Investigate customer service practices in Delta International Book Wholesalers Ltd. and Lance Owen Ltd.

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David Clayton

Introduction

        As part of my customer services assignment, I have been asked to identify two businesses where it is possible for me to in investigate customer service practices. I must produce a case study comparing two business organisations, investigating the extent to which each has developed an effective customer service programme and evaluate the effect of those programmes on customer satisfaction.

        The businesses I have chosen for the purposes of completing this assignment are Delta International Book Wholesalers Ltd. and Lance Owen Ltd.

        I chose Delta because I have worked there in the past, and have a close relation who is a current member of staff and could therefore help me acquire general information about the organisation.

        Delta’s aim is to provide books to customers all over the world. Their motto is “Any Book, Any Publisher, Any Where”.

Delta’s main customers are schools, institutions and bookshops overseas, usually those that are specializing in English Language Teaching Books, or schools who are teaching English as a foreign language.  

Delta operates from just a single headquarters, which is located in Surrey and deals with customers all over the world.

The other business organisation that I have chosen is Lance Owen, which is a subsidiary of Vauxhall Motors. I chose this business because I know a member of staff, who might be able to help me investigate existing customer service practices.

Lance Owen is a Vauxhall Retailer and a supplier of new cars, light vans and recreational vehicles. It is essentially responsible for the service and repair of Vauxhall vehicles, and the sales of genuine parts and accessories.

It has a commitment to meet the needs of Vauxhall customers and potential customers in the areas of Kingston, Richmond, Twickenham and Weydbridge.

E1, The Importance of good customer service

        Customer service is a vital part of both Delta and Lance Owen, as these are both customer-orientated organisations, which aim to increase or maximise sales.

        It will undoubtedly affect the success of both business organisations, and the way some of its functional areas interrelate. It can be a defining factor in the way an organisation conducts itself.

        There are a number benefits that arise from having an effective customer service programme.

        Essentially it will help to develop a competitive edge, and differentiate from competitor organisations. This can help to increase sales, a primary objective of all retail or wholesale organisations.

        Having an effective customer service programme can result in increased customer satisfaction, enhancing any chance of repeat business and customer loyalty.

        The standards of customer service will also have internal repercussions, affecting the way in which different members of staff behave on a day-to-day basis, - much job satisfaction can be gained through ensuring the customer is fully satisfied with the goods and services they receive. However negative feedback from customers can make an employee feel pessimistic about his job and the organisation he or she works for.

        Achieving good standards of customer service is the result of meeting or exceeding customer expectations, which tend to be high.

        Consistently high standards of customer service, work to enhance an organisations public image and perception, and can often lead to comparisons being made with competitor organisations, to positive affect.

        Customers are becoming increasingly aware of their rights and bad publicity can undoubtedly tarnish an organisations image. However, as business grows and customers increase, so does the likelihood of things going wrong.

        The key to enhancing a public image is by ensuring that customers do not have cause to complain, whilst developing aspects of your business that may have contributed to a positive public image in the first place. After sales service should always be good, if not better than the initial point of sale.

E3, Needs of customers of each organisation

        I will describe and explain the need of customers of each organisation.

(a) Delta International Book Wholesalers Ltd.

        Delta is essentially a book wholesaler; its main customers are schools, institutions and bookshops, - of which, many are located across the globe. Customers therefore come from a variety of social-economic and ethnic backgrounds. There isn’t an ‘average customer’. A number of Deltas’ customers are non-English speakers.

Customers require appropriate methods of corresponding with the organisation, in an attempt to maintain fluent communication and ensure goods and services are made easily available to those who wish to purchase them.                 Customers in general, require a fast, efficient, high quality service and books should normally be delivered within a couple of weeks.

        Customers also require ongoing reports, setting out what books have already been dispatched and which books are still on order. Also, for the benefit of the customer it is vital Delta report on any books that are out of print or under reprint with an estimated date of when they will be supplied.

        They require an information service, regarding titles for which they do not have complete information. They also require quotations, - many customers put out to tender their book requirements.

        Generally, customers of Delta do not come into the store itself and do not therefore require a large car parking facility. However, as there may be some customers that wish to inspect the premises before initiating any business, a limited car parking facility is vital in order to achieve a respectable standard of customer service.  

        Staff must be knowledgeable and well informed, in order to provide customers with objective, impartial advice. Customers require advice that is provided in a friendly, polite manner.

(b) Lance Owen Ltd.

Lance Owen exists to meet the needs of Vauxhall customers and potential customers in the areas of Kingston, Richmond, Twickenham and Weybridge.

        Customers in general, require the supply of new cars, light vans, and 4 x 4 recreational vehicles. They also require the service and repair of Vauxhall vehicles and affordable opportunities to purchase genuine parts and accessories.

Customers demand an extensive variety of goods and services, - they also require sound professional advice, which need be provided in a friendly efficient manner.

They also require a variety of methods of communicating with the company, and welcome stores that are easily located and accessible.

Customers can come from a wide variety of socio-economic and ethnic backgrounds, therefore they require goods and services that have mass-appeal and satisfy a broad range of customers. The majority of customers are English speakers.

