What the customer wants you to knowPresentation Transcript
What do you think about this ?
A person or organization who uses the product or services we provide.
… .only customers judge quality; all other judgments are essentially irrelevant Our greatest asset is the customer! Treat each customer as if they are the only one! LAURICE LEITAO
All People Have Needs and Wants.
Needs and Wants Change. As you go through life, needs/wants may change or become less important. In high school you might want a backpack. When you get older, the professional image of a briefcase is desired.
Many Factors Cause Needs/Wants to Change. Age Educational level Marital status Income level Parenthood
Many Factors Cause Needs/Wants to Change. Place of residence Influence of friends and relatives Culture Seasons of the year Economic conditions
Is Selling like this ……?
Why Customer so important ????
Value for the Money
Customer Needs Diversification
Demand for better service capabilities
1. Global Competition 2. Low Profitability 4. Customers Needs Change 3. Technology Improvement Proliferation of Competition Convergence of Technologies Erosion of Monopoly Increased Sophistication
Internet & e-Commerce
Supply Channel Interaction
New Business Model
Supply exceeding Demand
Dramatic Global Shift
Why is Customer Important ???? 1960s 1970s 1980s 1990s 2000s 2010s 1 Reduce Costs 2 Leverage Investments 3 Enhance Products & Services 4 Enhance Executive Decision Making 5 Reach the Customer 6 Participate in Global Village 2020s Today we face the 5 th wave of innovation
Why are Customer Initiatives Important ? 1960s 1970s 1980s 1990s 2000s 2010s Reduce Costs 2 Leverage Investments 3 Enhance Products & Services 4 Enhance Executive Decision Making 5 Reach the Customer 6 Participate in Global Village 2020s 1 Optimize Resources & Minimize Costs Increase Revenue Remain In Business Customer Initiatives Decision Support Initiatives Operational Initiatives Financial Initiatives
Why are consumers willing to pay $ 4.50 for a cup of coffee?
Who are Starbucks’ target markets?
What is the marketing
Starbucks wants to convey?
Why has Starbucks
Consumer buying behavior- key questions
Adoption Styles 0 5 10 15 20 25 30 35 40 45 Innovators Early Adopters Early Majority Late Majority Late Adopters % 2.1% 13.5% 34% 34% 16.4% Percentage of population types of adoption : Time of Adoption of Innovation
Goal of Adoption Process Awareness Interest Evaluation Trial Repeat Usage Advocacy Usage Unawareness To understand how to increase customer in Ladder of Adoption
Value Creation Selling
Devote large amounts of time and energy
Understand how your customers do business and how you can help them improve that business
Know not only your customers but also your customers’ customers
recognize that the execution of this new approach will require much longer cycle times to produce an order and generate revenue
Where would you place your utility/energy company? Are You Here? Here? Or Here? Discount Your Customers Focus on Core Customer Service Focus on Caring Customer Service Acknowledge - Appreciate - Affirm - Assure Customer Grade Outstanding A Exceeds B Satisfactory C Unsatisfactory D Failing F Impatient - Rude - Sarcastic - Ignore - Blame Others Provide Basic Products, Programs, Services
How Is A Customer Delighted? Expectations Customer attitudes which form a framework for judging performance. Quality A bundle of tangibles and intangibles a customer takes into account when evaluating the experience Value The quality of an experience as perceived by the customer and related to its cost Utility Touch Point Experience The point at which the customer interacts or touches the organization. Satisfaction The measure reflecting a customers experience against their expectations. Delight A condition in which experience exceeds expectations.
Customers Value Package Environmental - the physical setting in which the customer experiences the delivery of the product. Aesthetic - any sensory experience that affects the perception of value (flavor, visual appeal, smell, temperature, music, sound levels). Interpersonal - the customers’ experience or human interaction with those who deliver the product or service. Deliverable - anything of which the customer takes custody, even temporarily. Procedural - what an individual must go through to function as a customer (waiting in lines, filling out forms, visiting numerous facilities). Informational - the information a person needs to function as a customer (where to go, who to contact, payment amount, office hours). Financial - what the customer pays for the total experience, as well as the nature of the financial interaction.
Categorize and Target Customers Customer Value Is High Customer Value Is Low Customer Loyalty Is Low Customer Loyalty Is High
Know The Customer and Make It Known
Perform to Customer Value Package
Exceed Customer Expectations
Support Multiple Channels
Remember to Sell
Migrate to Digital Channels Where Greatest Results Are Achieved
Convert Customer e.g. Current customer – profitable – receiving service from another provider Monitor Customer e.g. New customer – potential future profitability Upgrade Customer e.g Current customer – was profitable – now strong advocate Retain Customer e.g. Current customer - profitable
Why are sales process broken ?
More often interact with the purchasing department
All about price
Training materials about not willing to be rejected, not subject to pressure, does not compromise on the price
Change the incentive system
Not involved in the design firm offer
Sales force is reorganized to better focus on the customer
Focus in internal
Do not care about the customer from the customer
Management believes they have been doing well
October 26, 2006
How to improve the sales process is broken ? Conducting the sales is not the target but merely symptoms of a successful communication
How to become partner with your customer ?
Knowing customer needs
Target and priority of customer
Barrier competitive customer
How to become a trusted partner of the customer
Customer opportunities and anatomical information dynamics of competition
Customers of customers and competitors customers
Corporate culture, psychology, and the dominant force on the company's customers
How to make decisions on customer organization customer's goals and priorities, both short and long term, clearly and specifically
How well do you know your target customer? Who What When Where Why How Use the people at your table to help you!
B2B – Are you targeting specific industries, geographies or functional roles?
B2C – Are you targeting specific demographic or psychographic segments?
Are there primary targets as well as influencers that should be considered?
Are the needs of your target segment aligned with what you’re selling?
Do the features that differentiate your service matter to the target audience?
What do you expect those needs to be in the future?
When in the purchase cycle are services introduced to the target client?
Are there specific catalysts that drive customers to seek you out?
Are competitors exploiting gaps in your coverage of the sales cycle?
Are you approaching customers in the manner and location that aligns with their decision-making processes?
Are your channels aligned with the target customer’s needs?
Is your service the best use of the client’s dollar right now relative to competing priorities?
Why is your company the best choice for them in this category?
Do you have unique capabilities/assets that matter to your target audience?
Are capability gaps impairing your ability to execute?
How does your organization achieve alignment to focus on these capabilities?
Knowing customers’ needs, wants, and motives lets you tailor your presentation to each customer.
Five steps to make your business (more) customer-centric Based on experience acquired by working with #1 Understand it’s a mindshift game #2 Show them the money #3 Make the customer voice actionable #4 Pick your battles carefully #5 Build a movement (...)
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