customers for life - castle pines chamber of commerce

Pamela Herrmann, Founder

CUSTOMERSF O R L I F E

3T H I N G S Y O U C A N D O T O D A Y L O W C O S T - H I G H I M PA C T

M A N A G I N G E X P E C T AT I O N S I S H I G H LY P R O F I T A B L E

CUSTOMER EXPERIENCE

• Did you say anything to the manager? • Did you share the story with anyone you know? • Did you go online and share it?

H O W D I D Y O U R E A C T ?

DO YOU BELIEVE YOU PROVIDESUPERIOR CUSTOMER SERVICE?

DISSATISFIED CUSTOMERSHOW VOCAL ARE THEY?

96%

4%

People who speak up They’re not happy, but you wouldn’t know it

THE GREAT DIVIDE

80%BUSINESSES WHO BELIEVE

They provide superior customer service

THEIR CUSTOMERS who agree

8%

92% of businesses are losing money here!

By 2016, 89% of companies expect to compete mostly on the basis of customer

experience, versus 36% four years ago.-Gartner Technology Research

T H E 1 0 - S E C O N D S L E D G E H A M M E R

Perfect'Customer'Lifecycle'T H E P E R F E C T C U S T O M E R L I F E C Y C L E

ALL TOUCHPOINTS Phone Email Cross the threshold Open the door Land on your website Review sites

P R O S P E C T S A R E D E C I D I N G V E R Y Q U I C K LY…

• Do I like you? • Can I trust you? • Do we share the same values?

B A N K I N G I N D U S T R Y

32% of new customers will leave within the first year• Over 20% of those people leave without

conducting a single transaction • Over 50% of those people leave within the

first 100 days

4 6 % C H U R N R AT E

C E L L P H O N E I N D U S T R Y

21% of people who sign a 2-year commitment break the

contract in the first year

20% of their customers are leaving within 100 days

S O F T W A R E A S A S E R V I C E I N D U S T R Y

2 0 - 6 0 % AT T R I T I O N R AT E W O R L D W I D E A C R O S S A L L S E C T O R S E V E R Y Y E A R

Most businesses don’t know how many customers they’re losing in the first 100 days.

What’s'sad'is'that'most'

businesses'are'making'it'worse.'

N O O O O O O O O O O !

M O S T B U S I N E S S E S D O N ’ T K N O W T H E L I F E T I M E V A L U E

O F T H E I R C U S T O M E RL I F E T I M E V A L U EACQUIRE A NEW CUSTOMER

RECOVER AN EXISTING CUSTOMER

EXPLORE WAYS TO INCREASE THAT VALUE

So if you don’t know the lifetime value of your customer, you’re flying blind as to how to

increase profitability.

(This is another place where you’re leaking money)

T H E G O O D N E W S !

A few simple tweaks can have a huge impact on the bottom line

“Pamela, I’m not that creative and I wouldn’t even

know where to start.”

R E V E R S E E N G I N E E R C O N S U M E R B E H A V I O R

Y O U H A V E O N E S H O T T O G E T I T R I G H T…

T H I S I S N ’ T A K N O W L E D G E P R O B L E M …

THIS IS AN IMPLEMENTATION

PROBLEM

T H E PA R A G O N E F F E C T

A F U L LY E N G A G E D C U S T O M E R R E P R E S E N T S …

An average 23% premium in terms of share of wallet, profitability, revenue & relationship

growth compared with an average customer

A N D …Companies that engage both their customers AND their employees gain a 240% boost in performance related outcomes.

1T A K E A B A S E L I N E

I N A P R I V AT E B R O W S I N G W I N D O W

S E A R C H Y O U R B U S I N E S S N A M E

I N A P R I V AT E B R O W S I N G

W I N D O W S E A R C H Y O U R N I C H E

• Look in the local directories • All of the social networks • Local Directories • Ratings & Review Websites • Set up Google Alerts

S H A R E T H E F I N D I N G S W I T H Y O U R S T A F F

2A S S E S S H O W Y O U A N D Y O U R S T A F F

A R E S H O W I N G U P ?

