BJ Higgins - Longboat Mobility

Do small companies provide better customer service?  A recent article by the Harvard Business Review suggests that small companies demonstrate greater empathy and commitment (Why Small Companies Are Better at Customer Service - Anthony Tjan, Harvard Business Review, Sept 19, 2009).  Here is a small business’ take on the issue together with ideas on how big companies can structure their customer service strategy.  Having personal experience across the spectrum of ‘consultant-to-enterprise,’ this is what I have learned from many overwhelming and underwhelming moments in my career.

Customer commitment, competence and availability are a few of the primary factors in delivering quality support.  Consultants often rank high in competence and commitment, but are not always available.  Conversely, enterprise call centers often lack competence and commitment, but they are almost always available. 

Competence aside, the example provided in the Harvard Business Review suggests that small companies demonstrate a stronger commitment to their customers.  I wholeheartedly agree.  Consider, though, that very small businesses and independent agents don’t always have the staff resources to be available on demand.  Availability is important too.   

The Sweet Spot – The Small Business

Commitment

When was the last time you called an 800# customer care line? Did you find yourself sifting through time consuming, automated routing options and confusing calling trees, only to reach a policy-driven, under appreciated rep who was more concerned with completing the call than providing you with good service?  Welcome to big company ‘customer service.’  In fairness, not all big companies are like this.

Small companies care more because your business means more.  It’s that simple.  The CEO down to the janitor (often also the CEO) knows that relationships with customers are the currency that keep the small company and its staff alive.  All members of most small businesses likely understand that the business relationships are the fuel that keeps the company and its staff going.  Without good customer service, a company misses the key ingredient to success.  It is, after all, a partnership where money is exchanged for what’s often a commodity others can provide.  Without commitment to the relationships for which companies compete, organizations find themselves simply filling a never ending hole of lost customers and cease to grow.  Without customer commitment, we lose the essence of what makes a good company better than most. 

Availability

Have you ever had that sales rep or agent who you enjoy working with but can never reach?  Independent consultants can be experts in their field and completely committed to helping you, but working with them is pointless if they are always too busy and rarely available when you need them.  Consultants and very small businesses are often the most competent and most committed to their clients, but lack the availability clients need.  Problems don’t arise on a convenient schedule and customers need a solution now.  Conversely, large enterprise organizations offer 24 hour call center support.  While the quality of the support is often questionable, large companies typically have staff on hand around the clock.  

Conclusion 

Bigger is not better.  If you are bigger than small, then find ways to stay small minded.  At least when it comes to customer service.

Strategy?

The large and centralized customer service center is the product of economies of scale.  Being one member on a team of 1,000 is simply not the small company way.  Small groups with account assignments, client retention responsibility and empowerment cost a little more to support, but well worth it.  Do away with policy flow charts and talk about being reasonable and solving issues from the customer’s perspective.   These smaller groups with assigned accounts will remember your name and make you part of the family.

'Small' is definitely better for wireless support

For many industries, smaller companies excel in customer service but lack when it comes to pricing and selection of the goods or services they offer.  Wireless carriers recognize that smaller partners are better at ‘outside-of-the-box’ solutions, customer commitment, personalized service and flexibility.  Hence, national carriers in the U.S. have leveled the playing field between partners and direct representatives.  The national carriers allow for collaboration and dual compensation between business wireless partners and direct sales staff.  Partners have access to the same business contracts, device pricing, inventory, special discounts and sales concessions.  At the same time, partners can offer more client-focused support such as wireless cost management, help with mobile billing challenges, device staging, project planning, etc.  Is this a paradigm shift for business in general?  We hope so.

BJ Higgins

Longboat Mobility

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