Using Service Quality To Gain Competitive Advantage

1617 words - 6 pages

Using Service Quality to Gain Competitive Advantage

In today's competitive environment, organizations must earn the customer's trust by consistently meeting or exceeding expectations. The disparity between expectation and perception is the major determining factor in a customer's assessment of quality of service. Service quality and customer service is very important. One of the most important customer service skills you can develop is the ability to understand and effectively respond to the customer's needs and concerns. For a long time, a sale has been perceived to be mostly about trying to convince the customer that he needs the product. Excellent customer service starts by first taking the time to get to know the customer, their situation, vision, frustrations, and goals. Service quality is very important. Companies should use the strategy: Under promise and Over deliver.
Because business services are intangible and nonstandardized, buyers tend to have greater difficulty in evaluating services than in evaluating goods. Customers utilize a variety of prepurchase information sources to reduce risk. There are five dimensions of service quality that customers use to evaluate service quality: Reliability, Responsiveness, Assurance, Empathy, and Tangibles.
Reliability is most important to customers. Reliability is performing promised service dependably and accurately. If you don't deliver on your promise you can lose customers and your credibility will be damaged. An example of reliability would be delivery dates being met. In today's society nearly everyone depends upon the continued functioning of a wide array of complex machinery and equipment for their everyday health, safety, mobility and economic welfare. We expect our cars, computers, electrical appliances, lights, televisions, etc. to function whenever we need them, day after day, year after year. When they fail the results can be terrible. Repeated failure leads to annoyance, inconvenience, and a lasting customer dissatisfaction that can cause havoc to a company's marketplace position. That's why reliability is important. It takes a long time for a company to build up a reputation for reliability, and only a short time to be branded as "unreliable".
Responsiveness is the willingness to help customers promptly. Avoid having customers waiting for no apparent reason. Responsiveness is very important because if you provide customers with what they in a timely fashion they will be satisfied. Nobody likes to wait. Replying to a customer request promptly is a good example of responsiveness. If customers see that you are very willing to help will cause loyalty and it will let them know that you are concerned...

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