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Solving the Customer Mystery
Has customer service boiled down to plain old lip service in the retail
optical industry?
By Erinn Morgan
Times have changed. "Twenty to 30 years ago, every optical
shop in America was a mom and pop," says Bill Berris, president and CEO of Berris
Optical, which has six locations in the Cleveland area. "When it was just my dad
and I in one store, customer service wasn't even a question. You did what you had
to do to keep people happy."
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The Profound Importance of Customer Service |
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Whether
they shop at retail stores or on the Web, customer service is important to nearly
all consumers, according to a comprehensive national survey on customer service
conducted by the NRF Foundation and the American Express Company in 2004. In fact,
the survey showed that 99 percent of shoppers said that customer service was at
least somewhat important to them when deciding to make a purchase.
Still, consumers are lukewarm about their customer service experiences.
According to the survey, just 16 percent of traditional shoppers were extremely
satisfied with their most recent customer service experience while an additional
51 percent were very satisfied. In contrast, online shoppers were almost three times
as likely to be extremely "Many retailers are putting renewed emphasis on customer service, but shoppers are telling them that even more needs to be done," said John Theiss, vice president, Retail Industries, American Express Establishment Services. "This study identifies a wide range of service improvement opportunities that can have a meaningful impact on shoppers." The most important aspects of good service to shoppers include retail employees and store environment. Nearly two thirds of shoppers say it is extremely important for retail employees to be courteous (67 percent) and treat shoppers like valued customers (65 percent). Consumers also dislike being pressured to buy merchandise (69 percent) and 61 percent find it extremely important that employees are available to ask for help. In addition, 60 percent said a neat and clean store is extremely important. Interestingly, customer service expectations of online shoppers are very different from those shopping in stores. According to the survey, 73 percent want merchandise to be delivered on time and 74 percent want the retailer to quickly handle questions and requests. While the benefits of good service can be positive for a retailer, the ramifications of low-grade customer service can be severe. Traditional shoppers were more likely than online shoppers to tell others about a negative shopping experience (70 percent versus 64 percent). "Consumers like to share the highs and lows of their shopping experiences with family and friends," said Katherine T. Mance, vice president of the NRF Foundation. "It's no stretch to say that a single customer service experience, whether positive or negative, affects a retailer's sales from a variety of consumers, not just one." |
Two major issues serve as apparent roadblocks to top-notch customer service today: Managed care and staffing.
HARD-TO-BEAR CARE
Certainly, one reason customer service has waned is the stronghold of managed care. Limited pricing, selection, and options can make life with managed care less than service friendly. "Everyone is making less money and optical store owners can't afford to hire the help they need," says Berris.
"It's difficult to give the level of customer service that's demanded of us at times," says Jay Binkowitz, co-owner of American Eye Care, an optometric practice in Astoria, N.Y. "It is in large part because of managed care. Most of us are just disgusted."
A few optical dispensers note that insurance plans have fostered an attitude in some patients that makes good service a challenge.
"The thing that's tough is the constant griping," says Frankie Vartuli, an optician with Stamford Vision Care in Stamford, Conn. "You have to diversify your scheduling each day to survive. Your patients change and you have to have the energy to adapt to them."
STAFFING ISSUES
Another roadblock to providing good customer service, say some ECPs, is the staffing issue, which tends to have two sides.
►Good education. In the states that require optical dispensers to be licensed, there are many excellent professionals, but some, say owners, lack retail savvy.
"The only way to get better customer service is to have better people working in the stores," says Berris. "It makes it hard to do this. I'd love to go out to a shopping mall and get the best retail person and teach them how to be an optician. But you have to educate them for two years or sign them on as an apprentice...and they will have to take the optician's test within those two years."
►Less education. In those states where licensing is not requisite, those filling the optician's positions are sometimes low wage earners and often lack experience. Not a good recipe for top-notch customer service in the dispensary.
"Opticianry used to be a profession, but today it [can be] a low-end job. What you get are people with no optical experience except maybe a few classes at the local community college. It's not like the profession was when I started or my father or grandfather started," Berris says.
One area where these problems are less prevalent is at the high end of the optical price structure.
With higher margins and a large percentage of self-pay patients, luxury eyewear retailers can hire more experienced employees who can take the time to provide service to their clients.
REVIVING RELATIONSHIPS
Customer service is an issue in this industry. "It's something we're definitely slacking off in," says Craig Newland, OD, of Eyecare Associates in Parsons, Kan. "But providing customer service is crucial to maintaining a client base. As independents, we always have to keep on top of this."
With competition and industry pressures on the rise, it is critical for retailers to put an emphasis on specific service strategies.
Retailers may benefit from following some tips (provided, in part, by the American Marketing Association) for getting customer service into their dispensary operations.
►Have enough staff to serve customers. As the ratio of customers to staff increases, service availability declines. Even your best employees cannot keep customers happy if they are kept waiting too long for service.
►Invest in good training for your employees. The quality of your dispensary's customer service often relies on part-time employees who may not be as invested in the business as a manager or owner.
Training these employees how to help customers have a good experience can make these transactions more pleasant—and more profitable.
| The TOPS |
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According to a recent nationwide survey of
8,600 consumers (by the NRF Foundation and the American Express Co.), 85 percent
of consumers said that they spend and shop more at retailers who Who's the best at customer service? A nationwide poll of more than 8,600 consumers put Nordstrom at the top of the customer service list of retailers, followed by Coldwater Creek, Marshall Field's, Kohl's, and Boscov's. The top 10 is rounded out by Recreational Equipment, Inc. (REI), JCPenney, Lane Bryant, Best Buy, and Eddie Bauer. Consumers expect the highest level of service from restaurants, which had a 4.39 rating out of 5.0. Expectations are also high from specialty stores (4.32), department stores (3.94), and drug stores (3.92). Shoppers have average expectations from grocery stores (3.77) and internet retailers (3.71), and have the lowest expectations of service at membership warehouse clubs (3.58) and discount stores (3.21). |
"I believe we have good customer service because we have internal
training courses on a weekly basis," says Ken Mittel, executive vice president of
Hirsch Optical, a wholesale lab in Kew Gardens Hills, N.Y. "We try to keep our customer
service
people up-to-date on new products. We do five-to-10-minute sessions."
►Create a welcoming environment for your customers. Good service can begin with a simple "Hello" when customers walk in the door. By greeting them, you send a message that you recognize and appreciate them. A warm welcome sets the tone for a good experience.
►Offer enthusiastic, practical help. Customers are coming into your dispensary because they want or need something. Make sure your employees ask each customer how they can help—and remind them to listen carefully to the answer.
At the same time, don't overdo it. Heavy-handed service equates to bad service. Employees should be helpful and available without hovering, and they should be enthusiastic without being insincere.
►Practice the golden rule. When training your staff, have them picture how they would like to be treated if they were the ones walking into the location. Even practicing common courtesies, like saying "please" and "thank you," can set your business apart these days.
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