This coursework is about the customer service at Argos. It covers the following:Responsibility of the customer service department. Customer service policies at Argos. Ways of improving customer service at Argos

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RATIONALE AND ACKNOWLEDGE ………………………………….

INTRODUCTION …………………………………………………………….

CUSTOMERS AND THEIR NEEDS ………………………………………

CUSTOMER SERVICE DEPARTMENT ………………………………….

CUSTOMER SERVICE POLICY ……………………………………………

MONITORING AND IMPROVING CUSTOMER SERVICE ………

CRITICAL EVALUATION OF CUSTOMER SERVICE ………………

CONCLUSION ………………………………………………………………….

REFERENCES …………………………………………………………………….

APPENDIX ……………………………………………………………………….

RATIONALE

I am doing this coursework to meet the general requirement for Unit 10: customer service. This is also to have a basic knowledge of customer service, which I would need in the future.

ACKNOWLEDGEMENT

I will love to thank God for the wisdom given to me to enable me complete this coursework. I would like to acknowledge the help of my teacher Mr Kuffour in making this coursework a success. I would also like to thank Mr Wharton the manager of Argos Peckham branch for giving me enough information to complete this work.

Lastly, I would like to appreciate my friends Sia and Folake for all their encouragement and support.

INTRODUCTION

Customer service is the set of behaviours that a business undertakes during its interaction with the customers. The notion of using customer service as a tool to gain competitive advantage started to gain ground in the United States in the 1980s, and has become a worldwide phenomenon.

This coursework is about the customer service at Argos. It covers the following:

  • Responsibility of the customer service department.
  • Customer service policies at Argos.
  • Ways of improving customer service at Argos.
  • An overall evaluation of the department.

Argos is a retail store that deals in jewelleries, toy, electronics, household items and clothing. Argos was launched in 1973 when the first 17 stores opened simultaneously. Since then Argos became one of the best powerful forces in British retailing with over 550 stores throughout the UK and Ireland. Although run as an independent business Argos is owned by Gus plc, retail and a business service group. With annual sales of over £3 billion, Argos is one of the UK’s largest non-food retail chains.

Argos has been experiencing increased sales for the past five years.

                                                                                                                                                                                

 

This paints a clearer picture of profits at Argos.

This diagram shows that Argos has operating profit has being increasing for the past five years. The numbers below represents the year and the numbers above represents the profits in £thousand. Therefore showing that they have being success in their business.

GUS provides customer relationship management service through Experian general merchandise through Argos Retail Group (ARG)

In 1999 a new customer service structure was launched as it became visible.

In 1999 new policies were made. For example exchange and refunds were normally done before the next 7days but it was extended to 16 days.

 

I chose to research on Argos customer service because of the following reasons:

Argos is the UK’s leading multi-brand, multi-channel retailer. Argos employs 44,700 people in the UK, Holland and republic of Ireland, which make it a big company to study its customer service department.

Over 4 million people shop at Argos every year.

Argos is the UK’s most successful general merchandise retailer, which has a separate customer service department.

THE CUSTOMERS AND THEIR NEEDS

A customer is someone who needs or want a particular product or service. A customer can also be defined as someone who purchases or rent something from a business or organisation.

At Argos, customers not only include people who want a product now but also people who would be needing the product that is the potential buyers.

Characteristics of customers

There are various characteristics of customers and some of this includes:

  • Customers are inquisitive: this means customer would want to know everything for examples features, advantages about the product or service they are about to buy.
  • Customers are sensitive: customers always notice any slight mistake on the part of the organisation.
  • Customers seek to get the best value for their money
  • Everything affects the customers.

In order to satisfy customers their needs have to be established first. Different customers have different needs so it is therefore important to first classify them and then identify their needs.

At Argos there are various types of customer and can be illustrated in the table below:

Internal customers

These are people within an organisation. They are customers that work for the organisation. At Argos this includes people working in different department and branches. Internal customers are employees in an organisation. people are needed to make operations for the organisation. The people who are signed in for this are called the employees. At Argos there are over 14 000 employees which includes managers, assistants, supervisors and so on. Even though these people make up the work force, they are classified as internal customers as they also want goods and services from Argos.

