Deepen, Attract and Retain – efficiently
By: Sandi Verrecchia @satoriinsight
To effectively grow a business an equal amount of time needs to be focused on the three customer areas of deepening existing customers, attracting new customers and retaining existing customers. However, it is not enough to spend time and energy. The time and energy spent on each area must be efficient and drive results. Therefore time and energy should be fact based and measured.
Learn from Existing Customers
Our philosophy has always been to learn from existing customers in order to drive effective attraction and retention strategies. However, all too often, the largest part of the marketing budget is spent on external marketing efforts aimed at driving new customers through the front door. But the question to ask is “what happens when they arrive?”
To answer this question, organizations need to take an internal look at customers and processes. An organization should first look at who is dealing with them, what attracted them and why they stay. Also, organizations need to assess the processes that are in place to interact with customers. Legacy processes need to be vetted to ensure they are customer centric at every touch point and customer effort is low.
Analyze the Market with Existing Customers Top of Mind
Once an organization has a clear understanding of its customer base it can move along to developing an attraction strategy. Using internal knowledge of existing customers, it is easy to overlay external data to see if your organization has its fair share of the market as well to understand the wider market in terms of census based demographics, financial holdings and lifestyle attributes. Having fact based data on which to develop strategies and tactics provides a measurement tool to assess success.
Develop Retention Strategies that are Behaviour Based
Finally, who better to help with process/product development and refinement than existing customer? Gather intelligence and listen to customers that are providing feedback both positive and negative but ensure that the negative feedback is captured, documented and correlated to find themes across the organization. Feedback is a gift so welcome it and celebrate the learning it provides. If a customer takes the time to complain treat it as a gift. Welcome it and celebrate it but most of all dig deep and determine the root cause and the reach of the issue. Many organizations work in silos when it comes to customer complaints and as such don’t understand the reach of some of the issues that are leading to customer attrition.
Finally, customers tend to take their time when leaving. Use data to determine the trigger points that are leading up to a customer leaving and become proactive at minimizing customer attrition. In other words, understand your customer behaviour before it happens and minimize risk by reaching out and turning customers around. This must also be tracked and measured.
Create Efficiency through the DARe Approach
Taking an analytical and pragmatic approach to growth will undoubtedly create value for the organization. The approach learns from within, removes roadblocks and creates customer value. It creates a platform for attracting new, like minded customers and to diminish the effects of customer attrition.
Using DARe will effectively manage your time an priorities and create a platform for sound strategies.
CMC, CPCC, MBA
Sandi Verrecchia is a Certified Management Consultant, holds a Masters degree and is a professional Leadership Coach. With over 20 years of experience in the financial services, academic and not for profit sectors, her diverse background of consulting, operations, marketing and sales is a wonderful compliment to her passion for coaching.