Ask the Experts | How Customer Service Drives Profits
Question: Can you explain how customer service drives increases in profits?
Brigham Dickinson; President & Founder, Power Selling Pros: Yes! Let me start off with examples, and you may have heard this before, the difference between McDonald’s and Chik-Fil-A is very simple: It’s the service they provide. And as a result, the revenue is just there; it just comes.
At your average McDonald’s, it’s anywhere between $700,000 and $900,000 in total revenue, per location, whereas at Chik-Fil-A you’re looking at an average of $4.7 million. What’s the difference? Well, the service they provide.
Something about the handshake of the host affects the taste of the roast. That’s what it is, that’s what it’s about. It’s not about the transaction, it’s about the connection. It’s not about their wallet, it’s about their heart. It’s not about the price at all, it’s about the experience you create.
You are the value. You’re the brand. You justify the price. So, how does customer service increase sales or increase profits? Well, because, if you create an experience – an unparalleled experience – you can justify any price, you can demand whatever you want to charge.
So that’s why it increases your profits, because you provide a service nobody else can provide. And funny thing, 86% of your market, 86% of homeowners, will choose a better buying experience over price or brand.