T R A I N Y O U R E M P L O Y E E S T O B E C O M E G R E AT B R A N D

A M B A S S A D O R S

Stagecoach)Coffee,)Cooperstown)NY)S T A G E C O A C H C O F F E E , C O O P E R S T O W N , N Y

Matt

• He engaged me with a simple question • He was present in the conversation • He made me feel like Norm • He acknowledged my review • He reciprocated the gesture • Created loyalty in 3 transactions

W H AT D I D M AT T D O ?

• 2 referrals • A review on Trip Advisor • A lifelong customer

W H AT D I D M AT T R E C E I V E F O R H I S E F F O R T S ?

E V E R Y T O U C H P O I N T R E Q U I R E S H I G H E N G A G E M E N T

• Greeting • Acknowledging • Showing appreciation • Lead with value • Speed of response • Anticipating needs • Giving sincere and authentic thanks

• He focused on getting me the result fast • He made sure I knew the value • He asked me to think about him next time

W H AT D I D S C O T T D O ?

T H I S I S W H AT L O Y A LT Y L O O K S L I K E O N L I N E

3I D E N T I F Y T H E I N D I F F E R E N T

C U S T O M E R

T H E I N D I F F E R E N T C U S T O M E R

• They could take you or leave you • They feel no emotions towards your business • They could care less if you succeed or fail • They will never provide feedback • They are vulnerable to your competitors offerings • You don’t know who they are

Design one simple question that your employees can ask at the end

of every transaction.

“Have we provided excellent service today?”

I F Y E S , G R E AT !

Tell them reviews help you reach more customers and would they be willing to go online and provide a review?

R E V I E W S A R E P O W E R F U L I N F L U E N C E R S !

1. Ask questions & listen to understand 2. Empathize 3. Death to ego 4. Thank them 5. Let them know that their feedback helps you improve

your business, and would they be open to sharing their thoughts with a manager

I F T H E Y G I V E YO U A T E P I D R E P LY …

BONUS WHAT NO WEBSITE SHOULD BE WITHOUT

R E M A R K E T I N G T O Y O U R W E B S I T E V I S I T O R S

E M A I L M A R K E T I N G C H A L L E N G E

M A N Y S T E P S T O G E T P E O P L E T O C O M E B A C K T O Y O U R W E B S I T E

OFFER

OPT IN

MAIL SERVERSPAM/JUNK

COME BACK TO WEBSITE

CLICK ON LINK

OPEN EMAIL

CREATE A VIRTUAL LIST OF WEBSITE VISITORS

They don’t have to fill out any forms

All they have to do is show up

F A C E B O O K W E B S I T E R E T A R G E T I N G

Allows you to advertise to people who have visited your website or that have viewed specific pages on your site. • Highly targeted • Low cost • Highly effective

C U S T O M A U D I E N C E P I X E L

• You’d be nuts not to do this • Most businesses don’t know about this • It creates a competitive advantage

If you’re not remarketing to your website visitors you’re throwing money away.

1. Differentiate - Transform your customer experience 2. Know what consumers are doing online and how to

position your business on their path 3. Embrace the mobile mind shift 4. Tap into the data & understand the insights

Y O U R B U S I N E S S N E E D T O F O C U S O N 4 I M P E R AT I V E S !

Being&excellent&is&highly&profitable:&

7&out&of&10&customers&said&they&were&willing&to&spend&more&with&companies&that&provide&an&excellent&customer&experience&

.American&Express&Survey,&2011&

B E I N G E X C E L L E N T I S H I G H LY P R O F I T A B L E

Podcast

Podcast available on iTunes & soundcloud.com

www.TheParagonEffect.com/EBL

A D E E P D I V E I N T O C R E AT I N G C U S T O M E R S F O R L I F E

T H A N K Y O U !pamela@TheParagonEffect.com

720.480.7655

TWITTER: @pamherrmann