Revision as of 07:46, 27 August 2014

Service Models & Profitability

Growth and profitability in organization is driven by satisfied customers. Whether you're an airline, a cable company, a restaurant, or provider of insurance, some percentage of the perceived quality of your product is tied to the associated service provided. The degree to which customer satisfaction is tied to your product vs. the quality of service provided naturally varies. And the service provided will influence not only customer satisfaction, but customer loyalty, which drives growth and profitability.

None of these concepts are new; companies recognize that loyal customers can heavily influence profitability and growth. Companies go to great lengths to understand their customer satisfaction (or C-Sat) scores, using various methods. Net Promoter Score (NPS) is a common method in use today, in addition to Voice of the Customer and general satisfaction surveys. But many organizations fail to take "external satisfaction" and focus on the complete service model, which starts with internal quality of service.