Customer Engagement award entry from Arzum SDA for the “[4721]” category
Evaluating incoming customer complaints and customer expectations, the Arzum After Sales Services Team decided to go to a major system change that could handle ~ 250 domestic services and management of them all.
So, to improve our customer happiness on service performances ; 17 meeting with after sales service team, 19 meeting with other departments, 10 meeting with suppliers, 20 service points meetings, 10 service points who works for other brands meetings, 162.301 (2016 first 8 months service data) line of data analysed, 255 service points GPS coordinates taken, new service management software specs were defined.
Thus, a brand new automation system has been passed on, which was designed by Arzum. One-to-one and online education trainings were given by Arzum team to all the services for ASOS (Arzum Service Automation System), to be understood well and get them use the system in a healthy way and keep the track of the processes closely for maximum customer satisfaction.
ASOS was actively opened the use of all services in Jan 1st 2017.
BEFORE ASOS :
Before the ASOS system in Arzum Service points, there was ; long repair times (according to Mystery Shopper Survey our average service time was 17 days), limited service software which is hard to use by services (limited integration with ERP), limited reports, manual controlling, no measuring of service performance, lack of spare parts, very high product exchange rates
(Service Providers couldn’t decide repair/exchange correctly, so this was increasing the product exchanges and it’s cost. Also it was creating an extra shipping cost -logistics budget), limited information exchange with other technical departments (quality etc.), not systematic communication with service points, not available info services for customers (SMS etc.), not applicable customer callbacks to understand the quality of service, as a result, not happy service points and so customers.
| Brand | Survey Date | Repair Time (Day) | SMS Services | Result Point |
| Homend | 19.09.2016 | 6 | Yes | 32 |
| Tefal | 23.09.2016 | 6 | Yes | 28 |
| Arçelik | 23.09.2016 | 7 | Yes | 18 |
| Philips | 23.09.2016 | 7 | Yes | 15 |
| Vestel | 23.09.2016 | 14 | Yes | 13 |
| Fakir | 23.09.2016 | 17 | No | 5 |
| Arzum | 23.09.2016 | 17 | No | 5 |
2016 Second Half – Mystery Shopper Surveys
AFTER ASOS :
Our “customer thanking rate” significantly increased. This application made us save 908.968 TL (~215.000 USD) by avoiding wrong product exhanges. Our Product Exchange Cost / Net Sales decreased from > 1,5% to 0,9%. Our repair time decreased to 4,68 days from 17 days.
Here are some practises of the new created ASOS application process ;
- Product exchange rules according to Turkish law (no need to manual controls)
- Service points performance system and rewards
- Credit card payment system option for the service points who doesn’t have POS in their locations. So, customers can pay via this system.
- One-click detailed reports
- Daily automatic email reports sent by ASOS
- Barcode based service forms given to the customers
- Automatic SMS/emails for the service points (early warning systems)
- Avoiding wrong product exhanges
- Spare part photos linked to each product code – easy reach through ASOS
- Measuring all courses during process
Through this special created application, Arzum made a tremendous development in its after sales services. As well as reducing the product exchange rate, it has reduced the total budget by %30. In one year, the percentage of thanking to the brand rised by 7 points in the most important web site of nation, and became number 1 in the rankings. As a plus, service times and result points showed a significant improvement ;
www.sikayetvar.com (thanking rate increased by 7 points and listed as number 1 brand people are happy with)
Arzum also started a new service approach by giving temporary devices (vacuum cleaner and iron) to its client during their repairment period.
