In this article from BNET.com, a customer service advocate outlines the top four reasons companies go out of business and every one of them has to do with customer service. With examples like Blockbuster, Borders, United Airways and W.T. Grant stores, the author points out that, yes, economic and technology changes were factors in each of these bankruptcies, but at the root of the problem was these companies’ approach to customer service.
They ignored the changing needs and wants of their customers and did their own thing, to their own detriment. One outsourced customer service. One refused to change with the times. One didn’t listen when customers complained. One started out with the premise that the customer was always…wrong. If they had done some customer service evaluations (i.e. mystery shopping) along the way– hired some experts to make sure customer service was being handled in a way to retain customers rather than driving them away, some of them might be in business today.