Q

Customer loyalty through employee retention

Learn how employee retention can positively impact customer loyalty in this expert tip from marketing guru Michael Lowenstein.

How does employee loyalty impact customer loyalty? Our call center recently had a period of high customer service representative (CSR) turnover. Are there any statistics available about employee retention affecting customer retention and satisfaction?
Employee loyalty and engagement, and the factors contributing to it, have a direct relationship to customer marketplace behavior. And, similar to customer advocacy, employee advocacy and ambassadorship is the highest, most desirable form of staff behavior. The excerpt below is from an article I wrote called Cowboys and Saloons. Chickens and Eggs. Customers or Employees. Which Came First?

 

Researchers—including James Oakley of Purdue University, Northwestern University's Forum for People Performance Measurement and Management and relationship experts Dwayne D. Gremler of Bowling Green State University and Kevin P. Gwinner of Kansas State University—have found that employee behavior and advocacy—regardless of the employee's level of satisfaction—have a direct and profound relationship to the behavior of customers, and also to corporate sales and profitability.

Employees are capable of directly contributing to both customer disappointment and customer delight. It is essential that companies have a research and analysis method that links staff performance engagement directly to customer behavior, so they can hire, train, recognize and reward employees for how they contribute to customer value.

This was first published in August 2006

Dig deeper on Customer loyalty and retention

Pro+

Features

Enjoy the benefits of Pro+ membership, learn more and join.

Have a question for an expert?

Please add a title for your question

Get answers from a TechTarget expert on whatever's puzzling you.

You will be able to add details on the next page.

0 comments

Oldest 

Forgot Password?

No problem! Submit your e-mail address below. We'll send you an email containing your password.

Your password has been sent to:

-ADS BY GOOGLE

SearchBusinessAnalytics

SearchDataManagement

SearchSAP

SearchOracle

SearchAWS

SearchContentManagement

Close