Strengthen Customer Loyalty and
Improve Your Bottom Line
By Uplifting Employee-Customer Relations
By Alain J Roy
IN A SLUGGISH ECONOMY, CONSUNERS SPEND LESS AND LESS. But that doesn’t
mean your business has to suffer. Tough economic times offer new opportunities
and proven methods of ensuring your company’s growth, namely: retaining
your existing customers, taking business away from competitors, and improving
your operating margins.
As you know, “totally satisfied” customers are much more likely
to remain loyal to your company than those who are merely “satisfied.” Offering
a good product at a good price in a good location will always be important.
But it is the interaction between your front-line employees and your customers
that can create or destroy bonds of loyalty. In order to attract, satisfy and
retain customers, you must know what they need, expect and perceive in every
phase of each transaction.
We are the Best. 100% Satisfaction Guaranteed. Quality is Job One. We Never
Stop Working for You. These enticing taglines build up huge customer expectations.
Companies spend millions of dollars to create these marketing promises in an
effort to attract new customers and build relationships. Yet when it comes
to delivering on these promises and fulfilling customer expectations, many
companies fall drastically short. The blame for the resulting losses is usually
directed at front-line employees.
As a consumer, you’ve probably experienced the frustration of being bounced
around in voice-mail when you need to have a question answered by your bank
or insurance company. “What happened to The Customer Comes First?” you
may wonder.
All too often, a huge gap exists between what customers expect and what they
actually receive. In such cases, the relationship, or “trust factor,” between
customer and company may be forever broken.
A damaging cycle results: the customer may never return, choosing instead to
go with a competitor. Employee performance continuously diminishes due to lowered
morale. The company is forced to dream up new slogans and new promises to attract
new customers. However, the company may have failed to identify its ideal customers
in the first place, and may have further neglected to invest in the development
of acceptable employee/customer relations guidelines. Customer expectations
are not fulfilled, and the trust factor is broken once again. Needless to say,
the economic losses of this recurring cycle can be considerable.
However, your company can avoid this debilitating cycle
by pinpointing problem areas and achieving your goals of
customer satisfaction and retention through the following
five steps:
1) Measure customer expectations.
There must be a valuable reason to explain why customers have chosen to patronize
your place of business. Was it your marketing campaign that attracted them?
Was it the sign on the building? Was it word of mouth? Was it the promise of
great food, quality products, excellent service, friendly staff, low prices,
simple convenience, or just chance? What exactly do customers expect from your
company?
2) Measure customer perception/satisfaction.
Once customers have established a relationship with your company, it is fair
to say that they perceive your brand as something from which a certain level
of satisfaction will be attained. Now, did you meet or exceed their expectations?
Are they truly satisfied with their experience? How will you know for certain
unless you have invited your customers to communicate with you?
3) Measure customer intentions.
Will they come again? Will they bring their friends and family? Will they talk
about their experience with your brand and if so, what will they say?
The answers to these questions are extremely valuable to your business. This
feedback will allow you to see which marketing strategies work (and don’t
work), which products or services are appealing (or unappealing), what the
atmosphere communicates (or fails to communicate), and what the employee-customer
experience establishes (or fails to establish).
4) Tell customers the truth; then deliver what you promised.
What if a company developed a slogan that simply offered to fulfill customers’ basic
needs and expectations? In this scenario, the marketing message conveys what
the company can sincerely offer, and the customers (attracted by a truthful
message) get what they expect—nothing less, maybe even more. As a result,
customers are more likely to return, and the company’s economic trend
begins to reverse.
5) Aim to give customers more than they expect.
A “totally satisfied” customer is invaluable to your business.
This particular customer is more likely to return, to pay premium prices, and
to provide free word-of-mouth promotion, effectively increasing your customer
base and your revenues at no cost to you.
By now, you can see how the company’s economic trend reversal takes place.
It becomes logical to spend less in marketing per se, and to invest more in
employee-customer relations. This has the effect of improving service delivery,
increasing customer satisfaction, and expanding the customer base. This form
of “face-to-face” marketing has a more positive impact on the customer
and overall business performance.
As a portion of the marketing budget is funneled to the improvement of employee-customer
relations, the company might feel the need to tell a story other than the one
now experienced and communicated by the customer. This company message is delivered “on-the-spot” and
in a compelling manner. The customer now receives much more than what he/she
had expected and had been promised.
Translation: the now “totally satisfied” customer spends more,
returns frequently, and tells friends and family. Your company image improves
and your customer base grows. Operations are simplified in the form of fewer
customer complaints, improved employee performance and satisfaction, diminished
turnaround, and reduced management workload. Revenues begin to increase as
costs drastically decrease.
The fundamental lesson learned is that the most valuable marketing message
is not the one concocted at the company’s headquarters or at some remote
marketing agency, but the one that is created, believed and effectively delivered
by the front-line employees.
In these tough economic times, the strength of your employee-customer relations
can mean the difference between whether your business flounders or thrives.
Be sure that your company is doing everything it can to fulfill and then exceed
the expectations of your most valuable resource: your customers.
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Mr. Alain J Roy has worked as an employee-customer relations consultant for
more than 20 years, helping business leaders to solve customer service, personnel
and operations problems. As a leader in the customer service field, Mr. Roy
has developed an effective approach which values the “intangibles” by
showing the true contributing factor between specific frontline personnel investments,
marketing expenditures and bottom-line results. In his upcoming book, The Employee
Accountability Factor, Mr. Roy redefines the all-important concept of face-to-face
employee-customer interaction.
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