Product exchange rates / costs comparison 2016-2017
| 2016 | |||||||||||||
| Jan. | Feb. | Mar. | Apr. | May | June | July | Agu. | Sept. | Oct. | Nov. | Dec. | Total | |
| Product Exchange Cost (TL) | 301.595 | 277.586 | 129.677 | 131.323 | 613.331 | 358.390 | 244.722 | 210.363 | 183.137 | 326.185 | 307.866 | 193.113 | 3.277.288 |
| Product Exchange Cost / Net Sales | 2,8% | 1,5% | 0,7% | 0,5% | 4,0% | 3,1% | 1,9% | 1,3% | 1,1% | 1,6% | 1,5% | 0,9% | 1,5% |
| 2017 | |||||||||||||
| Jan. | Feb. | Mar. | Apr. | May | June | July | Agu. | Sept. | Oct. | Nov. | Dec. | Total | |
| Product Exchange Cost (TL) | 129.485 | 166.512 | 201.158 | 160.925 | 210.728 | 220.532 | 202.284 | 186.085 | 242.581 | 228.345 | 205.275 | 164.409 | 2.318.320 |
| Product Exchange Cost / Net Sales | 0,9% | 0,8% | 0,9% | 0,5% | 0,8% | 1,5% | 1,8% | 0,8% | 0,9% | 0,9% | 0,9% | 0,6% | 0,9% |
Previously, repairing dates in all types of services were around 17 days. We aimed to shorten the days to 7 days but eventually, through this application we have decreased it to 4,65 days in average.
Our 2018 datas are showing 4,59 days in average at the moment. So from the start point, we may say we have exceeded our target and still developing.
We had a survey with real shadow customers on http://www.twentify.com/. The customers went to the services to have their Arzum products repaired.
In this survey, the answer of questions like “would you advise the brand and service” “ are you happy with the service you had”, are all positive and the positive rating on questions are 90% – 91%.
https://www.youtube.com/watch?v=6oJ-L_6rGyg&feature=youtu.be
Arzum SDA has established a new operation application for service points in order to increase its after service process & structure with the service points and to increase its customer satisfaction.
New service software (ASOS – http://www.arzumservis.com) ;
- Product exchange rules according to Turkish law (no need to manual controls)
- Service points performance system and rewards
- Credit card payment system option for the service points who doesn’t have POS in their locations. So, customers can pay via this system.
- One-click detailed reports
- Daily automatic email reports sent by ASOS
- Barcode based service forms given to the customers
- Automatic SMS/emails for the service points (early warning systems)
- Avoiding wrong product exhanges
- Spare part photos linked to each product code – easy reach through ASOS
- Measuring all courses during process
Others :
Fully integrated service software with Arzum ERP (Microsoft Axapta)
New IRIS defect codes
Repair status to measure all steps in the service points
Established central repair team in warehouse to solve the problems that can’t be solved in service points, special repairs and options for the customers who doesn’t have service points near them.
Defected spare part control unit (3rd party)
SMS for the customers (repair start, repair finished)
Online repair status tracking for the customers on Arzum official web page
Service invoice control system
Tracking for ordered spare parts / cargo for service points
Tracking for damaged, missing, wrong spare parts and automatic ordering to shorten delivery times
Spare part planning reports on ERP
Rules for the service data entrance to get correct data
Ability to manage different warranty years
Integration with the contact center
Trainings, technical documents, service bulletins on ASOS
Customer surveys to be callback – monthly randomly selected by ASOS (part of the service performance)
Consignment products for the customers (iron and vacuum cleaner). Customers can take free consignment product while waiting for the repair of their product
Service points visual updates
Defects and defect rate analysis with related departments / one click reports on BI
FCR analysis for service points and contact center
Task management via ASOS for both after sales team and service points
New packing (branded) types for spare parts – genuine SP visuals
Service point spare part stocks control via ASOS
ASOS, CRM integration
Simplex IVR redesign
After this new approach and the ASOS application created by Arzum, 2017 was an outstanding year for the company. ASOS is announced to be very succesful and admired by the technical services. It became the best after sales services tool in small appliances sector in a short period.
Our “customer thanking rate” significantly increased. This application made us save 908.968 TL (~215.000 USD) by avoiding wrong product exhanges. Our Product Exchange Cost / Net Sales decreased from > 1,5% to 0,9%. Our repair time decreased to 4,68 days from around 17 days.
We hosted all our the technical services in a hotel for the first Workshop we held and we had the chance to talk to them our future targets face to face, and listened to their comments.
Besides, new service technology, new workflows, efficient processes, we, after sales service team, understand that happy customers* make us love our job more than anything else, so it triggers us keep on going with the new fresh ideas. Technology is just the tool. It’s not about budget or how much you spent. Key point is believing as a team.
Maybe one of the reasons why we’ve been selected “Customer Service Team of the Year – bronze medal” in 2018. We’ll be the best after sales team in our sector, we continue to work hard and think customers all the time as we say them in our call center. “so glad we have you”