• Lessons,  Management,  Management Gore

    Customer Service and Profits

    “American consumers spend, on average, 13 hours per year in calling queue. According to a 2010 study by Mike Desmarais in the journal Cost Management, …” Customer Service. According to this Harvard Business Review article, many companies provide sub-par customer service knowingly as a way to increase profits. Mostly the article talks about customer service related to receiving some sort of restitution – a rebate, return or other redress. Their logic is that if you present the consumer with more hoops to jump through, they are less likely to make it all the way to the end where they receive satisfaction and you have saved yourself the cost of that redress. My question is,…