Gain Competitive Advantage through After-Sales Service

by Selma Canas, CGBP | November 22, 2022

Customer satisfaction should be the ultimate measure of a company’s success as it will lead to repeat sales and referrals for more business. Customers need to know you, like you and trust you before they will do business with you. Marketers say it costs five times as much – and sometimes more – to attract a new customer than it does to retain an existing one.

A key metric used to build towards customer satisfaction is the lifetime value of a customer – how long they will stay with you and how much money they will spend. The best way to gauge this is by using the Net Promoter Score (NPS) , which asks one question – How likely would you be to recommend this product/service/company to a friend or colleague? This NPS can be used to interpret customer loyalty and satisfaction, and even predict business growth.

After-sales service should be part of the company’s overall marketing strategy as it is considered a key revenue generator. It consists of everything a company does after the sale has been made, including follow-up contact, dealing with complaints, supporting warranty service, repairs and returns, and more. These services will vary greatly by product/service so analyzing customer performance indicators will be telling.

What is important to the customer?

• Delivery time
• Communication timeframe
• Treated fairly
• Convenience
• Loyalty rewards
• Automation or Personalization

After-sales services should incorporate the needs and wants of a customer to build towards customer satisfaction. Companies will need to identify who will manage each after-sale service, be it an employee, third party, or the distributor.

Follow-up with customer after sale has been made

Contact the customer to ask about satisfaction with the product/service/company. Find out what their needs are at this time. Tell them how you will act on their responses and do it in a timely manner. Do not drop the ball as it could lead to a negative impression from the customer.

Create a hotline for customer issues

Customers want to be heard so having a 24/7 hotline or chat feature for them to reach someone would be a great after-sale service. Maybe they have a question or need assistance with a product. Having someone available to respond within a reasonable time is beneficial to your customer service.

Offer loyalty rewards or free products

People in general love to receive free offerings but customers want to get the most value for the money spent. Offering rewards or free products to existing customers provides more value for the money.

Warranty service

Offering a warranty service relays confidence in the product/service/company. Customers like knowing that a company will repair, replace, or refund a product/service if they are not satisfied.

Continue the dialogue

Check in with customers periodically. Send newsletters with company/industry information. Stay in touch to stay top of mind.

Providing after-sales services can give companies a competitive advantage over companies that do not. Satisfied customers will lead to more sales and new business through referrals of friends and colleagues. On the other hand, poor after-sales service can prevent companies from growing, and even result in lost customers. Build customer satisfaction by taking care of your customers.