Focus On Growing Customer Share – Best Bet In A Down Economy
With customers rethinking spending decisions across the socio-economic spectrum, increasing customer share (the amount of business you do with existing customers) is an important strategic consideration. Acquiring new customers costs 5-10 times more than keeping existing customers. A strong base of satisfied customers generates referrals and favorable brand equity, which are both important competitive advantages – especially in tough economic times.
Price is not the leading factor in purchase decision making — trust and recognition are. People buy when they trust they’re going to get what they want. Customer service touches a spectrum of qualitative and emotive buttons that are important to your customers.
So, how do you grow customer share? With timely personalized service. Service is a key differentiator and value generator for businesses. Service excellence makes customers more likely to buy from you, buy repeatedly, and tell someone how great they think you are. Service is the ultimate relationship glue that binds customers to you. And it a powerful tool to turn around lagging sales.
