Case Questions 2&3

Costomer service can become a contertious situa- seminh excraftec poritions at ahe refaler, "claims be tion when employees are confronted with dissatisfied was there and that the refund took place in a former or disqruntled patroms- How employecs handle these tire store that had hect converted [into] a Nardistom situatioes will affect tustomet loyalty, the company's outlet." reputation, and its profitabilaty. Handled well, stach sita- Nordstrown handles custoencr returms on a casc-byations can result in redsked conflikt with customers and case basis." Sometimes Naedstom will replace items can stengehen a company's relatioaship with its cus- years after their parchase no ketp the cusather happy," tomers, Handled poorly, these siraztions can erode cuk- whe really rhiak a reasoe our customers shop wirh us tomer relationship management and perhaps destroy the is that we stand behind oar merchandise, says a Nordcompany. strom spokesperson. " Retorm of Nardutrok peedact Nordstrom, an upscale retailer headquartered in do not have to inclade a sales invoice ar a Norditrom Seatle, Washangoe, atd operating almost 200 shores price tag. n. . Wordntrom lnows it's not the price lue the in about thrce-fith of the states in America, "provides custcuser service that pains and retains loyal cuimoucts. some valuable shes oe how to do customset service the that generate streng foudith. right way. "While Notdstrom was growing nationally, it Nordstrom's sales asoociates kece chose tabs on their focased on caterins to castoener' necth, individually. In- clacnaele so they can provide excellear cukcomer serstead of categorizing departments by merchanifise, Nor- Fice, especially to patrons aho are frequcnts shoppers dstrom created fashon departmenrs that fit individaals" and who spend considerable sams of money- Asscianes lifestyles. Today, Noedstrocm bas grown from oae down- carry a clientele book wath them outo the selling tlooe tawn Seattle shoe store into a nationwide Eashioti spe- and shey refer fo if when a recoghared or high-valood cialty chain with renowned services, gencrous sive ranges customer comes into the store. The clientele hook conand a scloction of the fincst apparcl, shocs and acecso- tains information about the specific castomeris rocete ries for the entire family. The coenpany's philosophy has purchases, imporisent dates, and fashion tastes, ansons femained anchagjed for more than 100 years since ins oqher daea iteins." extablishment by John W. Nordstrom in 1901 ofter the Mare recently, Nordstrom has begun "issuing innkile customer the best possible service, selection. quality, and devices that workers on the sales floor cad use to scour value." the company's inventory for a garment in a silee cas" Wordstrom is Eamous for its exceptional customet fomer in requesting, The shopper fays on the spot, anth service. Whether troc or not, a classic story about no nced to locate and wait at a cash rogistec-in Nordatrom's scrice tells the public a lot about the Wordatrom increasingly ascs ats large store nctnoerk high-cad fetsiler's approach to custorner relationship and large, centraliand distrihution hiob so ship oeline ee management. Aceording to the story. "[*] man walked ders quickly fo sustomerk. it lo recest years, Nordserome iato the Nordstrom departmeno store in Fairbankw, bak isvected heavily in ispesratiah, its online and store Alaska, with two snow tires. He approached the coun- Givisions, which has had the effect of providing berter tee, pat the rires down and asked foe bis money back. custotser sersice because of merchandise being eut od The slerk, who'd been working there for fwo weeks s stuck lass frequently, td saw ehe prise oth the sade of the tircs, reached into the Another way in whach Notdutrom eliectrvely merves cash register and handed the man 5145 . It didn't mat- its customcrs is by sccking focdback trom them. Laxtee thae Nordstrom sells apscale clothing asd not tires, wary retailers likr Wod dorroen bave "embraced oeliese The customer wanted to refurn the tires. The clerk ac- customer tevicws, ... openang thei wehsites-and the wepted the return becasise shat is what the cestemer hrands they sell-lo the slines and arrows of peblic 508 retailers, launched its online customper revicw system in Discussion Questions the autumn of 2009 . 1. Dealing, with diskrisind and disgruarled cusmenerk The reasons luxury retailers have launched online customer review systems include "the need to beef up is, perhaps, one of the preatest sowirken of coeflict for online sales, and a realization among luxury retail. tetailen. Is Noedstram's approuch to dustomer service ers that customers waat the ability to rake shopping and custorer nelationship manaerment an appeopriadvice froms their peers, 14 According to the E-tailing ate way to defuse or prevent poenchal coeffict situa Groap, 71 percent of online shoppers are influenced tions? Fxplain the reavoning hechind your ankwer by customer reviews; and according to Bazaarvoice 2. Using the aseertiveness and cooperativeness dimenlncu, customet reviews tend to be overwhelmingly sions that underiec the five contlist manacemert Pesitive. 13 ityles, explain Nordstrom's apgroach to customer Perhaps the bottom line with respect to Nordstrom's service and custodser felationship munuperent. approach to customer service is best summarixed in 3. Drawing on your anwer to the proveding ques the observation made by Joho Graham. Writing in The tion, discuss the adyantages and distdvantapes of American Salesman, Graham observest Wbing known the conflact management appreach that seens 60 isit what's important. What adds to yout panache and characterue Notdstrom's appeoach to customer rebulds credibulity is what you want to be known for. lationship managemert What's important isn't the Nordstrom's name: it's the link to extraordinsry customer service that makes the stofe tuique, = it Chapter 13 Case References 30,2016At Wo13. (1)dy 2005 40. kh. 20 as 14 4. thid. 12. Hhil. E. thed. 14. Bnet. 7. thid. 15. flei. (Hnly 200onn. CMAPTEA I3 COMFLOT AND NECOTIATION 509