ZIMBABWE’S services sector is witnessing significant improvements in service provision and customer satisfaction, the 2024 State of Service Economy Survey (SOSES) shows.
The annual survey, now in its second year, is a collaborative effort between ZB Financial Holdings, Consumer Feedback Consultancy, Tatu Advertising, and The Financial Gazette.
This year, the survey evaluated 12 essential industries, 10 of which have been recognised by the World Bank as pivotal to service economies in developing countries.
These industries include utilities, health, education, telecommunications, banking, retail, tourism, transport, insurance, energy, real estate, and agriculture.
The results from the latest SOSES were unveiled at a glamorous event in Harare on Tuesday evening, revealing that the National SOSES Services Index (NSSI) for 2024 has risen to 72 percent, up from 69 percent the previous year.
This index represents an average of sector-specific service indices. “We notice that we included the real estate sector and agriculture which were excluded in the last exercise and these two sectors’ performance was quite high driving the national index up,” Consumer Feedback Consultancy research analyst Leroy Gonyora said.
“In a nutshell this is where we are as a country. There were some lows in some aspects and improvements in others especially when it comes to customer satisfaction and customer experience.” The survey identified real estate, agriculture, tourism, insurance, and banking as the top-performing sectors that met or exceeded customer expectations.
Many customers expressed satisfaction with the innovation and technological adoption among service providers. This trend reflects a growing recognition of the need for enhanced services in a competitive marketplace. However, the survey also highlighted some critical gaps.
Notably the failure of service providers to develop tailor-made products that align with customer expectations. This indicates the need for more personalized approaches to service delivery, ensuring that offerings resonate with the diverse needs of the customer base.
Running under the theme, “Going beyond for you”, the 2024 service economy survey is a call to action for private, public, and development sector players in Zimbabwe to go beyond normal in pursuit of service excellence to their local, regional, and international customers.
The services sector has become a driving force of the global economy in the wake of a sharp shift from primary productive sectors that conventionally anchored most economies. According to the Organisation for Economic Cooperation and Development (OECD), service contributes 60 percent of the global gross domestic product (GDP).
The service economy continues to increasingly drive the global economic transformation and accounted for 55 percent of the GDP in developed economies; 70 percent in Europe and 78 percent in the USA according to the World Bank in the year 2022.
“Our sponsorship is also based on a demonstration of our own commitment and in the understanding of the fact that different stakeholders have different needs and how we attend to those needs and how we serve, that’s where value is created,” ZB Holdings chief executive Shepherd Fungura said.
“We believe that one can only improve their standards of service to the extent and from the point of view that they are vulnerable and honest to be able to receive feedback and act upon that feedback. So, as we see in Zimbabwe today, their usefulness is one that is responsible for what we do as a response, otherwise it just becomes an academic exercise,” added Fungura.
Guest of honour at the event, Chris Mugaga, who is Zimbabwe National Chamber of Commerce (ZNCC) chief executive, underscored the importance of good business standards in attaining customer needs in the services sector.
“The biggest challenge that we have now is the decay of honestness. Now we are having a culture of dishonesty. The issue of honesty is key when we talk of going beyond…Also etiquette and grooming is a soft skill which is important. As providers of services, we do not need to prioritize the topline but be obsessed with what value we bring to the market. In line with our theme, going beyond means we have to look long term,” Mugaga stressed.
Manyara Chigunduru, chair of the adjudication committee, emphasising the committee’s role in ensuring the credibility and integrity of the survey process.
“We were tasked with analysing the methodology, validating the results, and confirming the fairness of the survey outcomes. Our committee maintained the highest standards of impartiality and excellence throughout the process,” Chigunduru said.
Martin Matamisa, chairperson of the SOSES organising committee, reiterated the survey’s purpose as a call to action for businesses across Zimbabwe.
“The SOSES is a call to action to every business person to go beyond the customer because we are all about service. The SOSES is a data driven research that looks at performance of Zimbabwe services economy to promote its sustainable growth and attractiveness, This, initiative was inspired by the shifting economic trends across the globe where the service economy now contributes significantly to GDP.
It was only logical for us to take a deep dive into the service economy of Zimbabwe and gather key insights to propel the nation forward,” he said. The continued focus on enhancing service delivery will be vital for the sector’s growth and its contribution to the broader economy. By Kudzanai Gerede
COMPANIES AND MARKETS EDITOR
