In organizations, we celebrate the sales team for bringing new business to the firm. After all, a company can’t survive for long without revenue. But, on the other side of many org charts sits the isolated, often forgotten, customer service team. This department is usually regarded as a cost center, rather than a company asset.
If you’re considering customer service as a money pit, think again. According to American Express, 90% of Americans use customer service as a factor in deciding whether to do business with a company. Quality customer support is imperative for sales.
If your company sees service as a weight, you’re likely leaving revenue on the table and alienating customers. Invesp notes that investing in new customers is between 5 and 25 times more expensive than retaining existing ones. In fact, in 2019 nine percent of American consumers switched companies due to poor customer service, says New Voice Media.
For best results, both sales and service need to work in tandem to provide the best-in-class experience your customers deserve. Let’s explore how to foster a winning dynamic between the two teams.
Before we dive into strategy, let’s examine the true significance of your company’s customer service department. Although the perception often is that this team exists solely to put out complaint fires and appease customers, the reality is that they do so much more. Did you know, 73% of customers fall in love with a brand and remain loyal because of friendly customer service reps, reports RightNow.
Customer service is the front line for your business. They make or break the customer experience. Want more proof? New Voice Media also reports that the #1 reason customers switch to a new brand is that they feel unappreciated, while 78% of customers have backed out of a purchase due to poor customer experience.
Starting to see how customer service impacts sales? If you need more convincing, consider that consumers are willing to spend 17% more on a company with outstanding customer service, reports American Express, and 93% of customers are likely to make repeat purchases with companies who offer excellent customer service, according to HubSpot Research.
When the customer service team is operating at peak efficiency, they do much more than resolve issues. They foster relationships with customers. They put smiles on their faces. And they leave a favorable lasting impression of your brand in their minds. All of this equals a high customer retention rate, which means higher revenues. Bain & Company quantified this in a recent report stating that increasing customer retention rates (i.e. keeping customers happy) by just 5% can increase profits between 25% and 95%!
And, if they have the right skill set, personality, and training, your customer service team can actually bring in new business, too. They’ll nimbly move from problem solver to cross-seller or upseller, which increases customer satisfaction -- and your profits. Essentially, they’ll become an extension of your sales team.
In short, the department is absolutely vital to your company’s longevity and growth.
It’s tough for customer service to shine when they’re in conflict with the sales department. And you want them to shine, because as many as 49% of buyers have made impulse purchases after receiving a more personalized experience, according to a Segment Survey. Often selling on commission, your sales team is typically concerned with one thing and one thing only: closing the deal. This revenue-oriented drive can lead them to over-promise things to your customers. And, when the company can’t deliver, customer service is left holding the bag.
Over promising and under delivering comes with a whole host of problems for your customer service department. Those issues include:
And -- the detrimental impact to your customers can’t be overstated. When your company fails to serve them as promised, they’ll rightfully become angry and distrustful. Even worse, you’re likely to lose repeat business and, according to American Express, angry American customers are likely to share their negative experiences with about 15 people.
So, when sales and service are at odds, interdepartmental communication will be poor, job satisfaction will plummet, customer retention will worsen, and the company’s bottom line will suffer. If you can get them in sync, though, you’ll have a happy, tight-knit workforce that closes more deals and delights customers. So, how can you get the two departments on the same page?
As a leader, there are four key things you need to do to improve the interdepartmental dynamic:
Let’s look at each in turn.
The first place to look is your scorecard and your company metrics for success. Do sales and service match up? Are they working towards the same established goals? And, more importantly, do employee behaviors align with those stated success indicators?
For example, if customer service has a goal of responding to all inquiries within two business days, the sales team shouldn’t promise a same-day response. The two teams must act as one and present a clear and consistent message to customers. After all, they are both working towards the same ultimate goal of making the company successful.
Your company needs to make collaboration a normal, celebrated part of doing business that gets prioritized. Ideas and data should flow freely between the two departments. And everyone in the firm, including the sales team, should adopt the mantra that customer service is a mindset, not just a department. Bottom line: the lines of communication must stay open, and the once near-adversarial relationship should become more team-oriented.
To promote unity between the two groups, offer ample opportunities for team building. When sales and service get together in an informal but planned way, they’ll get to know each other as people and gain empathy for one another’s perspective. Sales may think twice about promising the moon to a customer just to make a sale when they know service could have to deal with customer disappointment down the line.
In addition, seeing each other perform their respective roles can be eye-opening. They’ll understand the other department’s challenges and gain respect for everything that goes into being successful in that position. Consider arranging cross-department job shadowing between sales and service at the time of hire - and on an ongoing basis to cement these new perspectives.
And, if appropriate, consider job swapping. An extroverted customer service representative with a competitive streak might enjoy being in sales for a day or two. And a detail-oriented sales associate may benefit from taking on a temporary customer service role. Just be sure you’re not setting your employees up to fail. If their personality doesn’t lend itself to the opposite role, this strategy isn’t a good fit for them - or your unsuspecting customers.
The best philosophies and attitudes don’t mean a thing if the actual company structure and business processes don’t support them. As a leader, you must provide the structure, tools, and resources your teams require to perform at their best. That could mean ensuring adequate communication systems exist (think interoffice messaging) or physically situating the departments closer together in the office to facilitate more face-to-face conversations. The key is to make collaboration as easy as possible.
If you want to better understand your team members and discover ways to help them function as a cohesive group, a Team Dynamic Report can help. Based on the results of our signature behavioral assessment, this report shows how likely each team member is to communicate with each other and reveals deeper insight into their individual strengths and weaknesses. The report will give you an action plan to facilitate collaboration, improve communication, and unify your team.
The report can be customized to fit your firm’s unique circumstances. Getting one is easy. Simply fill out a questionnaire and hop on a quick call with us, and we’ll do the rest!
Sales and service have long been at odds. But, the truth is -- they’re both playing for the same team! Sometimes, employees just need to be reminded of that. As a leader, you have the power and responsibility to foster a winning dynamic between the two groups. When you do, you’ll have an unstoppable, connected workforce that wows your customers and positions your company for long-term success.