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By News Reporter
In the fourth episode of our ‘Customers at Heart’ series, we dive into how LG US has boosted customer satisfaction by revamping its refund system through the Online Brand Shop (OBS).
Imagine purchasing a brand-new washing machine or refrigerator, only to have it malfunction unexpectedly with no feasible repair options. Even with a full refund, such an experience can leave a sour taste. To rectify this, LG US initiated a collaborative project aimed at overhauling the refund process to enhance the customer experience. Six teams – the North America Strategy Team, DXP OX Team, DXP TDI Team, Service Corporation Call Center Team, Service Corporation Planning Team and the North American Accounting Team – voluntarily joined forces to develop a more efficient and customer-centric refund system.
The initiative targeted customers whose products had malfunctioned under the warranty period but were unable to receive a repaire due to discontinued parts or other impracticalities. To provide alternatives to a one-time cash payout, the company sought ways to retain customers and encourage future purchases by introducing rewards through the OBS of LG US, the official website where customers in the US can directly purchase products online.
Analyzing core customer grievances, the company endeavored to reform the existing cash refund policy for an easy and more pleasant process. To foster a positive customer experience, LG US developed MyLG Rewards, an OBS rewards program that offers a 110 percent points refund and encourages customers to actively use the points through a convenient and user-friendly system.
The company took proactive action to identify potential issues of the new OBS refund policy, monitoring real cases to finalize the best possible IT asset monetization process. LG US also implemented specialized training for call center staff and expanded operations to improve the overall customer experience and get ahead of any issues that could arise from the new system.
After the introduction of MyLG Rewards, the company conducted regular surveys targeting customers who received refunds. These surveys aimed to gauge customer satisfaction, track the likelihood of repurchasing LG products and monitor the frequency and duration of OBS visits. In addition to analyzing the percentage of refund customers who became new OBS members, the company also examined when customers used OBS points as well as any additional purchases made through the system.
As of October 2023, the survey results indicated high customer satisfaction, with those who utilized MyLG Rewards rating the process an average of 4.7 out of 5, compared to a 3.3 rating from refund customers in general. Customers who used MyLG Rewards also expressed a higher propensity to repurchase from the brand, with 71 percent stating they would buy LG products again, compared to 50 percent by refund customers in general.
Overall, approximately 40 percent of refund customers shared that they have regained trust in the LG brand after the introduction of the OBS point system. Those who used OBS for the first time reportedly visited the shop more frequently and for longer periods of time, and 64 percent of customers made additional payments through OBS even after using up their points.
The success of the LG US initiative has prompted expansion plans to LG Canada within the year and the launch of an OBS membership program that will offer differentiated benefits based on OBS points and membership tiers. The company has also rolled out the LG Referral Program, which enables customers to earn rewards by referring friends and family.
Through these initiatives, LG US has revolutionized the customer experience for those seeking refunds, ensuring that these customers continue their ownership experience (OX) journey with the OBS rewards system.
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By News Reporter
In the third episode of the ‘Customers at Heart’ series, we take a look at how LG India created a customized care solution to innovate the customer experience.
LG India, a subsidiary of LG, is unique among its global counterparts as it independently manages sales, installation, repair and maintenance. Leveraging this autonomy, LG India has enhanced customer satisfaction and boosted sales through LG BEST Care, a service extending the warranty period of home appliances, including regular maintenance and cleaning.
Prior to LG BEST Care, LG India offered product care services under LG CareShip, which included routine visits and complimentary filter changes. However, a challenge was that 99% of customers only signed up for the service when they needed it, rather than at the point of purchase. This realization prompted efforts to improve customer engagement and revenue generation.
LG India aspires to conduct regular product inspections by experts to ensure that purchased products are in optimal condition, especially for customers who want to ensure peak product performance throughout the entire period of use. In order to do this, LG India came up with three key customer experience innovations.
The first looked to expand the range of customer choices, broadening the range of CareShip sales channels and products. The second aimed to improve customer impression services, where detailed plans were developed to differentiate the installation and repair experience. The last considered how to create an easy and convenient CareShip management system with customer convenience in mind.
To implement these new services, LG India analyzed data from its 50 million customers based on product type and usage period. This data-driven approach led to the expansion of sales channels and the creation of new care packages tailored to customer demand.
The company has also enriched the customer experience with discount promotions, a wider selection of choices and the introduction of LG SUPER Service – a unique local package offering superior service quality.
LG BEST Care further reflects customer needs by bringing ease and convenience to CareShip’s management system. Services are now automated with a systemized schedule for regular visits. In addition, LG India has increased the number of dedicated care professionals and uses Net Promoter Score to identify and address negative feedback on CareShip products.
These enhancements have yielded impressive results. The number of care products increased from three to ten types, offering a more diverse range of services. The rate of same-day installations and repairs has improved from 66.5 percent to 70.4 percent with SUPER Service. Consequently, LG BEST Care has experienced rapid growth in both customer base and revenue. LG India aims to continue this momentum into 2024 by setting regional monthly goals.
Stay tuned for the next episode of ‘Customers at Heart,’ where we’ll visit another global LG office to discover more innovative customer experience strategies.
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By News Reporter
Company Reinforces Industry Leadership With
Summit for Technical Consultants From Across Asia
SEOUL, May 30, 2024 — LG Electronics (LG) is currently hosting the inaugural LG HVAC Consultant Leaders’ Summit – LG Alumni Event – in Seoul, South Korea (May 28-31). The summit provides heating, ventilation and air conditioning (HVAC) consultants from across Asia with the valuable opportunity to benefit from LG’s extensive industry insight and to learn more about its advanced technologies. The first-of-its-kind event is expected to bolster the company’s leadership in the Asia region, which is now the world’s most rapidly-expanding HVAC market.
