Service-based business is different from a traditional business for the fact that there is no one-time purchase that could keep your customers happy throughout the life of the product. Services are recurring in nature. And when your customers choose you, their expectations keep rising high. They expect personalized, on-demand, and quick services on a priority basis.
Let us understand in detail about some of the unique challenges faced by the service industry:
1. No second chances
Services one availed cannot be returned. A product can be exchanged or returned for a better one if the previous one cannot satisfy your customers. You can surely pay the money back for an unsatisfied service but cannot undo the bad reputation.
2. Customer satisfaction is difficult
No matter how loyal your customer is, if they return with once with discontent, they are not likely to return ever. One bad service can ruin the complete relationship with your clients.
3. Service is real-time
Most services happen in real-time and cannot be delayed. If the same is not provided at the right time, the possibility of earning a sale is lost.
4. Customization
Unlike a product, the same service has to be provided separately to different customers. As customer preferences and expectations vary, services have to be adjusted the right way to suit every customer’s mood and attitude. It is difficult to keep a track of how a particular customer wants a certain service.
How CRM helps in better management?
1. Automated operations
A CRM system can help in improving business efficiency by automating the operations across every department of the organization. Right from attending to client’s requests to providing the requisite services on time to raising the invoices on time, every job becomes easier and faster with a CRM system.
2. Improved customer service
With a CRM in place, all customer data can be stored in one place. The same can be analyzed at any time to make informed decisions on marketing strategies or improving services or intimating customers about new offers or renewals. They can also be accessed when required to support customer inquiries quickly resolve customer queries at the earliest.
3. Improves team coordination
Coordination across the different levels of the organization is improved and the communication gap is reduced. Having one true source of customer data across the organization enables every staff to take similar decisions and work together as a team.
4. Analytics
A CRM software system comes with a 360-view dashboard and provides useful insights into the performance and productivity of the services based on the real market data. Based on these insights, informed decisions can be taken to improve business efficiency.
5. Easy invoicing
It is important for a service-based business to issue prompt and correct invoices to its customers for every kind of service they avail. Services are generally billed as per the time involved, which get difficult to manage due to a diverse range of services and a huge customer base. With CRM in place, billing can be automated and sent directly along with reminders for timely payments.