Marketing lesson 1: retaining customers is many times cheaper than acquiring new ones. Yet in practice, we see that organisations often put more effort into bringing in new customers and somewhat neglect their relationship with existing customers. Growth is naturally much faster if, in addition to acquiring new customers, you make sure you retain your current customers. But how do you do that at a time when almost everything can be copied by competitors?
Have you been a customer of an energy supplier for years because their power is so good? Have you been a customer of a certain insurer for years because their price is so nice and low? Probably not. The organisations you connect with longer are probably those where you are well served, they are always there for you, the service is well organised or where they take you seriously as a customer. Perhaps you choose your energy supplier on price. However, the reason to leave is usually not. Customers often cancel or leave for competitors because they are not treated properly or because the company is not customer-focused or customer-friendly. With customer retention, that is where the key to success lies.
If, as an organisation, you invest in the relationship with your customer, you will retain your customers longer. What's more, you will see that there are opportunities yourself to sell more within your current customer base. However, this requires a serious approach to customer relations from the entire organisation. Thinking from the customer's perspective and being truly customer-friendly and customer-oriented. Not because you have to, but because you believe in it. From the salesperson to the administration, everyone must realise that they are there for the customer and thanks to the customer. That means you handle contact moments carefully. Especially the moments when the customer takes the initiative. Consider customer contacts as a valuable marketing channel and especially not as a cost.
Do you ever stand on hold for a long time at an organisation where you are a customer? Have you ever been treated rudely when you have a complaint? How do you feel when you call your internet provider because you have a fault and are told: "we are very busy at the moment, please try again later". You probably look as soon as your internet is working again to see what exactly the competitor is offering. However, had your internet supplier answered the phone immediately and made the effort to solve the fault for you, you would probably have felt fine with your current supplier. That is the power of good customer contact. That is the value of good customer contact. It can literally make or break the relationship with your customer.
That question is only relevant if you also ask yourself what it delivers. Incidentally, good customer contact does not have to cost anything extra if you really want to tackle it organisation-wide. Through process optimisation, it is possible to reduce costs and improve customer experience, about which you can find more information elsewhere on our website. So good customer contact does not have to cost anything extra, but it can generate extra income:
In short: Retaining customers is done most effectively by focusing on the customer relationship. Taking the customer relationship seriously and investing in it. In doing so, customer focus does not have to be expensive at all. The returns are higher than the costs and it offers a competitive advantage for the longer term.
We are SpangenbergGroup! And we can help you make your customer service a good customer service to make. Just good customer service where the basics are in order. Where customer contacts add value to the customer experience. We unburden you in the area we are good at (customer service) so you can concentrate worry-free on what you're good at. Sound good? Get in touch.
With over 25 years of experience in optimising customer contact and customer experience SpangenbergGroup can help you. The optimise customer service or outsource? Use the form or see our contact page.
Also with other questions about customer contact and customer service you can always contact with us!
Get in touch, we'd love to check it out with you!
