Customer Service and Satisfaction- Najla Abdus Samad

In the modern-day, in every field, the competition has increased as customers determinedly expect retail businesses to meet and surpass their expectations. Due to the fact of similarity among the products accessible by retail businesses, they are increasingly engrossed towards delivering effective customer services in order to gain competitive benefits. For such businesses, sustaining customer satisfaction and reliance is vital to ensure repeat procurements by customers. As these businesses work in a highly competitive environment, customers have many choices to switch to other retailers.

Retail business is a sort of trading in which a firm of business unit sells goods straight to the end-users. These businesses have unswerving relationships with customers, so they are openly involved in providing goods coupled with services to the customer. In the retail business, customer satisfaction and dependence principally depend on the quality of services delivered as they sell homogeneous products, on the basis of which one store cannot be segregated from others. Examples of retail businesses embrace supermarkets, grocery stores, book stores, convenience stores, and drug stores.

Customer Retention

In this epoch of a highly economical world, it has been become challenging for businesses to retain their customers exclusively for retail businesses because they deal with inconsistent products. In such competition, superior service excellence is only the key to get customers' satisfaction and conviction. If the customer is pleased with the services of a company, they will anticipate repurchasing products from that company. The customer's replication purchase behavior is a pointer of customer's loyalty and commitment with the company and they will not expect to switch to any other company. It is apparent from the research studies that service quality is the key to hold customers.

Share of Wallet

It is a marketing term that refers to the level of customer's expenditures on a specific product or service presented by a company. The share of wallet of each product presented by a retail business can be premeditated by tracking the sale volume of each product. This is a procedure Najla Abdus Samad that is used by organizations or businesses to compute revenue generated from a certain customer. The share of each customer to the total revenue of the company shows the purchase behavior of each customer and the regularity of purchases of exact products. A contented customer will subsidize more to the inclusive revenue of the company.

Referrals

The referral is also a marketing term, it is fundamentally considered in the context of word of mouth about a precise product, service, or company. A satisfied customer produces positive word of mouth about the company and refers to their friends and siblings to buy products and services from a certain company. On the other hand, a displeased customer generates harmful word of mouth concerning the company which may result in losing prevailing and new potential customers.

Stock Market Performance

Stock market performance shows the individual and cooperative performance of the companies listed in the stock exchange. The gratified customers directly or indirectly increase the revenues and profits of the company which has a constructive impact on the value of shares of the company and which eventually lead to a superior performance of the company on the stock exchange which is understood from the frequency of trading of shares of the company.

It is palpable from the above explanation Najla Abdus Samad that in a modern ambitious world, retail businesses endeavor to gain competitive advantage targeting to differentiate themselves from their competitors. This is only probable by providing superior services to the customers. It has been debated in the research studies that there is a momentous and positive relationship between service quality scopes and customer satisfaction.

Moreover, it has been inspected that a satisfied customer is good for the business as they show recurrence purchase behavior and contributes to the revenue of the business and generates positive word of mouth concerning the business. In the present-day world, service quality and customer satisfaction have become the most extensively used metrics in companies' struggle to measure and manage customer loyalty and customer preservation.