Partner Article

Customer service training suffers in recession

A third of organisations have cut customer service training this year, but firms are now being warned about a potential backlash over the Christmas period.

The “slash and burn” approach to cost cutting could damage relationships with customers at a time of high competition. That’s the warning that’s been issued by the Institute of Customer Service following its recent poll.

The Institute found 30% of organisations surveyed have cut investment in customer service training and 21% have laid off customer-facing staff in 2009.

That is despite the Institute’s research that companies with a reputation for service excellence and committed frontline staff have a 24% higher profit margin than same-sector rivals who do not enjoy similar standing.

Jo Causon, the Institute’s chief executive, said: “Investing in your people is a key differentiator in business today. An organisation that emphasises customer service, through training and development, goes a long way to retaining staff – which motivates them to satisfy customers.

“Experts predict we are looking at a flat Christmas, particularly in retail, and our advice is to embrace a strong service culture to keep customers satisfied.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .