Customer InteractionGet the complete guide to delivering seamless customer experiences every time you interact with your customers. Show
What is customer interaction?A customer interaction refers to any communication between a customer and a company. Every interaction with a customer is a chance to connect with them, delight them, and increase their retention and advocacy. The importance of customer interactions for customersCustomers have specific expectations when interacting with companies and support teams in particular. When a customer contacts a business, they’re looking for:
How do good customer interactions improve your business?We have identified 7 ways in which customer interactions impact your business. Prevent negative word-of-mouthWhen customers have poor experiences, they share their experiences with their friends and family. They may even share about it on social media and other digital channels. Customer interaction management allows businesses to keep tabs on customer communication. You get a chance to follow up with unhappy customers and deliver better customer experiences, preventing bad press. Boost customer loyaltyCustomer retention is more cost-effective than customer acquisition. Your customers have countless options of where to spend their money. The quality of customer interactions can help you set your business apart from competitors. Even with similar products/ services, it’s possible to differentiate your business by offering seamless, personalized experiences. Increase referralsIf you continue to have positive customer interactions, you encourage customer loyalty. Your loyal customer base is likely to recommend your business to others. Referrals have been proven to be a very efficient way to acquire new customers. When the quality of your service interactions meets customer expectations, your customers become your advocates and help you grow your business. Understand customer needsCustomer interactions help you learn about your customers and what they expect from your business. Companies often pay for market research, but it’s available for free when interacting with your customers. When you have a customer interaction management (CIM) strategy, you can monitor and analyze customer feedback, understand customer pain points, and encourage contextual customer engagement. Win customers backIt can be difficult to win your customers back when they are no longer interested in doing business with you. Follow up and analyze your customer feedback to understand the reasons of their disconnect. Creating empathetic customer communications makes your customers feel acknowledged and heard, and you may win back their trust to give you another chance. Improve your operationsCustomer interactions are a great way to grow your business. When you manage customer interactions across communication channels like phone calls, email, social media, messaging apps, or SMS, you are able to learn about emerging trends, evolving customer needs and lags in your support processes. This helps you take the necessary steps for optimizing your support operations. Elevate employee motivationWhen a support team is dedicated to engaging in positive customer interactions, your agents feel more motivated than the team which deals with complaints all day/ doesn’t feel like they’re adding value to your business. Creating a customer interaction management strategy helps automate the process of managing customer interactions, leading to happy employees and happier customers. Now that we understand the importance of customer interactions, let’s dive deeper into how you should interact with your customers. Customer Interaction Cycle: How to Interact With Your CustomersThe customer interaction cycle is a five-step process followed by businesses to engage with customers. These five steps form a systematic approach to interactions and ensure successful outcomes. We have also included examples of customer interactions for each of these steps. STEP 1: GreetingGetting started on the right foot begins with greeting the customer. While often short, greetings are the first step to proactive support and set the tone for the rest of the interaction. This helps customers form their first impression of your service. There may be instances when it’s not possible to greet the customer right away. For example, if you provide support via email outside business hours, it’s important to acknowledge that the communication has been received. Auto-responses are a great way to let customers know they were successful in getting in touch and that they’ll be hearing back from someone soon. That said, customers expect you to respond to and resolve their issues as quickly as possible and take the necessary steps to shorten the wait time. Examples of customer interaction (Greeting):
STEP 2: UnderstandingThe next step in the customer interaction cycle requires you to focus on what your customer needs. Building a customer-centric culture requires assessing how your customers feel by collecting enough facts and getting the required context for their problems. This often involves asking the right questions, which is invaluable for getting to the root of what a customer wants. You may need to ask why several times before getting to the real cause of their inquiry. Another major component of understanding is active listening. That means being present and paying attention. Tune into your conversation with the customer, avoid interruptions and let them finish. Repeat what’s been heard to allow the customer to confirm that you successfully interpreted what they were trying to convey. Keep in mind that every customer is important. A company rep will handle multiple interactions in a day, but for a customer, it’s the only interaction they’ll have with the company that day or perhaps ever. Therefore, it’s important to treat each case with utmost care. When speaking with a customer on the phone, another way to understand is simply by listening to the tone of their voice. This will be a key indicator of whether their sentiment changes during the conversation. Examples of customer interaction (Understanding):
STEP 3: AgreeingAfter greeting your customer and understanding where they are coming from, you move on to agreeing to help and find a solution to their problems. Helping a customer requires mutual agreement on the desired outcome of the interaction. This is where you need to show empathy, set expectations and offer possible solutions across preferred communication channels. At this stage, it’s important to focus on offering a quick and effective solution. Some customers may ask for things that just aren’t possible. When this happens, it’s good practice to be upfront about limitations, then communicate what can be done. If there’s an opportunity to do something similar to what they’re asking for, it can often be as acceptable to the customer as their original request. When no other solutions are available, going the extra mile to offer resources like free months of service, exclusive discounts, or special gifts is a good idea. This gesture improves customer satisfaction and encourages customer retention. Once a solution is proposed, communicate with your customer, giving them a chance to indicate if anything is unclear. Make sure your customer understands if there are any missing steps you can help them with to make the most of this solution. Examples of customer interaction (Agreeing):
STEP 4: DeliveringOnce an agreement has been made, the next step is delivering. You need to practice transparent customer communication to deliver the final solution to your customer. If you’re likely to take more time to resolve the customer issue, keep the customer in the loop. Let them know what’s happening and when they can expect to hear from you again. That way, the customer isn’t left in the dark while you are working on a suitable solution. At the end of the delivery stage, there should be no loose ends, and the customer should have everything they need. Examples of customer interaction (Delivering):
STEP 5: ClosingLast but certainly not least, the interaction should be concluded with a statement that encourages the customer to get in touch again. Thanking customers for contacting the business lets them know they’re appreciated. Expressions of gratitude can go a long way in helping customers feel valued. The most integral part of closing a customer interaction is the follow-up. You need to check on the level of customer satisfaction to ensure you meet the customer's expectations. You can simply ask them if they’re satisfied after delivering the solution or gather feedback using a customer satisfaction survey. By successfully moving through these five steps of customer interactions, companies can create positive outcomes. Examples of customer interaction (Closing):
Note: How you choose to engage with your customers will depend on the type of customer service interaction, and its success will reflect on your customer satisfaction scores. Types of customer service interactionsThere are different types of customer interactions that require slightly different approaches:
Now that you understand that your customer interactions may differ based on the type of customer or interaction. Let’s look at how we can build a customer interaction strategy. How to build a customer interaction strategyIf you offer omnichannel customer support, you should develop and amplify the customer interaction strategy to ensure consistency across every interaction. One important piece of a strategy is enabling the support team. It’s impossible to achieve success in customer interactions without securing buy-in from well-trained employees. You can follow the below 4 steps to build a robust CIM strategy. #1 Create a training plan for customer interactionsCreate a plan: Your support agents are the customer-facing team that manages the majority if not all of the customer interactions. That's why you need to train your support team. Understand the skills that are important for customer success. Develop a list of competencies you’ll need to train your reps for. What are the common situations that your team encounters during customer interactions? Practice: Once you’ve gone through core skills, create roleplay situations for your team to practice their skills and receive feedback. Ensure every interaction includes the five steps of the customer interaction cycle for full marks. Assess: Identify areas for improvement for each employee and provide ongoing support and training. Improve and develop skills over time through quality assurance and interaction reviews. #2 Segment your customersOne thing to consider when building this strategy is that it will serve many customers. Here’s how we recommend you segment your customer base: New customers: These customers are new to the company, but they have made their first purchase already. Existing customers: These customers have been in a relationship with your business for some time. Past customers: These customers have purchased in the past but are no longer buying from your business. Prospects: These are a set of potential customers who need more information before making a purchase decision. Segmenting your customers makes it possible to route them to different teams specializing in understanding and serving each group. Let’s look at how we can use customer segments to encourage personalized customer interactions. #3 Encourage personalized customer interactionsWhen developing a customer interaction strategy, it might be tempting to put scripts and checklists in place for your agents to follow. But customers don’t want to feel like they are only a cog in the system - they want to feel like they are treated as humans. A script will only make agents complacent and restricted in what they can do to connect and make a good impression on the customer. With every stage in the customer interaction cycle, there’s an opportunity to personalize the response and build a relationship with the customer. Use the customer’s name when greeting them. Empathize with their situation while you understand what they need. Propose a thoughtful solution, one that anticipates any other needs they might have. Client interaction might sound like a formal business process, and it can be. But it doesn’t have to mean abandoning your brand personality when you interact with customers. Don’t think of it as a script but as a framework for more valuable customer interactions. #4 Develop a multichannel interaction strategyThe number of communication channels is ever-increasing, and in today’s connected culture, customers expect you to deliver a better customer experience than their last interaction. That’s why it is important to have a multichannel customer interaction strategy. Allow your customers to initiate interactions across their preferred communication channels. So, it’s best to develop a customer interaction strategy that includes more than one. Your customers may contact you through live chat, social media, email, review sites, SMS, or community forums. While each interaction might look slightly different, they still need to follow the customer interaction cycle, adapted for the format of where you are interacting. It might not be possible to resolve every issue on every channel. For example, social media interactions are often public, making them inappropriate for conversations around subscription billing and product pricing. You may move your customer to a more secure, private channel to deliver what they need. However, don’t move customers unnecessarily. If you can close the interaction on the same channel the customer initiated their question on, it’s much easier for everyone. FAQs about customer interactionsManage your Customer Interactions with FreshdeskLearn why over 131,000 companies already manage their customer interactions on Freshdesk. More resources on customer interactionSorry, our deep-dive didn’t help. Please try a different search term. Which of the following involves monitoring and leveraging customer interactions to sell a company's products and to increase customer service?Customer relationship management (CRM) helps businesses to gain an insight into the behaviour of their customers and modify their business operations to ensure that customers are served in the best possible way.
What is relationship based selling?Relationship selling is a technique in which a sales rep prioritizes their connection with the customer over all other aspects of the sale. They develop trust — usually by adding value and spending a lot of time with prospects — before attempting to close.
What is the key to creating positive customer experiences with CRM systems?Keeping in Touch. Businesses need to stay in contact with their current and future customers in order to give them a great client experience. A good CRM system will give your company the ability to send customers regular emails, letting them know about new products, upcoming promotions or special offers.
Which of the following steps in the sales process is defined as the first time a salesperson actually attempts selling a product or service?Prospecting
The first step in the sales process is prospecting. In this stage, you find potential customers and determine whether they have a need for your product or service—and whether they can afford what you offer.
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