Customer service: the ultimate gauge
For most businesses their key focus remains excellent service delivery. However, while we would like to believe that customers are satisfied with the treatment and care afforded to them, the only people that can truly answer this question are the customers themselves.
It is their view of the company’s value proposition and experience with the company’s people/brand that is the ultimate gauge.
Ask the right questions
At the same time, do we as insurers and intermediaries understand what the customer sees as great service delivery? Do we provide the customer with exactly what they need on an ongoing basis and more specifically, when an unforeseen event occurs? Alternatively do we decide what the customer requires?\
To answer the questions above, it is important for an insurer or intermediary to define the core components of customer service and then specifically measure their performance against these to identify whether the insurer or intermediary service levels are meeting the desired objectives. One of the most common measurement tools is a survey and this should be designed to ask the right questions to help understand, not just the issues, but also the root causes of issues so that this may be appropriately addressed.
Important aspects of service delivery
An important aspect of service delivery is consistency as this builds trust and gives the customer a sense of comfort. When service levels fluctuate repeatedly, this generates distrust. While it is understandable that there are times when service levels may be affected, it is critical to ensure swift and fast recovery. This minimises the inconvenience to the customer and provides the necessary assurance of the standards for future service.
Of prime importance for insurers and intermediaries is the retention of customers, especially as the acquisition cost of new customers can be considerable. The objective has to be to provide for a speedy resolution to any issues or complaints, the first time around, to ensure the customer does not have to call repeatedly to obtain the solution. This also has implications for the brand and reputation of the insurer and intermediary.
However, at the heart of customer service lays the most important aspect - the ability of employees to deal with customers. Accordingly, soft skills need to be developed to meet the specific customer profile demand in terms of knowledge and technical expertise. Equally important is to understand that people want to deal with people rather than a face behind a brand, making it vital for employees to establish relationships with customers and foster a sense of trust. Furthermore, as customers engage with a range of employees across various departments, ensuring the same level of service, expertise and a good response rate across the value chain is imperative.
Technology, a seamless partner
Since we operate in a technologically advanced environment, it is imperative for insurers and intermediaries to have profiles of their customers which helps with regular interaction and consultation and guides them on how their clients would like to be serviced, what communication methods are most convenient and how they would like to access their information. This should be a core component of the service offering.
The bottom line is quite simple. Have we provided for the needs of the customer? Recent examples like the Knysna fires have shown that insurance adds tremendous value to the well-being of the customer – by supporting them on the ground and being accessible to customers, we have a first-hand view of whether we are on the right track based on their direct feedback.
Customer service is a work in progress and we need to keep the focus on integrating best practices, implementing efficient systems, retaining and enhancing the skills of employees, and maintaining open channels of communication. Focusing on these elements will enable businesses to stay ahead of changing customer needs, markedly improving service delivery and driving business growth.
