Exam code: 8132
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Define customer service.
Customer service is the actions and behaviours of a business that customers experience before, during and after their purchase.

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What does good customer service involve?
Good customer service involves meeting customers' needs and keeping them happy.
Give three methods a business can use to provide good customer service.
A business can provide pre-purchase information, in-store support and convenience, such as a range of ways to pay.
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Define customer service.
Customer service is the actions and behaviours of a business that customers experience before, during and after their purchase.
What does good customer service involve?
Good customer service involves meeting customers' needs and keeping them happy.
Give three methods a business can use to provide good customer service.
A business can provide pre-purchase information, in-store support and convenience, such as a range of ways to pay.
Offering a guarantee against defects once a product has been bought is an example of _________ service.
Offering a guarantee against defects once a product has been bought is an example of after-sales service.
True or False?
Good customer service can help a small business compete with larger rivals without cutting its prices.
True.
Customers are often willing to pay a premium price for good service, so a small business can maintain sales without competing on price.
How does good customer service lead to repeat sales?
Customers who enjoy a good experience buy time and again and increase their average spend, which boosts revenue.
Good customer service increases the chance of ___________ promotion, as customers tell others how well they were treated.
Good customer service increases the chance of word-of-mouth promotion, as customers tell others how well they were treated.
How can good customer service give a business a competitive advantage?
Excellent customer service can set a business apart from its rivals, helping smaller businesses increase their market share.
How can good customer service affect employee morale?
Employee morale is likely to be high, which leads to greater efficiency and productivity.
True or False?
Poor customer service reduces revenue but does not affect costs.
False.
Poor service also increases costs, for example through replacements, returns, compensation and expensive price promotions to keep customers.
Why is poor customer service especially damaging in a competitive market?
Unhappy customers can easily take their business elsewhere because there are many alternatives, which reduces revenue.
How can unhappy customers damage a business's reputation?
Unhappy customers can share negative experiences online through reviews and social media.
How can poor customer service affect a business's employees?
Customer complaints can overwhelm employees, reducing their motivation and productivity.
What do chatbots on a business website allow?
Chatbots allow real-time communication to solve customer problems.
How do frequently asked questions (FAQs) on a website help customers?
FAQs allow customers to quickly access the information they need.
True or False?
Customer reviews on a business website only benefit other customers.
False.
Reviews help other customers decide what to buy, but they also give the business important market research data to improve its customer service.
Define e-commerce.
E-commerce is the buying and selling of goods and services online, using a computer or mobile device.
E-commerce lets consumers browse and buy products at any time of day and from ______ in the world.
E-commerce lets consumers browse and buy products at any time of day and from anywhere in the world.
How can online sales and browsing data help a business serve its customers?
The data helps a business decide on appropriate stock levels, so customers can get the products they want.
What can a business process and store through e-commerce?
A business can process secure payments, confirm delivery details and store records of transactions online.
True or False?
Selling online allows businesses to change their prices quickly.
True.
Prices can be changed swiftly online, which allows businesses to offer competitively priced products.
Define social media.
Social media refers to websites and applications that enable users to create and share content or take part in social networking.
How can businesses use social media to provide customer service?
Businesses can monitor responses such as likes and shares and respond quickly and directly to customer comments.
What is a drawback of automating customer service?
Some customers may not welcome the loss of the human touch, so automated service may not always be the most appropriate.
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