Know-How Exchange : Customer Behavior

It basically all comes down to the basics: the customer is always right, and treat every customer as if they're the president/your mother/etc. (certainly at the very least treat them all as if they're your most important customer!).

As far as making sure that happens, at my company we have a goal of 95% renewal rate (customer retention). There is a cash production bonus to sales and IT people (who have direct bearing on that number) if we have above 97% renewals. Right now our retention rate is 98%!

I appreciate the advice and i understand that there are people who hold direct bearing on the retention of our customers but in terms of offers and other techniques do you find that one is more effective than any others you have tried?

Two pieces of advice for you:

1) Read the Book Human Sigma... In my mind it is the first really scientific book on human relations as far as customer retention is concerned

2) Empower people to fix problems quickly. When customers experience a problem and it is fixed properly and fixed right on the spot - they become more loyal than customers who experience perfect service.

Thanks for the advice i think that definatley sounds like an interesting read.

I did an article called "your customers are leaving"- and to sum it up-- they leave because they move,their needs change, they die, you could list 100's of reasons. But the #1 reason they leave is they don't feel you care about them. Communicate with them-- people buy because of relationships more than low ball pricing.

Check out the Strativity Group survey-- https://www.strativitygroup.com/index.php?page=surveys -only 43% of the execs surveyed felt they deserved their customers loyalty. There are a lot of other good CEM reads on the site as well.

Sell Well and Prosper tm

Become their friend. I know that sounds silly, but in today's social media world it is the truth. Today, through email, newsletters, basic surveys and informative websites companies of all sizes and budgets can create a dialog with their customers. Ask what makes them happy. Why they buy your products. What you can do to make their experience with you and your products/service more enjoyable. Include them in panel surveys. Ask them which new logo they like, and so on.

Think of how much work goes into keeping your personal relationships healthy. A lot, but in the end relationships are what keeps people coming back. Treat your customers as friends, show them you care about their needs, and they will be loyal.

title: Managing customers as investments

written by: Gupta Ehmann

The basic idea of this book is that keeping your customers happy has a price and as soon as the price is higher then the extra profits you should say goodbye to this customers because they cost you money while te basic idea of doing business is to earn money. Just read the book.

thanks for everyones help and feedback