Just how much does one instance of poor service cost you?
A lot can be said about letting one customer’s bad experience slip through your net almost unnoticed, ‘’one person doesn’t make a difference” “we’ve had 600 other customers tonight” “the guy was a prick anyway”
Well the truth is that that one instance of poor customer service could actually cost you alot more than what you think.
Let’s take the average customer and have a real look at the maths behind what is going to happen to your business.
- The Average male spends $100 on a night out once a month on alcohol, let’s presume that before this guy got pissed off at the poor customer service he was also going to buy some food. Let’s make the initial figure lost as
- The chances of this patron coming back to your bar over the next year are virtually nil. So now we have lost…
130 X 12 = $1560
- But it doesn’t end here…
- Studies show that if a customer has a good experience they will tell two people. However if a customer as a bad experience they will tell seven people.
- Let’s presume that these seven people are also the average male. they could be workmates or family. So…
1560 X 7 = $10,920
- But again it doesn’t end there…
- On average each of these people tell another two people what they have heard from their trusted ‘word of mouth’ friend, family member or workmate…
so we have initial person $1560 plus the seven he has told $10,920 plus the two each they have told 1560 X 14 = $21,840
- So at the moment our figure lost for the year is at
1560 + 10,920 + 21,840 = $34,321
- But what about the extra custom these people would have brought with them after all not many people come to a bar on their own..
- The group size for the average male is them and three others (4)
- The poor customer service as now affected 22 people
- if each were to bring the extra 3 people with them the one instance of poor customer service as affected 88 people…
1560 X 88 = $137,280
That one aspect of poor customer service which you laughed off as now cost you and your bar $137,280, and you wanted a pay rise…
Think before you act. One customer is worth more than you think
Get better by looking at our 20 commandments of being a bartender