The Difference in Products is Service

What is the difference between two products of relatively equal value? Let’s take sewing machines, a product I am very much acquainted with.  There are probably 7 top manufacturers of sewing machines on the market.  Each one has special features and they are always competing to come with with new “bells and whistles” to get people to buy.  Does this sound like automakers?  HDTV’s? Other products?  It should; they all do the same thing.

So how do customers choose a sewing machine, a car, or any other hi-tech product?  Look at the process:

First, the Problem. The consumer begins with a perceived problem or need.  I had a problem – my old ca. 1970s sewing machine was long overdue for replacement, and I had a need to start learning how to quilt.

Doing Research. The typical consumer spends some time doing research.  They ask friends and neighbors (the most reliable source), they look on the Internet, they read reviews in customer service magazines, like Consumer Reports.

Comparing Dealers. Then they begin looking around and visiting dealers.  They consider several aspects of the dealer, including price and availability.

Bottom Line=Service. The bottom line in most consumer purchases of larger items is the service they perceive they will get from the dealer.  No matter how many fancy special features, people want reliability, dependability, service.  They want to know that if they have questions they will find helpful answers.  If they go to an auto dealer, they want to know that they won’t have to wait weeks to get their car fixed or wait for parts.  They want to be treated with courtesy and helpfulness.

What Does This Mean for a Small Business? In many cases, smaller businesses can’t compete on price with larger ones selling approximately the same thing.  But you can compete and excel in customer service.  You can make sure you are selling at a competitive price, but even more, you can work hard to be there when customers need you, to have reliable service people working on their products, and to have quick turn-around.  And don’t forget the little things, like a loaner or cleaning up the product before you give it back.  (Anyone remember dishes with your gasoline purchases?)

Customer service gets around. The thing that friends mention most is good – or poor – customer service.  Giving extraordinary customer service will get you more customers and keep them coming back for more. I bought my sewing machine from a small local business, and I’ve traded up since then because of their training and customer service. Make sure every one of your employees understands the importance of customer service.  You’ll be glad you did.

Image: Whitby Archives @flickr