Widespread Lack of Product Knowledge Leads to a Lack of Sales


The lack of product knowledge and an inability of service providers to explain product and service features, benefits and advantages are bigger factors in the loss of sales and customer satisfaction than price, product quality and customer service standards through Australia.

A recent detailed analysis by market research and business strategists Marketing Focus has isolated that the paring-back of staff training and the inability of many businesses to recruit and retain professional, experienced and qualified staff members is impacting on the top lines and bottom lines of a broad cross-section of businesses.
Price was rated by consumers variously as the fourth or fifth most important purchase criterion in a wide spectrum of products and services.
In some 35% of instances, consumers chose to not buy from any outlet following a bad experience with disinterested service providers who lacked product knowledge, inter-personal relationship and communication skills.  Therefore, the loss in sales revenue was incurred by the individual business and by the sector at large.
Speaking on the findings, Barry Urquhart, Managing Director of Marketing Focus, who conducted the analysis, said: “Economic circumstances, the value of the Australian dollar, price competitiveness and a lack of consumer confidence are issues that all businesses need to recognise, respect and address.  However, individually, they are unable to make substantial impact on those casual factors of flat revenue flows.
Lack of product knowledge, poor communication skills and infrequent training are aspects that can and should be addressed.  In many instances they are the primary reasons for the loss of sales and customer loyalty.  Moreover, the potential exists for relatively rapid turnabouts in business buoyancy.”


Barry Urquhart


[email protected]


Barry Urquhart, MD Marketing Focus, Perth, is the author of Australia's top two selling books on customer service and is an internationally recognised authority on consumer behaviour and creative visual marketing.

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