A customer relationship should be your goal...(continued from crm system)
....70% of customers that left a business did so because they felt like they simply weren’t appreciated and that the merchant simply did not care if they were coming into their store or not.
Matter of fact, that was the strongest of the 6 responses that they received. Only 14% of the customers surveyed, left a company because of product dissatisfaction and only 9% left due to price.
That means that 7 out of 10 customers that quit visiting your store, on average, are doing so because they simply don’t feel anybody really cares if they come back or not.
If you don’t take steps to make your customers loyal and ensure their loyalty, your competition will and they will be taking the sales that should have belonged to you.
Let’s look at this case study by Ankesh Kothari of how building a customer relationship can take your business from obscurity to making huge profits, even within a crowded market…
Changing the fashion game
Even if you read all the fashion magazines, chances are, you haven’t heard about a seven-year-old fashion label named Theory. Theory is not some obscure company started in a basement.
It has 9 stores worldwide and generates sales of more than 200 million dollars! Theory does no advertising. They stay out of fashion magazines. They don’t conduct any runway shows. They don’t hire any famous fashion designers.
Yet they generate loads of cash! Sales are expected to increase to 300 million dollars by the end of this year.
What does Theory do to generate these many sales?
Andrew Rosen, the co-founder says that women get more excited when they discover something on their own and thus end up spending more.
Theory chooses a retail outlet with care. All of its 9 stores are situated in very good locations. Theory doesn’t try to follow trends. They don’t try to dictate style.
Rather they create clothes that they believe will be wearable for years to come. They make certain pairs of pants season after season consistently. By looking out for evergreen trends, they keep their costs at a minimum too.
They hire great sales personnel. Their sales reps learn everything about their best customers. They remember their names, their habits and even what they do in their free time. And armed with this knowledge, the sales reps can better help the customers to make choices....
We don’t like to be sold, we like to buy, and we buy from those that appreciate our business. So let’s give your customers reasons to buy from you.
With that being said, let’s take a look at some of the ways to build a customer relationship through:
These techniques not only will have a flood of customers wanting to do business with you, they will create a customer relationship that will turn your customers into walking billboards for your company.
“I would recommend this program to absolutely anyone because it has definitely created loyalty! There is so much competition in larger cities and when we opened our second location in Burlington, IA we needed to do something to set our bakery apart. I can think off the top of my head at least 15 customers who eat here 4 days a week just because of the card, where as before they would come only once a week. It has really worked well for us and has created a word-of-mouth to where we don’t even have to “sell” it anymore. It has been a win-win for both our business and our customers.”
* Martha Wolf
The Ivy Bake Shoppe & Café