Tag: customer service

Service Recovery at an Aunty Restaurant

April 27, 2008 Blog 6 comments

To celebrate my dad’s 68th and my niece’s 10th birthday, my mum decided to book a restaurant for dinner last night at Tiong Bahru’s Seng Poh Lane. Going by the unassuming name of Por Kee Eating House (porky?), the outlet was your typical old-fashioned Chinese restaurant with red plastic chairs and an outdoor al fresco eating area. It was as unpretentious as you can get, with a clear focus on its food rather than ambience.

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When we arrived, we were ushered to a space next to the public carpark outside, under the starry moonlit sky. As the evening was cool, most of us didn’t quite mind sitting outside. Especially with a beer or two!


My Family’s Car Accident – A Tale of Service Excellence

October 7, 2007 Blog 32 comments

Yesterday afternoon, my wife together with my son and maid got into an accident along CTE (I was attending a work lunch then). What happened was a tale of God’s divine providence mixed with extraordinary service excellence.

My wife was driving towards the city and encountered the usual Saturday afternoon jam. Traffic was extremely heavy and crawling at a snail’s pace. Unfortunately, a slick black BMW driven by a young 19 year old guy crashed into the rear of our car. He must either be driving his dad’s car or distracted by his girlfriend.

The shock was so hard that the beamer’s airbag popped up. Fortunately, my family didn’t suffer major injuries although my maid had a swelling on her head (currently under observation) while my wife’s back hurt. Both cars stopped and my wife took down the driver’s full particulars (NRIC, license plate, hand phone photos of damage, insurance company, car model).


Service versus Sales

August 13, 2007 Blog 13 comments


Used car salesman (courtesy of Chaka Raysor)

I am always puzzled why companies spend a lot more energy and focus on trying to sell rather than pleasing their customers. If you don’t already know, customer retention is a far more profitable strategy than customer acquisition. That, plus the fact that word of mouth is taking off more than ever in this ad-saturated age of increasingly powerful social networks. Here are some sobering statistics which tells you why you should pamper your existing customers rather than court new ones:

  • A typical dissatisfied customer will tell 6-10 people about the problem. A typical satisfied customer will tell 1-2 people.
  • It costs 6 times more to attract a new customer than it does to keep an old one.
  • Of those customers who quit, 68% do so because of an attitude of indifference by the company or a specific individual.
  • About 7 of 10 complaining customers will do business with you again if you resolve the complaint in their favor.
  • If you resolve a complaint on the spot, 95% of customers will do business with you again.

(Source: Customer Are Always)

Studies have also shown that a Customer’s Lifetime Value (CLV) can be far greater than that of a single transaction. In fact, 70% of a telco’s revenue comes from 30% of its customers: those who stay for years and purchase increasing levels of service. There is a nifty way to calculate CLV here.

Now shouldn’t you start paying more attention to those customers who made you who you are?