Great company culture: driver of customer loyalty

What are the essences of a great company culture?

What distinguishes a great company culture from a bad or average one? Ritz Carlton nailed it in 1 perfect sentence: the approach when “Ladies and Gentlemen serving Ladies and Gentlemen”. And it is working across countries, time, religions.

And what are the essences of a great culture?

  • Having well connected teams with the deepest purpose of the organization (aligned with their personal why),
  • treating your employees (who cater for your dearest customers) with the highest degree of humanity,
  • trusting that there is nobody knowing better how to serve the customers and empowering them to do so,
  • crafting your processes in a transparent way allowing customers to easily interact with you (whatever is the reason and/or channel of interaction) proved to be delivering outstanding results over the time.

And what’s the prize?

Companies having built their company culture on these pillars tend to over perform their peers in terms of customer satisfaction, loyalty and customer spending over the life-cycle. 

Why? We are human beings longing for being trusted, empowered, appreciated, treated like human and having hassle-free life.

How to achieve it?

  • Start with questioning your organizational and personal WHY.
  • Ask your front line staff how a perfectly hassle-free service would look like, what is working well already and what is needed for achieving the state of art. Involve them into process redesign, give them trust and chance to test it in real life.
  • Do to punish but rather learn from the mistakes.
  • Measure the impact on your customers by gathering real-time customer feedback.
  • Improve your processes further hand in hand with your employees to deliver low effort service. 

And some facts to finish with!

According to CEB “96% of customers who rated your service low on Customer Effort Score (CES) are less loyal in the future, while only 9% with a good score showed similar tendency. Moreover, moving up a customer on a 7 point CES scale from 1 (strongly disagreeing with the statement that the service provided by your company was easy) to 5 (somewhat agreeing that it was easy) can boost customer loyalty by 22%”. 

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