Customer service Essay

Internal factors that can influence pricing strategy include: cost, company objectives, and company image and product life cycle. For example, with product life cycle, a company may charge lower price in the introductory stages to attract new customers, and during the growth stage, a firm may increase the price. External factors that can influence a company’s pricing strategy include: competition, consumer factors, government intros, economic conditions and supply chain’s. Consumer factors, for example, must be considered when considering pricing strategy.

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This involves factors such as price sensitivity of the buyer and purchasing power. 2. What techniques would you use to determine the price of your product? Provide two (2) suggestions There are a number of techniques a company could use to determine the price of a product. Here are two techniques commonly used: Cost-based pricing: price is determined by adding a profit element on top of the cost of making the product/service. Customer-based pricing: where prices re determined by what the firm believes customers are willing to pay.

. What short term pricing strategy would you employ to attract customer customers? Choose one and explain why. The company could use penetration pricing as a short term pricing strategy to attract new customers. This method involves setting a relatively low initial entry price, usually lower than the intended established price, to attract new customers. This strategy aims to encourage customers to switch from other companies. 4. What payment term options will you provide to your customers? Explain your rationale.

Customers will have to pay for their fitness classes by credit or debit card before starting their classes. Cash is not accepted as this is a mobile industry and there is no office, so storing and keeping cash is seen as an inconvenience. Payments are requested before customers can commence a class to avoid the inconvenience of following up on late or non-paying customers. Payments in advance will also help the company’s cash flow. 5. How will you ensure that delivery or service is fulfilled promptly after a purchase?

Our company will give out the passes to the customers for the fitness classes once moment has been made. They will also be handed out a fitness class timetable for the week. The passes given to the customers will last for seven days and it is up to the customers which class they attend. 6. Explain your procedures to ensure that customers are responded to promptly when they have queries or complaints regarding the product or service. Provide two (2) suggestions. Firstly, it is important to let the customers know that their feedback is invaluable and that they are being heard.

Our company would set up a customer feedback mailbox to generate an automatic response thanking customers for their dieback. A more detailed response would follow after the feedback has been dealt with. Secondly, once our company has analyses the customer feedback, the customer who left the feedback will be given a more detailed response outlining if anything could or has been done 7. Explain your that your customers could access the following: a. Instant, accurate information about status of delivery of products or service b.

Customer account information a) Customers can check fitness classes they have chosen for the week or month ahead by logging Onto the company website and typing in their login details. ) Customers can get access to their account information either by logging onto their account details through the company website or by calling a staff member from our company. Their account information will also include a description of their fitness goals as well as record of their progress. Assessment 2 Part B – Written or Oral Questions 1 .

What skills would your staff require to build relationships with customers? Three skills our staff would need in order to build good relationships with customers are: Strong interpersonal skills- staff should be able to communicate effectively with customers and understand their individual needs and acquirement. Empathy skills- staff must be able to see in the perspectives of the customers and their individual situations Trust-building skills-staff must be able to earn the customer’s trust by consistently showing integrity and professionalism. . How would you ensure customers are served in a correct and fair order? You could ensure that customers are served appropriately by physically monitoring your employee’s interactions with customers. Also, it is important to have a number of ways in which customers can leave feedback. 3. How could staff assist in developing and refining direct response offers in response to customer feedback? Staff could help by using the customer feedback to get a better understanding of the customers wants and needs.

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