Preview

Service Recovery

Powerful Essays
Open Document
Open Document
1302 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Service Recovery
Service Recovery: Online Shopping Mall in Korea Loyal customers are a vital asset of service companies. The most effective way to ensure repeat customers is to provide a product and service that meets or exceeds that customer’s expectations every time. Although this fact is important, effective application of recovery strategies may enable service mangers to maintain or even increase loyalty. Generally, good service recovery not only turns angry and frustrated customers into loyal ones, but it also has the potential to create more goodwill than if things do go wrong. To find out what company does when a customer has a complaint, I interviewed a process manager who works at online shopping mall in Korea and asked some questions on service recovery steps. This company that I interviewed is based on the well-known department store in Korea called Shinsegae. It sells various types of products and is similar to American online shopping stores like Amazon and Zappos.com. According to the process manager, many people nowadays buy products and services through World Wide Web because they lured by the ease of comparison shopping and the convenience of transacting business over the computer rather than traveling to the local mall. Even though many e-tailers are still focused only on acquiring customers and not servicing them, this company tries to have an aesthetically pleasing web site, create the customer support, online problem help, and other shopper-friendly features to keep e-shoppers coming back beyond one visit.
The manager explains that the standard for customer service and problem solving is higher for the Web than it is in the offline, face-to-face customer service world. Because customers think of the Internet and the computers that drive it as fast and easy and expect the service they receive over the Internet to be fast and easy. Therefore, oftentimes, online shoppers start out with high expectations of the online shopping experience. The manager indicates

You May Also Find These Documents Helpful

  • Powerful Essays

    In this case, Blake Ives, the CEO of Upscale Markets, was at a crossroad of whether start to build an online store to seek further growing profit. Upscale Markets was a seven-store local grocery chain in Dallas, TX. Ives was inspired by the huge success of a virtual store project in subways running by Tesco named Home Plus in Korea. They showed the products visually by using monitor in subways and allowed people purchased items and got delivered by simply using their phone to scan the QR code under the item. Ives gave a call to his friend who was enjoyed online grocery shopping for a few years named Cantera. Cantera gave Ives many advantages through his experience on Rice Epicurean. Camtera said that he save a lot of time on grocery shopping and finally get rid of this burden. Rice Epicurean had two ways for online customers to get their purchased products. Based on the system provide by MWG, they could prepare the in store pick-up and home delivery. Benefited form the on-line shopping system, many grocery stores gain huge profit and earn lots of market share. MWG could easily implement this whole system within two weeks to forty-five days according to the situation of the specific store. However, even though online shopping would bring customer increase and purchase increasing pre customer, still, there would be potential risk on implement on-line shopping system. For example, how to fit the tastes of customer of foods to gain customer satisfaction? How to dealing with the additional request of customer whether it is reasonable or not? Moreover, facing on the dot-com meltdown of 2000-2001, many giant online shopping…

    • 1290 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Business Research - Rwt-1

    • 3333 Words
    • 14 Pages

    With ever increasing demands on time, today’s consumer is focused on maximizing efforts in the most efficient way. Convenience is the primary motivation for online shoppers according to Bernadette Tracy (2000) from MediaLife Magazine. Price is a secondary concern. By entering into the online market ABC Corporation will be better able to meet the ever changing needs of their already established customer base as well as seeking…

    • 3333 Words
    • 14 Pages
    Powerful Essays
  • Good Essays

    It seems that many of us are discovering a new and more convenient way of shopping, and this would be online. Online shopping has become a major way of making purchases today, and it seems to offer everything that your local department, grocery, or drug store does, only with more convenience. On the other hand, there are those “Die-Hard” shoppers who would rather pound the pavement and deal with the hustle and bustle of the crowds, either because of habit or tradition. The “Brick-and-Mortar” shoppers are the most common folk, who wouldn’t have it any other way, because to them there’s just something about personally choosing the items that they are purchasing. The online shopper seems to be less particular, when it comes to online shopping; you have to have a certain amount of faith in certain web sites when buying anything from items for the home to clothing. Online vs. Brick-and-Mortar shopping seem to be two ways of doing the same thing.…

    • 1130 Words
    • 5 Pages
    Good Essays
  • Good Essays

    complaint behaviors, and service recovery anticipations. When eservice failures happen, Type A and internally driven users participate in ambitious complaint behaviors and anticipate higher service recovery initiatives. On the other hand, Type B and externally driven users have a tendency to bear e-service failures and avoid complaining. Lastly, theoretical and managerial ramifications are talked about.”…

    • 2171 Words
    • 9 Pages
    Good Essays
  • Good Essays

    Service recovery is the strategy used by service providers to return customers to a satisfied state. It involves listening, adequate communication, and respect. Its effects can turn an unhappy customer into a loyal publicist for the organization.…

    • 641 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Generalize the lessons learned from this example to other organizations. What challenges might organizations encounter in designing quality customer service processes?…

    • 965 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Bottleneck in a Process

    • 426 Words
    • 2 Pages

    Week Three’s assignment reflects the data collected in week one on customer service. Several factors affecting the process design determined a defect in the system. In this week’s assignment a brief discussion on the process from week one along with a discussion of the “main bottleneck in process is the topic” (University of Phoenix, 2012, p. 4). “Goldratt’s theory of constraints will also be identified and how to overcome the process bottlenecks” (University of Phoenix, 2012, p. 4).…

