Enhancing
Customer
Service
A case study review and
comparisons of the
Automobile Association of
the UK.
By: Alberto Cortez
& Gerson Galloso
INTRODUCTION
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This case study focuses on the AA’s core business activity in
providing customer service to its members.
The AA was founded in 1905 as a non-profit to protect the interest
of pioneer motorists.
This case study features the Automobile Association of the UK and
shows how it has been able to enhance its position as the UK’s
largest motoring organization.
“Trust” is a very important part of the relationship the AA has with its
members.
This relationship will only be achieved by taking the time and the
effort to research the customers to find out exactly what their
requirements are and then meeting those requirements.
Customer service can be used to achieve a personal relationship
by focusing on meeting needs and requirements.
Achieving their Mission
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AA’s mission statement is encapsulated in the
following consumer statement: “I instinctively turn
to the AA – you are always there, easy to reach
and ready to help. You have standards I can trust
and you impress me more every time you serve
me and solve my problems.”
Core Benefits
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Security and Service provided to motorists
who are having issues with their automobile or
related problem.
Ability with more than eight out of 10 vehicles
being repaired on the spot is seen as a critical
benefit.
Discounts, Best route descriptions, Technical
and legal advice and information
Managing Change
The AA exemplifies customer orientation since it has built up a
personal bond with individual customers through relationship
marketing and creating stages for continuous improvement. Behind
the scenes AA had a control structure based on clearly defined
procedures and set patterns of the organization.
 IT Revolution – UK has always been in developing information
technology which has been the driving force for organizational
change. This makes it possible to manage large quantities of
information at the touch of a button. AA used this as a catapult for
their business.
 Market Research – Market research is the key for market focused
organizations as is AA and it gives them the opportunity to discover
what customers want and need. Using this tool of change they reaffirmed their main benefits: 1. Repairing the vehicle on the spot, 2.
Speed of arrival from initial call
 Follow-Up, “Rinse and Repeat”
Summary
AA effectively set themselves apart from 40 other
companies in the market through emphasis on
delivering relationship marketing.
 Customers more and more want a more personal
experience when they are going through an
automobile breakdown.
 AA prime purpose is to utilize its own key resource –
its people – to deliver exceptional service. In
doing so they exceed customer expectations.
Result
AA’s success is measured by the shear size of the its
membership and through perceptions of the service
it offers.
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Suggestions to Use AA’s
Approach
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Time Warner Cable (TWC) began in 1992Relatively new organization from AA
TWC– 2nd largest digital cable service provider
behind Comcast
It started with cable service and then added
cable internet, DVR, and digital phone
service
Little competition has been a reason why
TWC has been able to be successful.
Ability to bundle services is also a strong
positive.
TWC’s Issues
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Poor Customer Service:
According to jsonline.com (Journal Sentinel),
TWC scored the lowest on cable TV
customer satisfaction in 2013.
Poor phone customer service
Lack of trust in billing, promotions, and
appointments
Rising competition on the rise. Popular among
new generations
Netflix
Hulu
YouTube
Vudu
Applying the 3 stage concept
of continuous improvement
o Stage 1- IT/Helpdesk revolution
1. Analyze current system to see where there is waste and
how can it be simplified.
2. Analyze current call center personnel training. How can
it be improved? And continuous training for call center
personnel.
o Stage 2- Market ResearchA. What do customers want? (Based on customer
complaints in our reference slide)
• Good product and fix their problems (billing/technical)
• Prompt field service (4hr window/cancellations)
A. Develop customer satisfaction index or scorecard to
maintain satisfaction by continually reviewing it.
o Stage 3- De-layering- Remove excess management
and empower first line employees (call center, field
techs, and branch offices
Conclusion
There is no question that TWC is a successful organization
even with poor customer service. In part, by their
bundling service options and promotions but customer
service is what will create loyalty.
Due to the success of the organization, it is troublesome to
suggest an incremental or transformational change
without further research. Either way, if TWC wants to stay
relevant they must try to meet or exceed customer
expectations. Failure to do so, and with upcoming
services from organizations like Netflix, might place TWC
much like Blockbuster Video is today.
References
Sites:
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http://businesscasestudies.co.uk/automobile-associationaa/enhancing-customerservice/introduction.html#axzz3em7cHdZM
http://www.bbb.org/wisconsin/Business-Reviews/cable-tvinternet-and-telephone-installation-service/time-warner-cable-inmilwaukee-wi-16000026/Customer-Reviews
http://time-warner-cable.pissedconsumer.com/
http://www.jsonline.com/watchdog/pi/time-warner-scoreslowest-on-cable-tv-customer-satisfaction-report-says-b9915944z1208433401.html
http://www.consumeraffairs.com/cable_tv/time_warner.html
http://www.jsonline.com/watchdog/pi/time-warner-scoreslowest-on-cable-tv-customer-satisfaction-report-says-b9915944z1208433401.html
https://en.wikipedia.org/wiki/Time_Warner_Cable