ABSTRACT

The rapid technological advancement and globalisation of businesses has led to increased competition for customers globally. Competition among organisations has forced customers to be more discerning and demanding in relation to customer service. Customers today are more informed and knowledgeable and therefore demand value for their money. Organisations must come up with customer attraction and retention strategies that enable them to keep their customers, staff and suppliers. This helps them introduce a service culture. Customer service organisations must ensure that staff are rewarded and recognised for delivering high-quality customer service. This should be extended to customers and suppliers. Customers should be rewarded for their loyalty to the organisation and its products and/or services while suppliers should be rewarded and recognised for offering timely and quality goods and services. The elements of reward should be internally equitable, externally competitive, transparent and consistent and also linked to competitive performance.