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Addressing Service Breakdowns

Nov 22, 2014

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Business

balchenn

Slides from my IA Summit talk. March 25, 2012.

  • 1. addressingservice breakdownsbala [email protected]#ServiceBreakdowns
  • 2. what is a service breakdown?When the experience of the service falls belowpeoples expectations.
  • 3. the expectationOur goal is to make every flight a positive experience for customers.
  • 4. the experience
  • 5. why we should address breakdowns
  • 6. breakdowns affect business 90% of customers who are dissatisfied with service theyreceived will not come back or buy againSOURCE: RESEARCH INSTITUTE OF AMERICA
  • 7. breakdown = bad publicityOnly 4% of unhappy customers bother to complain.For every complaint heard, 24 others are communicatedto potential customers, but not to the company.SOURCE: RESEARCH INSTITUTE OF AMERICA
  • 8. good recovery = loyaltyOf the customers who register a complaint, between54% and 70% will do business again with theorganization if they receive a response to theircomplaint.That figure goes up to 95% if the customer feels thatthe complaint was resolvedSOURCE: RESEARCH INSTITUTE OF AMERICA
  • 9. service recovery paradox
  • 10. when things go wrong how to address a breakdown
  • 11. a good response from 20x200.c0mIm so sorry about the delay in shipping your order.We always want to make sure the prints are perfectbefore we ship them and it sometimes slows usdown!Im going to refund the shipping and handling feeyou paid right now.
  • 12. the basics1. respond quickly2. apologize3. provide an explanation4. offer a resolution
  • 13. providing an explanationYou increase my rates by 60% and dont evenbother to explain why or give me a single reason toremain a customer?ethicalbusinessbuilder.com
  • 14. the resolution - what people expectThe inuence of service failure and service recovery on airline passengers relationships with domesticairlines: an exploratory study. P.G. Mostert, C.F. De Meyer & L.R.J. van Rensbur (2009)
  • 15. the right resolution If the breakdown occurs due to mistakes or errors by theservice personnel or external sources the recovery shouldbe psychological the employees need to apologize forthe inconvenience.If the error however is due to errors in the servicearchitecture the recovery effort needs to be tangible andthe customer should be compensated.The service encounter: diagnosing favorable and unfavorable incidents.Bitner, Booms, Tetrault. (1990)via designforservice.wordpress.com
  • 16. bonus: make it fun
  • 17. preventing breakdowns
  • 18. what causes breakdowns? peoples expectations GAP peoples experience
  • 19. what causes breakdowns? peoples expectations service activities by company peoples experience
  • 20. what causes breakdowns? peoples expectations company vision peoples experience
  • 21. what causes breakdowns? peoples expectations company vision service design peoples experience
  • 22. what causes breakdowns? peoples expectations company vision service design service implementation peoples experience
  • 23. what causes breakdowns? peoples expectations company vision service design service implementation peoples experience
  • 24. what causes breakdowns? peoples expectations GAP company vision GAP service design GAP service implementation GAP peoples experience
  • 25. the gaps model of service quality peoples expectations GAP company vision GAP service design GAP service implementation GAP peoples experience
  • 26. seek feedback DROWNONLINE.COM
  • 27. Getperiodicfeedback Feedback http://www.nytimes.com/2008/10/12/magazi ne/12tipping t.html?_r=1&hp=&adxnnl=1&pagewanted=1& adxnnlx=1330372820 CG9Z1Vopw96ds6+ZaFWL1g
  • 28. Feedback
  • 29. the gaps model of service quality peoples expectations GAP company vision GAP service design GAP service implementation GAP peoples experience
  • 30. make the vision tangible
  • 31. University of Washington Medical Center Service Recovery Program
  • 32. the gaps model of service quality peoples expectations GAP company vision GAP service design GAP service implementation GAP peoples experience
  • 33. empower employeeshow many people does it take to fixmy internet connection? 2 twitter reps 3 call center reps 2 technicians
  • 34. Too often companies desire to do everything well, and they create a kind of exhausted mediocrity. Employees cant do everything well: When you optimize a system to be both best in class at speed and best at thoroughness, youre going to wind up being average at both. Frances Frei, author of Uncommon Service
  • 35.
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