Hence all the ads for insurance and cell phone companies. It strikes me as an asinine business model, but seems to be the norm.

 

I was having this conversation with my business partner the other day. People today have no loyalty, and the things you do for them that are above and beyond don't register and don't buy you any goodwill when bad things happen like they used to. It almost doesn't pay to go above and beyond.

 

Obviously insurance companies have to make a profit, or else they can't stay in business. But the way I see it, if profit were the only issue, companies like Erie and GEICO would be charging what other companies do, instead of their well-known lower rates.

 

Thats pretty much what I found as well....Went w/ The Hartford, really a great deal w/ home/auto......Had Farmers for a 10+ yrs, no claims & it just kept going up....

 

You might be taking a bit of a jaded view here. Brand loyalty is a thing with consumers. In business, however, purchasing department personnel sever long-standing ties with suppliers all the time in order to make it look like they are saving the company money, no matter what the downstream costs are (issues with lead time and quality)

 

I agree when it comes to subscription type service and smaller purchases. Loyalty comes at a price and some apply it with discretion. We don’t think about actually having to make a claim until it happens. It’s nice to have a company that will go to bat for you when and if the time comes.

 

Completely different situations, my view of it isn't jaded, its experienced.

 

I have been with State Farm for auto & home since 1983 when I got married, when I moved from So.CA to N.W. Florida I was shocked that the rates here for a much cheaper house & the same 2 cars doubled. The service is much worse, I called a week ago to make sure someone would be at the front desk to recieve my renewal payment & they said yes. I was there within 20 minutes & I couldn't find anyone so I walked down the hall & found my agents office & left my payment on his desk.
State Farm doesn't sell wind damage insurance here so I don't have it.

 

So you are ok self-funding repairs to your house if there's a hurricane? Don't you think you should shop around and find an insurer that offers that coverage?

 

He's in CA, they don't get hurricanes and even damaging winds are rare. It's like me buying earthquake insurance in NJ

 

When most corporations have a short-term, profit driven business model, it is an example to all, including their customers. Customers are adapting to the direction our corporations have chosen. Customers and corporations are flushing good-will and loyalty down the toilet, in search of a rock bottom price, or a maximum short-term gain.

Two corporations that come to mind who put customers first are Amazon and Apple, two of the most successful companies in the history of mankind! I think other corporations would do well to follow their model, including insurance companies.

 

I don’t think Amazon is successful because of amazing customer service or putting the customer first, I think it’s that they have a great product that is super easy. If someone came up with an Amazon competitor that was similar and cheaper, people would feel no loyalty to Amazon.

I also never see anybody buy Apple products because of their customer service, it’s because people love and want the product.

Like it or not, customer service just doesn’t get a company very far anymore.

 

With that, though, we're back to the chicken/egg comparison. With a good product (and, yes, IMO, Apple makes some of the best products out there...I have both a MacBook Air and I-Phone)....one does not need Apple customer service very often. I've never had to call them once in the 8 years I've had my Mac.

 

I completely and respectfully disagree! Amazon has the best customer service, bar none! It's what Jeff Bezos hammered on his employees about from day one, and it is why he is the richest man in the world! Apple makes insanely great products by making them customer (user) friendly. Too, anyone who has ever dealt with their customer service department will tell you how great they are.

 

We are huge Amazon customers, not a day goes by something doesnt come here from Amazon...its about ease, not service. As for Apple, making great products that are user friendly is not customer service.

People don't buy iPhones because of Apple's great customer service, they buy them because of the product and the brand itself. If service went to crap, they would still buy them.

I've dealt with the customer service departments of both Amazon and Apple, I don't find them bad, but I don't find them excellent or unusual in any way. Amazon is very typical for an online merchant IMO. Apple actually irritates me that I need to make an appointment to have my issues dealt with, and to purchase a product.