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Who is customer?
 Every person who enters the store is a potential
customer. Even though they may not purchase something
today, they may purchase something tomorrow.

 What a salesperson needs is a better way of determining

who the customer really is.

 One way of doing this is by understanding the steps of

the buying and selling process.
Types of customer
To face the challenge of building customer loyalty, we need to
break down shoppers into five main types:
 Loyal Customers: They represent no more than 20 percent of
our customer base, but make up more than 50 percent of our sales.

 Discount Customers: make their decisions based on the size of

our markdowns.

 Impulse Customers: They do not have buying a particular item

at the top of their “To Do” list, They will purchase what seems
good at the time.

 Need-Based Customers: They have a specific intention to buy a

particular type of item.

 Wandering Customers: They have no specific need or desire in

Customer service
 Customer service is an
organization's ability to
supply their customers'
wants and needs.
 excellent customer service
(is) the ability of an
organization to constantly
and consistently exceed the
customer's expectations."
Customer Service
Consists of all those activities by the retailer
that influence
(1) the ease with which a potential customer
can shop or learn about the store’s offering.
(2) the ease with which a transaction can be
completed once the customer attempts to
make a purchase, and,
(3) the customer’s satisfaction with the
Customer Service Desk
Customer Service
 Activities undertaken by a retailer in
conjunction with the basic goods and
services it sells.
Store hours
Credit acceptance
In store announcement
 Pantaloon is not just an organisation – it is an
institution, a centre of learning & development. We
believe that knowledge is the only weapon at our
disposal and our quest for it is focused, systematic
and unwavering.
 At Pantaloon, we take pride in challenging
conventions and thinking out of the box, in
travelling on the road less travelled. Our corporate
doctrine ‘Rewrite Rules, Retain Values’ is derived
from this spirit.

Questions On Being A
s Why do you need customer service?
s Was the service provided over the phone or
in person?
s How did the customer service
representative respond to your request,
inquiry or problem?
s If you felt the service was excellent,
describe what made it so good.
s If you felt the service was exceptionally
poor, describe what made it that way.
Do You Know Why They
 1% die. Leave?

 3% move away.

 5% develop other relationships.

 9% leave for competitive reasons.

 14% are dissatisfied with

product or service.
 68% leave because of rude or
discourteous service.
Good Service Is Giving Customers a Little
More Than What They Expect

My My
< Expectations

When My Treatment
> My
Pretransaction Services
Are services provided to the customer
prior to entering the store Viz.
(1) Convenient hours
(2) Information aids
Transaction Services
Are services provided to the customers when they
are in the store shopping and transacting
business viz.
(1) Credit
(2) In store announcement
(3) Gift Wrapping and packaging
(4) Personal Selling
(5) Merchandise Availability
Gift Wrapping Process
 If the customer asks only for the Gift
Wrapping Paper
– Customer Service Executive to request the customer for the cash

If the cash memo is If the cash memo is not presented –
presented – • Inform the customer that Gift Wrapping
hand over the Gift Paper can be given only after verifying the
wrapping paper to the cash Memo
customer • Anything extra other than gift wrapping
paper and card can be charged at actual cost
to the customer
Exchange Policy of our store
Alteration Process
• The customers should not be charged for the
Alteration service

• An Alteration Desk with an appropriate signage at a

visible location should be present in the store

• Every store should have adequate number of tailor

for alterations of customer merchandise
Types of Announcements

 Daily Announcements ( Opening/Closing

 Schemes/Offers

 Staff Announcements
 Customer Announcements
 Announcing for Lost and Found items
Post Transaction Services
Are services provided to customers
after they have purchased the
merchandise or services viz.

1. Complaint handling
2. Merchandise returns
3. Servicing and repair
4. Deliveries
CS Strategies

­Greater benefits to customers
­Greater inconsistency
­Higher cost

Lower cost
High consistency
­Meets but does not exceed expectations
Customization Approach
Customization Approach encourages service
provider to tailor the service to meet each
customer’s personal needs.
Store – sales associates offer individual customer
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Electronic Channel – instant messaging
Drawback: Service might be inconsistent
Customized service is costly
Standardization Approach

Standardization Approach is based

on establishing a set of rules and
procedures and being sure that they
are implemented consistently.
Gap Model for Improving
Retail Customer Service
Customers’ Expectation Of
Service Quality
Service Gap Customers’ Perception Of
Service Quality

Retailer’s Perception of
Retailers’ Communication
Customers, Expectations
About Service Quality

Customer Service Stds. Actual Service

It Sets Provided

Delivery Communications
Knowledge Gap Standards Gap Gap
The Gaps

•Knowledge Gap ­­ knowing what the

customer wants
•Standards Gap ­­ setting service goals

•Delivery Gap ­­ meeting and

exceeding service goals
• Communications Gap ­­
communicating the service promise
Closing the Knowledge GAP

•Customer research
•More interactions between managers
and customers
•Better communications between
managers and service providers
Closing the Standards GAP

• High quality service commitment

• Define the role of service providers

• Innovative solutions

• Set service goals

• Measure service performance

Closing the Delivery GAP

• Information and training

• Instrument and emotional support
• Internal communications
• Reduce conflicts
• Empower employees
• Providing incentives
The Target of Empowerment:
Excellent Customer Service
Benefits to Employee:
Stimulates initiative
Promotes learning
Teaches responsibility
Manager’s Approach:
Provide guidance to employees
Train employees to the
Closing the Communications
•Realistic commitments

•Managing customer
Negative Customer Service
Phrases to Avoid
 1. I Don't Know
 2. Calm Down
 3. Did You See Any?
 4. We're Closed
 5. That's Not My Department
 6. We're Out of That
 7. It's Over There
(1 of 2)
 Communication.
 Customer Sensitivity.
 Decisiveness.
 Energy.
 Flexibility.
 Follow-up.
 Impact.
 Initiative.
 Integrity.
(2 of 2)
 Job Knowledge.
 Judgment.
 Motivation To Serve.
 Persuasiveness/Sale
 Planning.
 Resilience.
 Situation Analysis.
 Work Standards.
Common Excuses
For Service Lapses:
 I don't have enough time.
 I don't get paid to be nice. I am
measured by my productivity
and accuracy.
 How can we do a good job if
the computer is always down?
 Every customer is totally
bonkers today.
Common Excuses

 Service Lapses:
I can't deal with people who do not
show me respect.
 How can we do a good job if the
other departments do not provide
the back-up we need?
 I am having a bad day.
 People are basically stupid.
 I am always too busy.
The Customer Wants
You To
8 . . . Greet
8 . . . Value
8 . . . Help
8 . . . Listen to
. . . Invite me back.
Service Recovery

• Listen to the customer

• Provide a fair solution

­ Distributive fairness
­ Procedural fairness

• Resolve problem quickly

­ Reduce number of contacts
­ Give clear instructions
­ Avoid jargon
The most important thing which store
should never forget is customer is always
right. Customer is treated as god. Whether
its fault of customer, the employee should
always have to accept it on them and try to
satisfy customer on them .
 Trained customer care associates
 Fast billing process
 Delegation of authority
 Out of the way solution
 Proper shopping ambience
 CRM programme is implemented
Service Recovery

• Listen to the customer

• Provide a fair solution

­ Distributive fairness
­ Procedural fairness

• Resolve problem quickly

­ Reduce number of contacts
­ Give clear instructions
­ Avoid jargon