Has it ever happened to you that you have a strong opinion about a brand or a service, and it feels difficult to change your mind even though you cannot recall a tangible reason why? While there could be many possibilities and factors influencing our perceptions, emotions might play a substantial role. Various studies show that while people tend to forget specific details of happenings, they tend to remember how they felt during those situations (Qasim et al., 2023). It could be a direct experience of someone close to you or, for instance, a story shared by someone you know, and though you no longer remember the details, the influence still lingers in your thought process and impacts your decision-making to some extent.
In a highly competitive business environment, customer service, reputation and establishing a rapport with the clients are more important than ever. Customer loyalty takes time, effort and investment – just like any relationship. Emotional Intelligence (EQ) is the ability to manage oneself and one’s relationship with others (Robinson, Asad and Irvin, 2023). It is the ability to acknowledge one’s state of being while effectively engaging and interacting with others in a meaningful way. Customer service is essentially emotional, since employees are interacting with customers who are frustrated, concerned, seeking a resolution and in need of reassurance. Emotional intelligence, supports customer-facing employees to skilfully manage their own emotions, empathise, and respond constructively to demanding situations. Several research studies show a high correlation between the Emotional Intelligence Index and the ability to de-escalate tension, allowing for problem resolution(Yalin and Sözen, 2015). Beyond solving issues, it also nurtures trust and customer loyalty. Daniel Goleman’s Framework distinguishes five key components of Emotional Intelligence – all salient in customer service (Goleman, 1995).
Self-awareness involves being in touch with one’s feelings and understanding the impact they have on others. Paying attention to what we feel provides a self-confident context for decision-making. Simple acts such as adjusting the tone and communication style can help customer service agents to contain the risk of escalating conflict. Self-management refers to the ability to manage anger, anxiety and sadness under pressure. When handling a disgruntled customer, the agents need to be calm and maintain composure to lead a positive interaction. Social awareness focuses on the ability to read emotions in others. By “walking in the customer’s shoes”, the customer service team can offer a more personalised and compassionate approach to address the situation. Relationship management is the ultimate skill involving clear communication, conflict resolution, teamwork and leadership. This component requires a strong foundation in the aforementioned components (self-awareness, self-management and social awareness) through which individuals with high EQ can inspire, mentor and collaborate effectively to build and maintain healthy relationships.
Customers are not always right but helping them feel like so matters.
Emotions ripple through people, and whether we know it or not, emotional energy spreads. This unseen transaction passes between people, and it is what makes us feel either a little better or a little worse. Studies of outstanding EQ performers at the workplace show that two-thirds of the abilities that set star performers apart in the leadership stakes are based on EQ and only one-third relate to raw intelligence (IQ) (Goleman, 1995) . Subsequently, EQ directly impacts key business outcomes, including customer satisfaction, retention, loyalty and brand perception (Yalin and Sözen, 2015). Up to 66 per cent of customers are willing to switch brands as a result of poor customer service (Marketing Charts, 2023), while positive word of mouth as a result of empathetic interactions nurtures brand reputation (Chung and Darke, 2006). On an internal level, employees with EQ, experience greater job satisfaction and lower burnout rates as they thrive and exercise resilience in stressful, fast-paced work environments. Some people naturally have an innate sense of emotional intelligence (Yalin and Sözen, 2015). However, it remains a skill which can be honed through structured training programs.
The impact of being heard, valued and seen plays a pivotal role in shaping customer experiences, influencing the long-term relationship the business builds with its customers. Far from being a mere skill, emotional intelligence is an essential foundation to resonate with the customers on a deeper level and deliver outstanding service. When in doubt about how to approach customer service, serve your customers’ emotions, and there’s a high probability of getting it right.