Digital Gift Card Solutions to 5 Top Customer Service Challenges

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    BHN Rewards

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    May 22, 2024

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Digital Gift Card Solutions to 5 Top Customer Service Challenges

There’s a customer care gap brewing, and digital gift card solutions are going to become even more important to help close it.

While advances in artificial intelligence promise to provide more efficient digital experiences for consumers, the technology is still underperforming. Talent shortages are also exacerbating many brands’ quality of service. Against this backdrop, customer expectations are rising, with increasing demands for more personal contact and responsiveness.

Companies cannot afford this kind of disconnect. According to research from Zendesk, 73% of customers will switch to a competitor after multiple bad experiences. And more than half will leave after just one unsatisfactory interaction.

As businesses work to improve their customer experience, digital gift card solutions can help keep their customers from jumping ship. Here, we break down the most common customer service challenges and how to use digital gift card solutions to let your customers know you value their business.

Challenge 1: Handling Unhappy Customers

“The customer is always right” is a mantra that consumers have taken to heart. These days, they’ll post online every time they’re unhappy—and get specific with their feedback.

In a survey by HubSpot, customer service leaders’ most reported challenge was “dealing with upset customers.” While your customer support team may be trained to offer empathy and a verbal apology, a digital gift card can make any appeasement strategy more meaningful. Be sure to offer unhappy customers their choice of rewards for an amount that’s appropriate. Give them a $10 coffee gift card for a minor inconvenience or a $50 restaurant gift card for a more difficult problem, for example.

Challenge 2: Wrong Appeasement for the Situation

A common appeasement strategy is to give a disgruntled customer a discount on their next purchase. While this seems like a no-brainer as an apology, your customer may perceive your brand as being tone-deaf.

For starters, this strategy can backfire for customers who purchased items that aren’t regularly needed, such as kitchen appliances or cars. The same goes for timely purchases and subscriptions—their renewal or next purchase could be a year or more away. Finally, it can come across as self-serving, as the future purchase, while discounted, benefits your company. Instead, using digital gift card solutions for appeasement can be perceived as more sincere.

READ MORE: How to Send the Right Message to an Unhappy Customer

Challenge 3: Delayed Resolutions

It’s unfortunate but true: Sometimes, a support rep’s hands are tied. They cannot resolve every issue on the spot.

When that happens, digital gift card solutions can offer an alternative for instant gratification. Thanking customers for their patience and offering a small reward right away makes them feel heard and appreciated. Flexible prepaid cards are particularly smart as appeasements, since 56% of U.S. consumers say they’re a good option as an apology for a problem or issue, according to the 2022 Blackhawk Network (BHN) Global State of the Union Insights study.

Challenge 4: Understanding Customer Needs

Customer needs influence their decision to purchase a product or service—and stay loyal to that business. When you’re unsure what your customers desire, your chances of disappointing them increase.

Employing digital gift card solutions to incentivize customer feedback surveys can help your team get the information they need to make sure your organization is hitting the mark. You can even build the collection of this kind of feedback into product user groups and online communities to ensure you remain consistent.

Challenge 5: Managing Too Many Tools

Platform fatigue is a common problem in today’s digital workplace. Support teams are often managing multiple tools, and the more time they spend doing that, the less time they’re spending helping customers. Integrated digital gift card solutions let you empower your teams with rewards while streamlining delivery and alleviating their operational burden to learn and maintain another system.

Still not convinced that your support teams need digital gift card solutions for appeasement? Download our infographic on 8 Reasons Rewards Improve Your Customer Service.

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BHN Rewards

BHN Rewards puts the power of digital rewards to work for marketers, researchers, and HR managers. Don't forget to check out all the great content in our Resources section!

BHN Rewards puts the power of digital rewards to work for marketers, researchers, and HR managers. Don't forget to check out all the great content in our Resources section!