Attending the summit were 46 consultants from five Asian countries: Indonesia, Singapore, Thailand, the Philippines and Vietnam. Technical consultants play a vital role in the HVAC business, supporting customers in important areas including system design, installation guidance and maintenance support. By collaborating closely with consultants in each market, LG is able to provide a differentiated customer experience that adds significant value to its industry-leading HVAC solutions.
With its high-growth potential, Asia has emerged as a key market for the expansion of LG’s HVAC business. Driven by an increase in commercial construction and stricter government energy-saving policies, the region is experiencing escalating demand for smart HVAC systems offering integrated IoT control, building automation and real-time performance monitoring. A respected provider of high-efficiency residential and commercial HVAC solutions based on innovative heat pump technology, LG is working with universities and research institutes to develop the next generation of cutting-edge heat pump systems.
In 2023, LG announced its plan to more than double the sales volume of its residential and commercial HVAC business by 2030 – an ambitious goal that will secure the company’s position as a global top-tier HVAC solutions provider.
Through a series of engaging seminars being led by industry experts, the consultants participating in the LG HVAC Consultant Leaders’ Summit – LG Alumni Event will come away with new insight into the trends and technologies shaping the HVAC landscape in Asia and worldwide. Key topics include zero-carbon buildings and HVAC in the era of Artificial Intelligence.
With Asia as the starting point, LG aims to strategically expand its consultant network around the globe, extending its outreach efforts to regions with high-growth potential, such as Central and South America.
“It’s a pleasure to be sharing our cutting-edge technologies and industry insights with professional HVAC consultants from some of Asia’s most dynamic markets,” said James Lee, head of the Air Solution Business Unit at LG Electronics Home Appliance & Air Solution Company. “We will continue to collaborate closely with our consultant network to ensure the best customer outcomes and to grow our influence throughout the Asia region.”
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By News Reporter
In the first episode of the ‘Customers at Heart’ series, we take a closer look at how HiTeleservice – LG’s dedicated customer service subsidiary – is enhancing the customer experience through improved customer service around the world.
In the cutthroat world of business, having a great product isn’t enough. Companies need to excel in distribution, marketing and innovation to stay ahead. But even with all that, poor customer service can destroy a brand’s reputation and the loyalty it took years to build.
LG knows this well and is stepping up its game in customer service on a global scale. The goal is to create a standout customer experience by applying its proven customer care expertise from home to abroad.
This year marks the start of a new chapter, with HiTeleservice – LG’s customer service arm – setting up a robust support system to help boost the performance of LG’s service centers worldwide. HiTeleservice’s expert Customer Service Representatives (CSRs) will take the lead, sharing their knowledge and skills in customer service practices, talent development and operational strategies internationally.
The plan is to iron out any differences in service quality that come from cultural and operational variances, aiming for consistently high service standards everywhere LG operates. With Customer Care Centers in over 40 countries, supporting more than 50 languages, LG is serious about providing top-notch support, whether online or offline.
HiTeleservice is now ready to roll out significant support after a thorough review of LG’s global customer service operations. The first step is to upgrade the skills of global CSRs with best practices in customer service, focusing on problem-solving from the customer’s viewpoint. They’ll also get access to English training materials from LG’s learning platform.
But it’s not just about a one-off training session. LG is building a system for ongoing CSR talent development and providing advice for running an efficient organization. This long-term strategy is all about keeping service standards high through continuous improvement.
Moreover, HiTeleservice will offer comprehensive training programs to its own CSRs, including language skills for better global communication and specialized training to hone their core competencies. The aim is to develop customer service pros capable of providing expert advice whenever and wherever they’re called for assistance overseas.
In accordance with its recent reinterpretation of AI as Affectionate Intelligence, LG believes that AI can be harnessed to foster more compassionate and understanding customer experiences. Consequently, the company is progressively incorporating AI into its customer service operations.
One such AI innovation is ‘Smile Plus,’ a customer service call system that uses AI to boost the speed and precision of CSR responses. It offers CSRs a comprehensive view of various customer data, including purchase, delivery, installation and service histories from all touchpoints, such as the website, LG ThinQ app and service call records.
Additionally, LG has devised and implemented an AI-driven feature, ‘STT/TA (Speech-to-Text/Text Analysis),’ which transcribes customers’ verbal expressions into text in real-time, eliminating superfluous tasks and averting miscommunication. STT/TA is also capable of understanding the context of the service call and proposing optimal solutions. Furthermore, LG intends to launch its ‘AI Voicebot,’ an autonomous service call solution presently in the development phase, within the year. This service is designed to handle straightforward inquiries during peak service call times or when calls are experiencing delays.
LG’s dedication to customer service goes beyond the Customer Care Center. It includes sales and repairs, spreading its high service standards across the globe. This involves sending experts to train staff on-site in other countries and hosting group training sessions for overseas personnel. Since 2011, LG has been sharing its successful Korean sales strategies with teams in the Middle East, Africa, Central Asia and Southeast Asia.
In essence, LG is not just selling products; it’s delivering an experience. And with this new initiative, it’s committed to offering each customer, regardless of their location, an unparalleled level of service.
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By Phil7108
We recently subscribed to Paramount Plus to catch up on episodes we lost when our COX CONTOUR DVR died. Frequently when streaming an episode,the playback will suddenly freeze. If we try to go back, using the "undo" key, we can sometimes get the playback to resume, but it has rewound abp=out 10 minutes. After resuming playback, it will frequently freeze again. My wife is so frustrated, she wants to cancel Paramount. Any suggestions appreciated!
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