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Theories in Customer Service: Internal vs. External Customers

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❶The internal customers will be the people that work within the business of Starbucks. Simply put, everyone is.

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What Is an External Customer?

External customers are more likely to be customers, users, and stakeholders. Customers are those that exchange money for goods and services and consumers are those that actually use the product and as we said they may or may not be the same person. So a user is the same as a consumer. According to Blythe , stakeholders are people who are impacted by corporate activities.

An obvious stakeholder might be a shareholder since they have voting rights at annual general meetings. A less obvious stakeholder would be the person that owns the land next to your factory, or the family that is supported by the father that works in your warehouse.

A connected stakeholder is one with the direct association with your business, and this would be a supplier or a shareholder. Obviously other stakeholders would not have the same strength of connection, for example in the case of the local community. We going to look at Starbucks coffee as an example of a company that has both internal and external customers, and we should be able to apply some of the terminology that we introduced above. The internal customers will be the people that work within the business of Starbucks.

The internal customers will be everyone from the Board of Directors of the company, to the supervisors and team members that serve coffee at the customer interface.

So information and communication will flow from the board of directors to the people on the ground, and data and feedback from customers can flow from the people in the coffee shops back to the internal customers in the marketing department. External customers and consumers will be the everyday public that come in to the coffee shop and buy coffee for themselves and their friends. Of course the user will be the consumer of the product, whether that is the purchaser or not. Through their purchases, external customers provide the revenue stream that a business needs to survive.

Satisfied external customers make repeat purchases and refer the business to other potential customers. On the other hand, customers who suffer as a result of negative experience with a business, such as rude treatment by an employee, can hamper a business by dissuading other people from patronizing it.

An internal customer who does not work well with other elements of the company may have difficulty placing orders or obtaining answers to his external customers' questions, leading to poor service. What Is an External Customer? What Are Some Examples of Referrals? Full Answer A customer is a person or an organization that uses an output from another person or organization. What Is Answer It? Answer it provides professional services and places a live customer representative to communicate with a company's customers when normal company representa You May Also Like Q:

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External customers buy your products and services. External customers do business with your company as employees, and their needs matter as well.

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Internal vs External Customers Internal and external customers (buyers, clients or purchaser) pertain to a potential or current buyer and user of products of an organization, also known as vendor, seller, or supplier. Majority of these people generally buy or rent products or services. Internal Customer Internal customer is a division, individual or .

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Internal customers and External customers are differing from each other in many aspects. Internal Customers are those individuals, division or employee who purchases the product of the company / organization being the part of the company in a way or other. External customers use a company’s products or services but are not part of the company. An external customer is an individual who enters the store and buys merchandise. Internal customers are members of an organization who depend on the assistance of one another to accomplish their job.

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Oct 25,  · There is a domino effect between internal customer relations and external customer satisfaction. In order to produce happy external customers (those who buy our products and services), it is important to build positive customer satisfaction with our internal Bluerock Energy, Inc. For customer service, too, knowing the needs of your customers, whether external or internal, can help you provide the best and most specific service to each individual. But defining external and internal customers may clarify your workplace and help you decide which is best for your company.