Achieving customer loyalty is well known to be a long term driver of company success and value but how do you do it? If you have already acquired a customer there are 3 important steps to achieving customer loyalty. [Read more…]
Customer retention takes place as soon as you get a new customer. Ensuring that service is attentive and appropriate and knowing that your sales team can ensure a high rate of renewals is key. This series of blog posts explores both.
CEOs and CFOs take a liking to seeing numbers; especially profitability numbers. So if you can’t speak their language and convert your project or proposal into numbers that talk to them; you can pretty much bet your chances of having it approved are slim to none.
Fortunately, there’s a great approach that allows you to provide the facts you can take to your CEO or CFO; the Return on Customer Investment. It’s a business approach that looks at all of your customer focused investments and puts hard return on investment facts behind them. [Read more…]
There are many different bank customer retention strategies but to maximize their effectiveness you need to match them with their position in the customer life-cycle.
The life cycle is shown below, along with the value that different types of customers contribute to the business at different parts of the cycle.
Many companies would like to improve their customer retention but are unsure how to make the changes in their business to improve this important profit lever.
Identify Customer Retention Drivers
The first step in implementing customer retention programs is to identify the customer retention drivers. Without first identifying the retention drivers you run the risk of blindly implementing a range of programs which may or may not impact customer retention.
So let’s go back to basics and identify some of the retention related drivers that are going to support the achievement of greater profits for your company. [Read more…]
I am often asked,
What is the best way to develop and implement strategies to increase customer value?
1. Sales: Increase per customer sales
In short, sell more to your existing customers. The most common tactics used here are the basics of cross-sell and upsell. Both of these are good approaches. However, there is a tendency for companies to over use them. This can result in a negative impact on customer relationships.
There are a wide a variety of other strategies that can be used, many ways to implement them, and little need to just focus on cross and up-sell. [Read more…]