The recent announcement by Andy Burnham last week in a Guardian editorial caught my attention. In it, Burnham vows to tackle companies that lure customers into “fake discounts” or hard-to-cancel subscriptions. There is something in this about the importance of being fair and transparent, which goes to the very heart of good customer service.
Whatever your political persuasion, it is good to see a leader who understands the importance of getting out there, taking soundings and listening to their citizens and customers. Burnham is also making an effort to articulate some of these ideas clearly – a good skill to have in both politics and business, and an essential part of the service experience, whatever sector you work in. Good service requires an emotional connection, and for that you need effective communication and dialogue – not just monologue!
While the ideas he sets out are not completely new (he is in fact bringing forward changes proposed by the Starmer government), Burnham has woven them into his narrative of “creating breathing space” for people struggling with the cost of living.
The latest UK Customer Satisfaction Index, released last month, found that the proportion of consumers who felt the economy would be in a better place in 12 months’ time had fallen from 31.1% to 27.2%. As a result, those who felt now was a good time to purchase a major item fell from 28% to 24%.
A return of the ‘feel-good factor’ – and of trust in organisations – is therefore sorely needed. As service leaders, we should embrace the PM’s goal of shining a spotlight on improving the customer experience. That’s because we know it is linked to consumer confidence and spending.
An endorsement for service leaders
For those who truly understand the strategic significance of service (which no doubt includes regular readers of this email!), it is disappointing that what we would see as basic standards are not universal, and that this kind of legislation is even unnecessary. The measures proposed put a seal of approval on what many organisations are already trying to do. The poor practices highlighted by the Government are by no means representative of the behaviour of the majority of organisations, but at their worst they could tarnish the reputation of whole industry sectors.
Being transparent with customers and treating them fairly is not just about doing the right thing; it is an effective way to protect the bottom line over the long term. Trust can be broken quickly by a poor experience, and the damage can last for years. It’s worth noting that the top 10 performers in our latest UKCSI outperformed the rest on their ethics score by 8.3 points (on a 100-point scale) on average.
No one is going to get it right 100% of the time, but genuinely putting customer service at the heart of operations starts with the top of any organisation and listening to customers and customer service teams, who have their finger on the pulse, then shaping operations accordingly and communicating improvements clearly.
Building the feel-good factor through service
Burnham is right that everyday frustrations erode confidence and positivity, leaving people feeling that nothing works for them. This echoes the approach the Institute has taken for some time: service leaders create trust between company and consumer, and wider still, with communities and society.
It’s worth highlighting the Prime Minister’s exact words here: “Every single unexpected payment, rip-off or hidden catch chips away at hope. That might sound dramatic – but it’s true. Every single one is another message that this country is built to catch people out rather than help them get on.”
I agree – and in fact I would go further. Great customer service – whether it is a problem dealt with efficiently or an interaction with someone who “gets it” – can reaffirm trust in an uncertain and challenging world.
We have an opportunity to build on the positivity the new PM is looking to generate and play our part in helping our businesses and the economy grow through trust, confidence and pride in customer service.
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