topThe Quill

January 2012 Issue
Developing a Customer Loyalty Business Plan
A Customer Driven Organization
Patriot Business Coaching

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Bob Stinson 

 

Bob Stinson

 


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Patriot Business Coaching can work with you and your leadership team to analysis your current situation and develop a customer loyalty plan.

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Greetings!

As we start the New Year, our friend Mark Sturgell reminded us of a timely parable. There are five frogs sitting on a log. frogsFour decide to jump off. How many are left? We don't know how many jumped or how many were left. Just because you decide to do something doesn't mean you do it.

In making a decision on what to accomplish during the coming year, what better objective could you have but to develop a long term profitable business. This month's Quill contains two articles which stress the importance of customers in achieving that objective.

 

 

Patriot Business Coaching
Developing a Customer Loyalty Business Plan

 

checklistPeter Drucker was quoted as saying, "The function of business is to attract and maintain customers." One should add in order to make a profit or to be financially viable. Let's suggest that within these combined statements there are three concepts to be explored:

  1. There is a distinct difference between customer loyalty and customer satisfaction.
  2. Customer loyalty depends on providing the customer with perceived value and a positive emotional experience at every point of connection.
  3. Within any profitable marketing plan there are more than the four P's (price, promotion, product/services, and place) to be considered. Customers need to get what they want and come back for more for a business to achieve long term success.
  4. Click here to continue reading this article on our blog...

 

A Customer Driven Organization

Customer DrivenIn a quest to maintain market position, business leaders are realizing that one of the areas where they can improve profits, as well as market position is by creating a customer-driven organization.

  

A customer-driven business is one that has recognized that an autocratic, top-down structure must be inverted to put the focus on the customer who is now the driving force. All of the plans and people in your organization need to be focused on the most important person-the customer. Focus is no longer on customer satisfaction. Today's focus is on exceeding customer expectations as customer service is expected.

 

Becoming a customer driven business requires the efforts of everyone pulling together with a clear focus on the vision of the organization and the mission at hand, all of which must focus on exceeding customer expectations. Your leadership must ensure that this value is articulated, which helps you create a culture that is solidly entrenched in achievement, continuous improvement, and customer focus. An organization can only survive if customers are satisfied and will thrive only if their customers are delighted which creates customer loyalty.

 

Create customer loyalty by going the extra mile for your clients. Look not to satisfy them, but to exceed their expectations. Do more than they expect and you will delight them. Word of mouth advertising is still the most powerful advertising available. Delighted customers tell others who, when delighted, will tell others and so on and so on.

 

Consistency is also important. Many businesses are very accommodating with a new customer, but tend to get lazy as times goes on. They focus on getting new business (which costs five times as much as keeping a customer) instead of revitalizing and improving existing business. As a result, they fail to maintain their service standards with existing customers. Research also shows that 70% of the customers that take their business elsewhere do so because of poor or rude service.

 

Nothing is more important to an on-going business relationship that honesty and integrity. Live up to and exceed promises made to customers!

 

Learn more about how we can help you create a customer driven organization!

 

Article written by Tammy A.S. Kohl. Kohl is President of Resource Associates Corporation. For over 30 years, RAC has specialized in business and management consulting, strategic planning, leadership development, executive coaching and youth leadership.

 

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or call us at (910)575-1286.