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Eric Sherman
VP Business Development
Scott Walles
Operations Manager
Wayne Henry
Head Continuous Improvement Coordinator
Esra Eren
Aegon Hayat ve Emeklilik A.Ş.
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Marketing Manager

Article : Consumer Loyalty to Suppliers: The Service Correlation

Do you believe there is a correlation between the service you receive as a consumer and your loyalty to the supplier? We asked this question to professionals in the contact center industry to find out if the product makes the company, or if it’s the customer service.

- a survey by Joss Jalbert,

Darren Young
Business Development Director
Customer Service Network
United Kingdom

"In some instances I think that loyalty creates a situation where the supplier provides a better service to keep you but it’s still rare. I believe it’s still the norm for existing (loyal) customers to be treated poorly. Despite the fact that such offers have been criticised, special offers to new customers that ignore the loyalty of the existing customer base are commonplace. Worryingly, the company making the offer sends the offer to existing customers too, which kind of rubs their nose in it too."

About Customer Service Network

CSN was founded in 1997 to bring together managers, directors and customer service personnel from across the UK who were striving to improve customer service. The aim was for members to learn from one... (read more)
Karen Wenborn
Contact Centre Manager
Screwfix Direct Ltd
United Kingdom

"Absolutely!! In one case, having received poor (very) service from one arm of a major blue chip, I went on to cancel EVERY contract I had with them, or their subsidiary companies. From pet insurance, through credit card, via shopping and my broadband supply. All lost to them because of one particularly bad experience."

About Screwfix Direct Ltd

Screwfix Direct Limited operates as an online supplier of trade tools, fixings and accessories, and hardware products in the United Kingdom. Screwfix is the UK's supplier of tools, accessories and har... (read more)
Louise Gray
Director Customer Access
Liverpool Direct Ltd (LDL)
United Kingdom

"Yes, unlike the Public Sector where customers may have little choice but to use the same service provider whatever the level of customer service, within the private sector generally customers will stay loyal. However there are always the exceptions customers are fickle and may tolerate a poorer level of customer service for lower costs conversley many customers are 'lazy' and will stay put just because it's too much effort to move!"

Donald Gillis
Product Manager
DSS Corporation
United States

"Absolutely, customers understand there is no such thing as a perfect world. They do expect "one call resolution" and an understanding partner. No "BS!" Customer support becomes the primary face for repeat sales."

Sandra Galer
Consulting Director
Merchants SA (South Africa)
South Africa

"No. I think that often as a loyal supplier I am not treated as well as when they want my business. This is in terms of speed to answer on a new business line and being offered incentives to lure me in which are not offered to current customers, even at renewal, until you try to cancel."

About Merchants SA (South Africa)

Merchants, a Dimension Data Group company, is a provider of bespoke outsource contact centre solutions, operating in South Africa and has a 35 year track record of delivering customers contact centre... (read more)

United Kingdom

"No. There ought to be a reversal of roles ie suppliers are gold, silver, bronze to me as a consumer rather than me be a gold, silver, bronze customer of theirs."

Jd Miller
Sr Director of Product Support
United States

"Absolutely, and I believe most consumers would be willing to pay slightly more for an item if it meant being treated better and serviced more effectively. I prefer using companies that value me as a customer as well as training and treating their employees well. Companies who deliver only satisfactory service will only get my business when price is the only factor. I will not give my business to companies who give me poor service regardless of how low their price is....we shouldn't reward poor service with profits."

About ADP

Automatic Data Processing provides business outsourcing solutions. ADP offers a wide range of HR, payroll, tax and benefits administration solutions from a single source. ADP's easy-to-use solution... (read more)
Najenjwa Mbagga
Head of Department Customer Care
Vodacom Tanzania

"Yes very much if you treat me well in terms of your customer services i tend to feel guilt going somewhere else for the same products or services so i normally get the habit to ask the same supplier for different products"

About Vodacom Tanzania

Vodacom is a leading African communications group providing mobile communications and related services to 41.3 million at 30 June 2009. Its mobile network covers a total population of approximately 18... (read more)
Douglas Utley
ScottMadden, Inc.
United States

"In general, no. The grocery store is a good example. The checkout clerks help me as much as they help those who have loyalty cards. With respect to airlines, I find that the service that I received when I did not have status often matches that received as a platinum frequent flyer. I will say that the perks associated with the status are significant and different."

