting customers.
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Lengthy calls – The record call length is 10+ hours! Zappos encourages reps to spend as long as needed to resolve an issue.
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Instant chat – Chat and phone wait times are typically under a minute. Customers can get assistance fast when they need it.
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Free returns – Zappos offers free return shipping on every order. Customers can order without worrying about fit.
5. USAA
Financial services provider USAA earns extreme loyalty through best-in-class service. How do they do it?
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Short wait times – Even during their busiest hour, USAA’s average wait time is under a minute. Hold times are minimal.
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24/7 phone support – Phone reps are available around the clock, every day. Other channels like chat have extended hours too.
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Proactive monitoring – USAA systems automatically contact customers about suspicious transactions or payments coming due. This prevents issues.
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Member advocacy – If reps can’t resolve a problem, it gets escalated to a dedicated team that reviews the situation and follows up.
Key Takeaways
Providing excellent customer service should be a priority for any business. The top companies do so by:
- Responding quickly to all inquiries
- Actively listening and understanding each customer’s needs
- Making it easy to get support through multiple channels
- Hiring empathetic people focused on problem-solving
- Soliciting feedback to identify improvement opportunities
11 ways to deliver great customer service
can sink a business—but for many companies, good customer service just isn’t enough. Here are 11 to take your service from good to truly excellent.
AI is emerging as a non-negotiable for effective customer service. According to the , 70 percent of CX leaders plan to integrate generative AI into many within the next two years. Additionally, 3 in 4 customers who have experienced generative AI say the technology will change the way they interact with companies in the near future.
Delivering great customer service is hard—you need to balance agent performance, consumer interactions, and the demands of your business. By blending AI with your customer service—also known as an —you can drastically enhance your CX. For example, AI agents (otherwise known as chatbots) deliver immediate, 24/7 responses to customers. When a human support rep is needed, bots can arm the agent with key customer insights to resolve requests more efficiently.
Create a winning customer service philosophy
While you must know how to deliver excellent customer service, you also need a blueprint for providing consistent service. Download our customer service philosophy template to build one that guides your support team.