The School for Champions is an educational website that shows you how to achieve your dreams.



Other eCommerce topics:

Basics

Basics of eCommerce

eCommerce Business Models

Traits of eCommerce Executives

Business

Naming a Web Business

Selling on the Web

Measuring Your e-Business

Using TQM and ISO 9000 in eCommerce

eCommerce Customer Service

Case studies

Case Study of HowStuffWorks eCommerce Site

Also see:

Weekly Feedback Blog

eCommerce Survey Results

Succeed in Business

Total Quality Management

Organize Business with ISO 9000


SfC Home > eCommerce >

Explanation of eCommerce Customer Service - Strategies to Succeed in eCommerce. Also refer to e-commerce, satisfy customer, TQM, Total Quality Management, referral business, word-of-mouth advertising, thank you note, help desk, increased profits, Ron Kurtus, School for Champions. Copyright © Restrictions

eCommerce Customer Service

by Ron Kurtus (21 July 2007)

Customer service is the special service given during and after a sale, intended to guarantee a satisfied customer. Although the product you sell through e-commerce may completely satisfy your customer, the extra service you give will often determine whether you get repeat and referral business. Poor or nonexistent customer service can result in negative word-of-mouth advertising that will turn people away from your business. Customer service methods include providing purchasing information and assistance, a thank-you note after a sale, and a follow-up help desk.

Questions you may have include:

This lesson will answer those questions. There is a mini-quiz near the end of the lesson.

Purchasing information

Many companies involved in e-commerce will provide assistance in making a purchase as a special service. This is usually done though a human sales representative, either on the phone or through email.

For example, although Dell computers would prefer you to buy a computer completely through an online transaction, they also have courteous sales representative that will answer questions and provide assistance.

Providing this type of help can result in extra expenses, but it does assure a sale. The downside is that sometimes people who need help in making an online purchase are also the ones that call in for help in using whatever it is they bought.

Follow-up letters

When you buy something online, you appreciate getting an email confirmation of your sale, summary of the invoice and a note of thanks. This is especially desired for a large ticket item or something that must be shipped. Since the purchase is all electronic or online, it is very simple to automatically send such as email.

What is surprising is that many businesses selling downloadable software do not bother with a thank you note. This is especially true of small e-commerce businesses. Perhaps they feel that because they only are selling a single product, that they don't need to create good will. They are missing out on an opportunity to get referral business.

For items that are being shipped, allowing the customer to track the shipment increases their confidence in your e-commerce business. Your follow-up letter should provide links to this service.

Help-desk

Having a help desk or customer service capability to answer follow-up questions can be useful to a company in maintaining customer satisfaction. Ideally, the product that is mailed or downloaded should have very clear instruction on how to install and use it. But still, there are customers that can't follow directions and want some human to help them.

This form of customer service can be expensive for an e-commerce business. The saying is that 20% of the customers result in 80% of the calls for help. You should try to eliminate these calls by either setting a limit on them or by improving your documentation.

Dell Computers is one of many companies that outsourced their after-sales assistance to India and other countries where the wages were much lower than in the United States. This cost-saving move on customer service has backfired. Many reviews of Dell products said the product was good, but the customer service was so poor that the customer could not recommend buying from them. Since this type of information is online, it can be devastating to sales or the reputation of the company. Note that I am not picking on Dell, but the company serves as a good example.

Summary

Customer service is the special service given during and after a sale, intended to guarantee a satisfied customer. This extra service can often help you get repeat and referral business, while poor or nonexistent customer service can turn people away from your business. Customer service methods include providing purchasing information and assistance, a thank-you note after a sale, and a follow-up help desk.

Answers to Readers' Questions


Serve your customers


Resources

The following are resources on this subject.

Websites

eCommerce Resources

Books

Top-rated books on eCommerce


Mini-quiz to check your understanding

1. What is the ideal way to provide assistance in sales in e-commerce?

Having a store where the people can go to make their purchases

Having good, clear instructions on how to proceed

Have sales representative by their phones 24/7

2. What good is sending a note thanking the customer for buying from you?

It creates a friendly feeling, even if they know it is a form letter

It allows you to put some spyware on their computer when they open the email

It is a tradition going back to our founding fathers

3. What is the best way to eliminate the help desk?

Have the help desk in another country with foreign-sounding workers

Charge a large amount of money for the assistance

Have a product and instructions that will not require assistance

If you got all three correct, you are on your way to becoming a Champion in eCommerce. If you had problems, you had better look over the material again.


What do you think?

Do you have any questions, comments, or opinions on this subject? If so, send an email with your feedback. We will try to get back to you as soon as possible.


Share link

Feel free to establish a link from your website to pages in this site.

Or use our form to send this link to yourself or a friend.


Students and researchers

The Web address of this page is
www.school-for-champions.com/ecommerce/customer_service.htm.

Please include it as a reference in your report, document, or thesis.


Where can you go from here?

School for Champions

eCommerce topics

eCommerce Customer Service


The School for Champions helps you become the type of person who can be called a Champion.