Final answer:
The purpose of customer service for a retailer is to ensure customer satisfaction and loyalty, establishing a good reputation, which in turn leads to repeat customers and encourages word-of-mouth recommendations.
Step-by-step explanation:
From the perspective of a retailer, the purpose of customer service encompasses several aspects, including helping customers to buy, identifying prospects to become new customers, promoting future purchases, preventing customer problems, and advertising the firm's products. However, the core objective of customer service is to foster a positive relationship with customers, ensuring that they are satisfied and feel valued, which leads to repeat customers and positive word-of-mouth referrals. Establishing and maintaining a good reputation is of paramount importance to a retailer, because it not only attracts new customers but also retains existing ones who are more likely to engage in repeat business.
For instance, a grocery store with an established reputation for quality and service can charge more than a temporary stand at a farmer's market. This is because customers have confidence in the consistent quality and are assured that the store is concerned about maintaining their reputation. Additionally, customer service can play a vital role in addressing issues with imperfect or unclear information about products, avoiding buyer's regret and incentivizing future purchases.