Excellent parking facilities are another need of Lance Owen customers. These must be clearly signposted and provide enough potential vacancies to exceed the expected amount of customers’ at any one time. These parking facilities must be safe and secure.

Stores must be well presented and provide a pleasant shopping experience to all customers. They must at all time feel safe and secure and at ease with the service they are receiving.

It is the responsibility of Lance Owen to qualify customers’ needs and expectations.

E2, Strategies used by each organisation to achieve high standards of customer service

        I will describe and explain the strategies employed by each organisation in order to meet the needs of customers.

(a) Delta International Book Wholesalers Ltd.

        There are a number of strategies employed by Delta to ensure high standards of customer service.

         Customers may communicate with the business using various methods of communication. The main methods being e-mail, telephone and fax. It is not be standard practice for staff at Delta to deal face-to-face with customers on a day-to-day basis.

        The business itself has a website which provides a variety of information about the organisation itself and the goods and services which it provides. It also allows existing customers to acquire information regarding the status of orders, which have been placed. They may find out which of their books have been dispatched and which are still on order. This Internet website is also used as a medium for issuing reports on any books that are out of print or under reprint, stating an estimated date of when they will be supplied. However, if any information is of particular relevance to an existing customer, correspondence will normally be fulfilled using e-mail, telephone or fax.

        Certain customers require information about books for which they do not have complete information. Therefore Delta can supply lists of books in a particular area, for example, if a customer wants to know which books were published in the last year on, say, Law, Delta will produce a list from which potential customers can place their orders.

        A large part of its business is to supply quotations and many customers put out to tender their book requirements. These tenders are sent to Delta usually on an excel spreadsheet, who must recover the current price, availability and the discount from the publisher. Freight usually has to be added to these quotations as well, via air, or sea, whichever the customer stipulates.

        These tenders will often need to have bank guarantees attached to them from Deltas bank, stipulating that they are able to supply the books at the value indicated. This is a kind of insurance policy for the customer that if they accept Deltas tender, the goods will actually be supplied.

        Sometimes tenders will also require references from two current customers.

        Delta also offers discounted prices to those who are ordering a lot of a particular book, or to customers who agree to pay up front for their books. A small additional discount is also offered to customers who pay their invoices early. For example, a small discount of 1% is offered to customers who settle their invoices within 60 days, instead of the usual 90 days. If they get a particularly large order for a publisher, they will often go to the publisher and ask for extra discount, - which is then passed onto the customer.    

        Delta has many Spanish customers, and therefore has an allocated ‘Spanish Desk’ and always makes sure they have a Spanish speaker in the office.

        Whenever a new customer account is set up, a customer care assistant is allocated to that account. It is responsibility of that assistant to build up a rapport with customers and deal with any queries or complaints that may arise, with regard to orders placed on their account.

        In recent times, Delta has been targeting schools overseas and has therefore developed a growing number of school supply business. This has resulted in Delta agreeing to provide not only books but equipment as well.

        In response to a minority of customers, who wish to inspect the premises before conducting any business, Delta has purchased a small amount of land that surrounds its head office in order to provide customers and staff with an adequate car parking facility.

        Staff are regularly updated with the new product and services which the company offers to potential customers. They are also monitored and assessed on a daily basis, on their ability to provide customers with impartial, objective advice, in a polite and friendly manner.

(b) Lance Owen Ltd.

        Lance Owen has four stores located throughout Kingston, Richmond, Twickenham and Rickmansworth. These are the stores that aim to provide goods and services to existing customers and potential customers in these areas. It also has a website which features extensive information about the products which it provides, and more about the nature of the organisation.

        Customers may also communicate with the company by telephone, e-mail, or fax, and staff will always reply to any queries within 3 days.

        As part of their customer charter, Lance Owen have stated that they will always offer mixed menu prices for a wide range of services. They will never undertake work without the customers’ authority and all products provided by the organisation are guaranteed for 12 months. Should any goods and services prove defective, they will be repaired or replaced free of charge. They will always aim to keep customers informed of their cars progress during repairs, and also offer free collections and deliveries for senior citizens and Motability drivers.

Lance Owen will always provide advice, estimates and quotations upon request. They will always include Parts, Labour and VAT, - avoiding ‘hidden extras’.

They also aim to provide accurate itemised invoices and promise to use Vauxhall labour time preparing invoices for service and repair.

Vauxhall issue a training and development policy document to Lance Owen staff stating that the management of the company are fully committed to training and developing all employees to their full potential. Employees take part in a regular review process, which is used to monitor training needs, career goals, performance objectives and the effectiveness of their training and development plan.

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They also issue a quality document for customers stating that a policy of Lance Owen is to provide customers with products and services, which fulfil their respective requirements.

As part of the employees’ code of conduct, reference is made about employees’ behaviour in customer facing areas. Apart from a polite manner and smart appearance, behaviour of staff is impeccable at all times. Behaviour that may cause offence would include: chatting with colleagues, eating or drinking, the use of mobile phones and chewing gum. These are all activities, which have been labelled, as being unprofessional by Lance Owen and unprofessional activities ...

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