The Triple Win of Great Customer Service: Boosting Company Profits, Employee Engagement, and Customer Loyalty

By Julie Goh

Customer service is the backbone of any successful business. It is not only about satisfying the customer's needs but also about building a relationship with them. However, customer service is not just limited to external customers. It also applies to internal customers, i.e. the employees.

The impact of customer service on the company, the employee, and the customer is immense. In this article, we will discuss the importance of both external and internal customer service and how it impacts the various stakeholders.

External Customer Service

External customer service is the interaction between the company and its customers. It is crucial for businesses to provide exceptional customer service to their external customers. Here are some ways in which good external customer service can impact the company, the employee, and the customer.

1. Company Impact

Providing good customer service to external customers can have a significant impact on a company's growth and success. Satisfied customers are more likely to become repeat customers and recommend the company to others. Positive word-of-mouth can help a company acquire new customers and increase revenue. Additionally, good customer service can help a company build a positive reputation, which can help it stand out from competitors.

2. Employee Impact

Employees play a crucial role in delivering exceptional customer service. They are the face of the company and are responsible for creating a positive customer experience. When employees are empowered to provide good customer service, it can lead to increased job satisfaction, motivation, and engagement. This, in turn, can lead to lower employee turnover rates and a more positive work environment.

3. Customer Impact

Good customer service has a direct impact on the customer. When customers receive excellent service, they are more likely to feel satisfied, valued, and loyal to the company. They are also more likely to become repeat customers and recommend the company to others. On the other hand, poor customer service can lead to dissatisfied customers, negative reviews, and a damaged reputation.

Internal Customer Service

Internal customer service is the interaction between employees within the company. It is just as important as external customer service, as it can impact the company, the employee, and the customer. Internal customer service could be something as simple as replying to emails in a timely manner, to providing requested information to another employee/department.

Here are some ways in which good internal customer service can impact the stakeholders.

1. Company Impact

Good internal customer service can have a positive impact on the company's productivity, efficiency, and overall success. When employees collaborate effectively, communicate clearly, and treat each other with respect, it can lead to a more positive work environment. This, in turn, can lead to improved employee morale, lower turnover rates, and higher productivity.

2. Employee Impact

Employees who receive good internal customer service are more likely to feel valued, supported, and motivated. This can lead to increased job satisfaction, engagement, and loyalty to the company. Good internal customer service can also lead to improved teamwork, communication, and collaboration, which can help employees to achieve their goals more effectively.

3. Customer Impact

Good internal customer service can indirectly impact the external customer. When employees are happy, motivated, and engaged, they are more likely to provide good customer service. This, in turn, can lead to satisfied customers, positive reviews, and increased revenue for the company.

In short, good customer service, both external and internal, can have a significant impact on the company, the employee, and the customer. It is essential for businesses to prioritise customer service and invest in training and development for their employees to deliver exceptional service. Inform employees what are the company's customer service standards from Day 1.

When customers (both internal & external) are satisfied, employees are engaged, and the company is successful, everyone benefits.