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Q: Does atrocious customer service in China hinder economic competitiveness?
Ah, "customer service." Two words most likely to make you laugh in this country. It seems that what Chinese call customer service is more closely customer provocation. I've very seldom received any real service here over the past 2 years, if at any time. When I did, it was only because I showed an otherwise unwilling ability to get very angry at the under qualified, and overall unwilling staff. Hotels are one of the biggest offenders of what we consider to be the golden rules of customer service. As far as quality goes, I can live in most places. But the customer service is what bothers me the most, so much that Chinese branded hotels are always the bottom on my list. What are the worst places for you? Do you think that China will ever come to understand what customer service is? When their economy becomes dependent on consumption, will they seek to improve their standards of meeting people's needs, or will we see a consumption model with "Chinese characteristics?"
The only way to improve customer service is to open up the Chinese market to fair competition from foreign firms that have uniform standards and training using proven western methods. Of course these places will have some "Chinese characteristics" but the bar is generally set higher. For example, a friend who's been in China much longer than me noticed a substantial improvement in customer service at local supermarkets after Walmart came to town. I'm not saying the customer service at either is great but Walmart had some basic standards and the introduction of a new player in the market caused others to up their game (according to my friend). I've always received excellent customer service at Starbucks in China, for example. If western companies are allowed to compete freely in a variety of industries, the bar should be raised across the board.
berrycrusher66:
I dislike foreign companies in China. They provide good quality goods and services. It is bad for Chinese businesses! What are they supposed to do? Offer basic acceptable services and goods? Are you crazy! Do you even know how much money the owners of these businesses have to pay to support a wife AND mistress? It's a-holes like you that will ruin this country! It took the government a long time to turn this nation into the playground of the rich and idiots like you want to ruin it. You are so selfish dongbeiren.
gouxiong:
Aha, you apparently did not hear about Wallmart, KFC and McDonald scandals ...
I do not think that foreign companies in China are behaving too much differently from the Chinese ones as they are all mainly trying to maximize their own profit.
The trouble in China, from the service quality perspective, is the amount of population. A seller does not need you because the demand is tremendous and losing few customers is for the investor not worthy of the increased costs connected with achieving and maintaining of certain quality level.
However the situation may get better with further development of China when the newly established Middle Class may influence creating of the new market segment.
But I guess it will not be neither this year nor the next one ...
RiriRiri:
1. Look look foreign no good too
2. China too many people
True wumao FTW.
So how does it work, is it five cent per authorized argument, or five cents per post ?
I think one of the problems here is customer apathy. I have never met such an apathetic group of people as the Chinese. It does not matter how poor the service or the quality of goods they just do not complain about anything. "Oh well this is China, what can you do" is something I have heard so many times I have lost count. What incentive is there for any business to up it's game when their customers are happy to accept any old crap. If they improve that will affect their profit, and as we all know money is god. Whilst there are business's here that provide good quality goods and services, most of these are foreign, there are not enough to affect the overall market. As a business owner why worry about the few who do not want what I have to offer when there are always a few million more people walking down the street who will accept my crap.
I think the crappy service and bad attitudes will change, maybe already is changing in fact in some areas. Supermarkets for example, as Donbeiren said, and places like Starbucks who need to keep up to compete, or die.
A lot of Chinese are traveling now, and living overseas. They see what China doesn't have and will maybe start to demand it. Those that have businesses here will see the obvious benefits that come from providing good service, and no doubt they'll be copied.
As tomcatflyer alluded to, customers have accepted bad service and they don't demand better. Businesses here see no reason to bother to provide good service. Therefore, noone even understands what good service is. I recently wrote in my blog about this topic. With so many people asking me how to make money, I responded with an article stating that a company that can provide good. honest service in china won't have a problem making money. Unfortunately, changing the attitudes of Chinese businessmen is the hardest part. They just can't fathom it.
I've had top notch service in a few bars and eateries in Shanghai and Beijing. It's been few and far between otherwise. The places I have had good service have usually had a foreign maitre d.
Are you serious? I can't walk into any store without a staff following me everywhere trying to recommend different things. I think it's a little annoying because if I want something I'll just ask for it. But otherwise please define what customer service you think is lacking.
coineineagh:
harassment is not customer service. you think it's fun listening to a starving farmer's biased suggestions? these people only get salary by commission. it's like being hounded by beggars on your shopping run. it's guilt tripping.
dongbeiren:
Those people are really annoying. They are desperate to sell you a certain brand and I'm sure they don't have your best interests at heart. They sometimes try to beg me not to buy the brand of mouthwash I always buy or something like that. It's also not customer service when a waiter stands over you and demands that you order 15 seconds after sitting down at a restaurant. It's the starving farmer mentality - you must order now or we're worried you might leave and we won't get your money. On the other hand it's nice that they don't pressure you to leave after you've finished eating as many restaurants in America would do.
You guys still shop in brick and mortar stores? Almost everything I purchase is through the all mighty Taobao. I think that is going to have an effect on what stores survive and don't survive. Where I am the local stores don't last longer than 1 year. I see small stores coming and going all the time. It is a bit of joke I have with my wife where we will try to guess how long a store will last. There's still lots of money to burn.
Well, here's the thing.
Chinese don't know it is bad customer service until they have received better. Because more Chinese are traveling and many "sea turtles" are returning home with Western ideals... this is improving where it could not before.
Chinese are seeing the difference and it is starting to piss them off. For intelligent Chinese business creators... this is a huge market.
I will give you an example:
Haidelao Hot Pot : The best customer service you will receive at a hot pot place in China by far. Their customer service is so good that it even surpasses Western Customer service.
They give children free gifts, are quick to bring you what you want and provide you with no hassles. They places are packed, so instead of making people wait in lines... they take you to a waiting area where you can sit, chat are offered free refreshments and snack (just for waiting). They will give you free snacks after your meal and put your mobile or jacket in plastic for protection.
Other restaurants see this are are starting to emulate it. I am seeing improvements overall. Slow but steady... man man yi dian.
RiriRiri:
Let me feed you on the prospects:
whenever Haidelao will feel they have reached their critical mass, the incredible service will start declining, slowly but surely, then faster than you think, it will have become complete shit and then the brand will disappear in the void it came from. Business by Chinese.
hi2u:
Dude a friend took me to Haidelao last time I was in Beijing. Best hotpot experience by far. The plastic bag for the phone is genius.
Robk:
@Riri - I have seen some other restaurants copy them with huge success.
I think we can all agree that Chinese are the best at replication (in MORE WAYS THAN ONE). Not always with understanding and quality... but replicate they do.
I am optimistic, not because I am fool hardy and want to justify my time in China but because of human nature. People are greedy and always want more and better. What does Haidelao do when a restaurant hits critical mass? They simply open another and that one becomes busy too. If they try to reduce quality they will suffer.
Here's another example:
Buying an apartment in China 10 years ago is far different than today. Most residential complexes will include crappy hallways (not even painted), concrete everywhere... barely any trees and usually no lakes or water. Many didn't even have elevators.
Today, because people are aware they can demand better... residential complexes include greenery, lakes, underground parking, hallways and stairways are painted and have tiles. Are they the same as their Western counterparts?
No, but this is a huge improvement. Why?
Because people can now compare with other countries and they see our ways are better and are slowly demanding and adopting those changes. Also, housing prices have fallen so companies need new ways to attract buyers and convince them to improve their homes. So they steal and use our ideals.
"China can't become a free market for Chinese companies will never be able to compete against internationally established firms."
From the mouth of a famous CEO from Shunde district, Foshan city, Guangdong province at a government meeting less than 2 months ago.
