Make service your top priority
Whether business conditions are good or bad, customers want value and you must provide it
By Jim Beckstein -- Industrial Distribution, 1/1/2003
Herbert Marcus, founder of department store chain Neiman Marcus, once gave his son this valuable piece of advice: "There is never a good sale for Neiman Marcus unless it's a good buy for the customer." What he meant was that selling the item wasn't what made the store successful — selling the customera solution that made him happy was.
There has been one constant in the business world – the value of customer service. Herbert Marcus knew it; customers come back again and again when they are treated right.
In today's business environment, customer service is about more than offering a friendly face during a purchase, although that's a vital first ingredient. Customer service extends to partnering with your customer.
When my wife and I bought Mill Supplies in 1976, we set out to consider customers our friends. We don't want to just sell them a tool today – we want to provide them with the tools they need to do their job better tomorrow.
For instance, we offer free training programs to customers. We teach them about product applications, installation or safety compliance. To us, this is not about getting customers to place an order, it's about helping them better manage their business. By doing so, we improve the economic climate for everyone.
We've offered this program for 10 years, with positive results. Customers not only appreciate it, but offer input on classes they'd like to see in the future. Factory reps are eager to participate in the 30-45 minute sessions, as well. Because we want to be easy to do business with, we installed a bar coding system that has virtually eliminated mistakes in orders and prices. Customers can rest assured that when they place an order with us, they will receive the correct item, at the correct time, and at the correct price. Tracking capabilities help us track every sale, by both product and store location. This technology helps us keep the shelves stocked with the right products, but on our own terms.
Integrated supply is a service we offer to our largest industrial customers. It takes time to set up, negotiate and manage – and it changes the dynamics of the traditional face-to-face method of doing business. When a customer buys MRO products with predictable usage, you must make this service available or lose business to those who excel at commodity management.
We also believe in keeping our workforce up-to-date on products and applications. Every Tuesday night, 48 weeks a year, we hold an old-fashioned sales meeting for our inside and outside sales staff. Product knowledge is still the best way to build confidence in a salesperson.
Whether business is booming or stalled, customers want value – whether that comes in the form of a good price, an extra service or free training. They want to know someone is there to answer a question or offer help.
Herbert Marcus had no way of knowing that the second generation would take Neiman Marcus to new heights, all because they focused on making a difference with every customer.
| Author Information |
| Jim Beckstein is president of Mill Supplies, Inc., Fort Wayne, Ind. This column was excerpted from his State of the Industry report at the Specialty Tools & Fasteners Distributors Assn. convention in November . |


















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