Where internal customers are concerned we should first of all separate their needs from their wishes. Needs of internal customers varies from time to time. Some of the needs of internal customers at Argos include:

  • Good working condition: this is the major need of internal customers. Without good working condition employees promotion and suppliers will not be motivated to work with Argos. These include:
  • Fringe benefit such as holidays, company cars, tokens for getting work done quickly.
  • Pay rise  
  • Promotion    
  • Equal opportunity: it important for organisations to operate and make sure employees have equal opportunities. Due to this fact, there is an equal opportunity policy at Argos.  
  • Good communication system: this is the secondary need of internal staffs at Argos. It involves quick and efficient response to their enquires, understanding all their needs, and involving them with the management of the company.  
  • Safety: employees and suppliers want to go into an organisation without the fear of any accident.

Most of the needs of internal customers are similar to that of external customers and the rest will be mention under the needs of external customer.

External customers

These are customers outside the organisation. External customers do not have any link with the organisation except in selling situation. They are the organisations’ consumer or visitors. At Argos this includes:

  • General public: this is made up of individuals, organisations, group of people and different age group.
  • Business organisations: at Argos other business organisations may be groups of individuals and organisations. Example is Nursery schools who buy outdoor toys from Argos.
  • Categories of individuals: Argos has particular products that meet the needs of a certain customers. This can be differentiated by:
  • Age group: for example toys for children aged 1-5 years.
  • Gender: for example accessories for females such as rings, bracelet and so on.
  • Religion: for example candles.
  • Potential buyers: these are people who have not bought goods from Argos but needs some goods from Argos.

Internal and external customers have some similar needs. These needs are discussed below. External customers usually expect a business to provide some of the following:

  • High quality goods and service: the major need of all customers is to obtain high quality goods or service from an organisation. Offering a range of different well-packaged products and making the product available at the right time and place will result to high quality product.  
  • Safety: customers want to come into a company’s premises feeling secured and knowing that the product they are about to buy is safe. Not only the product safe but also a safe and clean environment. For example the Argos should as much as possible prevent slippery floors. A customer would want to shop at Argos without fear of falling down on premises. There are also minimum requirement laid down in relevant legislation.
  • Polite service: this involves an organisation having an informative, efficient and polite sales staff. It is also necessary for them to have basic knowledge of the product they are selling in order to give factual information.
  • Availability of goods: having goods available is very important, as customers will expect goods to be in stock disregarding whether or not the product is very popular with customers. Non-availability of certain goods would result in a loss in sales and customer getting frustrated.
  • Competing pricing: as Argos has proven to be UK’s biggest retailer it is essential for them to set their prices at competitive as possible. As most retailer store provides similar goods they compete on the basis of price.  
  • Value for money: customers always expect to get the best value for their money. This means the product meets all needs and fits its description. They also expect to get “little extra” when they purchase products from a company.

Argos is a retail shop, which deals in retail goods, jewelleries and cloths. This means that there would be some needs Argos customers expect from them. This includes:

  •  Safety: all businesses are responsible for safety of their customers on the premises and this includes both internal and external customer. Argos customers expect from Argos well-lit interiors, accessible and uncluttered fire escapes and safety procedures for emergencies.
  • Little extra: Argos customers always expect to get additional services to make their shopping easier and convenient. For example Argos offers packing and carrying out service to customers who purchase heavy goods and at times free delivery.
  • Efficient after sales service: Due to the fact that Argos deals home appliances customers expect of them an efficient after sales service covering exchange and refunds, repair services and response to complaints.
  • Quick and efficient response to orders: Argos customers expect quick service from them. They would like to place their order and collect it from the collection point in under an hour. They would also expect
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Argos is doing many things to meet the needs of its customers. This includes the set up human resource department and customer service department. Customers are the most important assets to any business as they determine if the organisation succeeds or make profits as lack of customers means low sales.

As customers have proven to be valuable assets in terms of whether the organisations succeeds or fail it is important to keep old customers and attract new customers. This can ...

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