Customer Service

Ch-5 (ICFAI BOOK)

 Meaning
• Referred to as a set of activities and programs
taken up by a retail organization to offer its
customers a rewarding shopping experience.
• Activities involved are
1. Information provided about the store’s
offerings
2. Ease of completing a transaction
3. The satisfaction of customers after the
shopping
 Nature
• Intangibility
• Inconsistency
 Customer service strategies
• Customization
• Standardization
 Types of customer service
• Pre Transaction service (Extended hours, communication, demonstration)

• Transaction service (credit facilities, gift wrapping, packing, personal selling, displays,
merchandise management practices, etc.)

• Post transaction service (loyalty programs, merchandise exchange handling,

complaint handling, repairing, free service,)
 GAP MODEL
• Four key gaps
1. Lack of knowledge regarding customer
expectations / The Knowledge Gap
2. Lack of appropriate service standards/ The
Standard gap
3. Failure to deliver the promised service
standards/ The delivery gap
4. Failure to deliver the performance as per the
promises made/ The communication Gap
 Key to improve the gaps
1. Understand the customer expectations
on the level of service quality
2. Develop standards for delivering
customer services
3. Execute programs that deliver services
that match the standards set
4. Develop communication programs that
convey information on various services
offered by the retailer
 Service Recovery
• Listening to customers
• Providing a fair solution
• Resolving the problem quickly