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Service Strategy Customer Benefits

May 16, 2008

The better the total customer relationship is taken care of, the better the functional quality will be, and the less complicated it is for the customer to maintain the relationship with the service provider. Cooperation between the two parties becomes much easier. For example, the buyer can rely on the seller that deliveries will always be made on time, technical service will be good and personal contacts will be accessible when needed, claims will be handled promptly and with the buyer’s interest in mind, and social contacts will be satisfactory. Not only is it more convenient for the buyer to do business with a seller who can be trusted in all respects, in many situations such a relationship equals a cost reduction for the buyer as well.

If the level of functional quality is high and cooperation between the two parties is smooth, three sources of cost reduction can be distinguished:

  1. Fewer resources/personnel are needed to maintain contact with the seller.

  2. The person involved in contacts with the seller will need less of their time for handling these contacts.

  3. It is psychologically less demanding to maintain contact with the seller, which in turn increases the mental capacity of personnel to be used for other tasks.

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