Todd Baxter
United States

"Yes. Many companies do a very nice job of differentiation between customer segments. American Express comes to mind as a company who treats their "Platinum" or higher level customers with a higher level of service (in US call centers, almost no wait time, quick action to settle disputes, etc.)."

About Optum

Optum is a provider of information and technology-enabled health services business dedicated to helping make the health system work better for everyone. Optum is powering modern health care with nearl... (read more)
Ann Mayer
Telephos Ltd
New Zealand

"Not really. Good customer service comes from people not companies, and the people who give good service and are supported by management give good service to everyone."

About Telephos Ltd

Telephos provides Call Centre management, consulting and outsourcing. Our work with past clients identified the specific need within the New Zealand Contact Centre industry for these skills on a set t... (read more)
Mark Herbert
Resource and Planning
Saga Services
United Kingdom

"Its a factor but not a show stopper. For example, after my first experience with Sky I vowed never to use them again which I kept right up to the point that the price became irresistible!!"

About Saga Services

Saga is an insurance company.
Bob Friedman
Senior Consultant
United States

"Yes, it can be a definite differentiator, but in reality people are so desensitized to poor service that they will go back to suppliers they dont like for all kinds of reason, location, cost, product offering, etc."

About ISG-One

ISG supports private and public sector organizations to transform and optimize their operational environments through research, benchmarking, consulting and managed services, with a focus on informati... (read more)
Thila S
Customer Services Manager
Hewlett Packard Malaysia

"Yes, as I've seen that better service has people loyal to a brand and they are less likely to move to a competitor."

About Hewlett Packard Malaysia

Hewlett Packard (HP) is a computer technology company founded in 1939 by Bill Hewlett and Dave Packard. They are best known for manufacturing computer peripherals such as inkjet printers, laser printe... (read more)
Katarzyna Kanka
Board mebel

"yes, in my opinion there is a correlation - it's already proven that loyal customers, stay longer with suppliers. They also give more benefits, and become a company advocacy."

Jan Liverman
Account Executive
Muirfield Broadcasting
United States

"Certainly. The one who serves me with a smile and backs up any claims with action gets the business."

Chrissie Jay
Contact Centre Business Analyst
Nedbank Group Limited
South Africa

"Yes, if I get what I want and need I have no reason to put in the effort to seek something else."

About Nedbank Group Limited

Nedbank Group Limited (Nedbank Group) is a bank holding company that operates as one of the four largest banking groups in South Africa through its principal banking subsidiaries, Nedbank Limited and... (read more)
Andy Hanselman
Andy Hanselman Consulting
United Kingdom

"Totally - you can always find things cheaper, but it's often about feeling valued as a customer and that the people I'm dealing with have the willing ness and ability to sort out a problem if it arises. That is often worth paying (more) for."

About Andy Hanselman Consulting

I help businesses and their people create competitive advantage by 'thinking in 3D’! That means being ‘Dramatically and Demonstrably Different’! I research, speak about, write about and work with high... (read more)

About ContactCenterWorld:
Company LogoContactCenterWorld is The Global Association for Contact Center & Customer Engagement Best Practices. Today we have over 205,000 corporate 'individual' members have joined the association's website ''. We were established in 1999.
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Today's Tip of the Day - Understand the Processes And The Culture

Read today's tip or listen to it on podcast.

Published: Thursday, April 22, 2010

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Startel Corp.

Contact Center Software
Startel is a leading provider of unified communications, business process automation and performance management solutions for contact centers. Since its founding in 1980, Startel has established a loyal customer base from a variety of industries, including contact centers, education, healthcare, insurance and telephone answering service. Startel's solutions are designed to enhance the customer experience, improve employee productivity, reduce operating costs, and increase revenues.
PH: 800-782-7835


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