    • 426 Words
    • 2 Pages
    Good Essays
  • Better Essays

    The assignment for this week is two parts. The first part is to find and discuss three different ways an e-business can offer customer support in order to make their shopping experience more approachable. The second part is to explain why an owner would rent a server instead of buy one and to give an example of that situation. It is through both of these tasks that we will see ways to reinforce trust with the customer as the basis for getting them to support our company online.…

    • 996 Words
    • 4 Pages
    Better Essays
  • Good Essays

    Customer Service

    • 293 Words
    • 2 Pages

    At least 28% of online shoppers abandon a purchase before completing it (Greenfield Online, 2000). Some consumers abandon purchases because they perceive it as riskier to shop online than shopping in stores or over the telephone where consumers can obtain direct and immediate information to offset the risk of the item not meeting their expectations (Greenfield Online, 2000). Other consumers find the checkout process confusing, and others abandon their purchases because they cannot speak with a customer service representative (Wasserman, 2001; White, 2000; LivePerson, 2000). These factors -- purchase risk, confusion, and lack of contact -- appear to be the primary, but not the only reasons for purchase abandonment. Poor interface design (Lohse and Spiller, 1998; Nielsen, 2000), privacy and security (Culnan and Armstrong, 1999; Hoffman, Novak and Peralta, 1999), search attributes and pricing (Brynjolfsoon and Smith, 1999), and emotional trade-offs of not shopping in a store (Luce, Payne, and Bettman, 1999) also have been documented. Some of these primary and secondary factors may be mitigated with more effective online customer service interactions to improve contact and reduce risk factors. Others, such as poor interface design, may not. However, purchase risk factors such as perceived quality (Brucks, Zeithaml, and Naylor, 2000; Lal and Sarvary, 1997) and related purchase selection problems (Bauer, 1960, Levitt, 1986; Chaudhuri, 2000) are factors that may be directly addressed with customer service chat interaction. It appears that organizations are moving toward customer service chat as a low-cost mechanism to reduce online shopping risk (Wasserman, 2001; Hollman, 2000). Estimates for implementation of this software in call centers range from 27% to 45% within the next one to three years (Hulme, 2000; Vaczek, 2000).…

    • 293 Words
    • 2 Pages
    Good Essays
  • Powerful Essays

    Toyota Marketing Plan

    • 4324 Words
    • 18 Pages

    References: Chamberlin, P. (2009). Customer service complaint handling. New York: The Gurdian. Retrieved October 7, 2010 from http://www.impactfactory.com/p/customer_service_skills_training_development/issues_936-2103-87287.html…

    • 4324 Words
    • 18 Pages
    Powerful Essays
  • Powerful Essays

    E retailing emerged as one of the major application or subset of e-commerce. Initially it took a lot for companies to understand how to create the customer’s experience around the shopping through Internet. From the consumer’s point of view, online shopping firstly reduced the effort and cost of visiting the stores and market and secondly various shop bots and comparison sites offered them the exact comparisons they were looking for (Chevalier et al. 2003).…

    • 4156 Words
    • 17 Pages
    Powerful Essays
  • Good Essays

    Excellent customer service – the daily, ongoing support of a company’s offerings – is critical in creating brand identity and ultimate success. Customer Service is the service provided in sustain somebody financially customer service most often includes answering questions, taking orders, dealing with transactions and relations, handling complaints and perhaps scheduling maintenance or repairs. (Bitner, 2003 p. 3) The quality of customer care can significantly impact brand identity for service, manufacturing, and consumer’s products companies. Because of its importance in creating impressions and sustaining customer relationships, customer service has sometimes been called the “front door” of the organization or its “face”. Customers are not only once. Yesterday’s fantastic service is today’s minimum standard and tomorrow’s disappointment. Those who wait for the customer to define the standard are forced into a defensive position. Sellers who anticipate their customers evolving demands can develop product enhancement, customer service, marketing and price strategies that meet customer’s needs without sacrificing profits.…

    • 3481 Words
    • 14 Pages
    Good Essays
  • Powerful Essays

    Consumers, through the use of the Internet will become more self-sufficient in the service delivery process. The way we do business it will be changed, as well. Consequently, the Internet will affect the way consumers develop expectations. Ultimately, the role of…

    • 2296 Words
    • 10 Pages
    Powerful Essays
  • Better Essays

    customer complaint

    • 1809 Words
    • 8 Pages

    Improving the complaint management process is important for any organization, and the rewards for establishing an effective process are substantial and well worth the effort. When customers experience a problem with a product or service, some will complain to the front-line personnel. Most organizations do not have a complaint tab or button on their home page or on their customer service pages. Customer complaint and loyalty research clearly shows that most organizations do not have any real idea of how well they are satisfying their customers. Providing ready and well-designed complaint handling processes that keep your customers informed, and responding with actions that satisfy your customers can create delight that can improve loyalty -- in some eases by 20%-30%. You should always remember the value of a customer complaint, as detailed in the book A Complaint Is a Gift. If more organizations could adopt this mindset, they would greatly improve customer satisfaction.…

    • 1809 Words
    • 8 Pages
    Better Essays
  • Good Essays

    Passion to Profession

    • 803 Words
    • 4 Pages

    Often, customer service occurs while performing a transaction for a customer such as making a sale or returning an item. It can take the form of personal interaction, a phone call, or by other means. It is an important part of our job and should not be seen as an extension of it. A company’s most vital asset is its customers and without them, we would not and could not exist in business. When you satisfy our customers, they not only help us grow by continuing to do business with you, but recommend you to friends and associates. Every single contact with a customer can either cultivate or corrode the relationship with a customer. This includes every letter or email that is sent out, every ad that may run and every phone call made.…

    • 803 Words
    • 4 Pages
    Good Essays