Partnering with Your Members to Strengthen Their Customer Relationships (and Yours)

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There is an intersection between your membersʼ customersʼ needs and what your members need
from your association. Do you know what member companies need from your organization to be
more successful in running/growing their businesses? Are you meeting their needs? Can their needs
be met elsewhere? Are your member companies receiving value in return for what they pay your
association?

Allen Paison, Managing Partner, Loyalty Research
Kevin McDonald, General Manager, PPG Industries Fiber Glass
Tom Dobbins, President, American Composites Manufacturers Association

Published in: Business, Education
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Partnering with Your Members to Strengthen Their Customer Relationships (and Yours)

  1. 1. Allen Paison, Managing Partner, Loyalty Research Kevin McDonald, General Manager, PPG Industries Fiber Glass Tom Dobbins, President, American Composites Manufacturers Association
  2. 2. Our Story Begins in early 2011……  PPG Industries – Fiber Glass: Launches Customer Loyalty Study with the Loyalty Research Center (LRC) And continues through the Fall, when…  American Composites Manufacturing Association Implements a Member Loyalty Study with LRC
  3. 3. Tom Dobbins, President, ACMA CMA BOD Kevin McDonald, General Manager, PPG Industries, Fiber Glass ACMA BOD PPG Industries, Fiber Glass Customers Al Paison President & CEO Loyalty Research Center (LRC)
  4. 4. PPG: ACMA: Refine PPG’S current value proposition and market positioning relative to competitors Conduct a baseline measure of member loyalty/perceptions of the association, the benefits it provides, and activities in support of the composites industry Achieve a better understanding of customer loyalty and the relationship that exists between PPG and its customers Understand members’ specific needs and service expectations Identify specific areas for improvement Understand the most important drivers of member behavior – specifically what is the key driver of loyalty to ACMA Identify our loyal and vulnerable members and understand why they fall into these segments Establish priorities for improving member relationships and increasing the number of loyal, engaged
  5. 5.  What Trade Associations Provide Its Members and…  Its Members’ Needs and…  The Members’ Customers’ Needs 
  6. 6. PPG Industries, Inc. Pittsburgh, PA 778 A global maker of paints, coatings, optical products, specialty materials, glass and fiber glass. Founded in 1883. Global sales of $15.2B in 2012 Approximately 38,000 employees. In more than 70 countries.
  7. 7. LOYALTY RESEARCH CENTER 7  Achieve a better understanding of our customers and the relationship that exists between us and them.  Refine our current value proposition and market positioning relative to our competitors.  Identify specific areas of improvement.  Survey size:  55 companies  111 individuals  Response size:  38 companies (69.09% of total)  63 individuals (56.76% of total)  Response by product type:  Yarn – 22% (9 companies)  Rovings/Fabrics – 6% (2 companies)  Direct Draw – 35% (13 companies)  Chopped Fibers – 37% (14 companies)
  8. 8. LOYALTY RESEARCH CENTER 8  Our relationship with our customers closely resembles the “typical” loyalty profile observed by Loyalty Research Center in other business-to-business programs.  According to our customers, we have strengths in these areas of our business:  Account Management  Overall Product Quality  Technical Support Services  Customer Service  Communication  We have opportunities across multiple areas of our business to improve/strengthen our relationship with our customers
  9. 9. LOYALTY RESEARCH CENTER 9  Provide consistently high quality products that meet customer demands and requirements.  Ensure fiber glass products are consistently compatible with customers’ manufacturing process.  Actions Taken  Capital spend on new equipment  Product development  Global S&OP process  Process control technology
  10. 10. LOYALTY RESEARCH CENTER 10  Provide account service support resources who have technical & industry knowledge, as well as an understanding of the customers’ business  Communicate more proactively to keep customers more informed of pricing changes, new products, product quality issues, shipment delivery changes, etc.  Provide ideas and support for growth through share gain, identifying new markets and processes and product knowledge Actions Taken  Support  Expanded the tech support team  Provided product manager training  Communication  Customer Service  On Time Delivery  Order Entry Improvements  Customer inquiry response time  Formation of a Global Customer Relationship Steering (CRS) Team  More proactive public relations/marketing communications plan  Growth  Expanded our S&T spend  Focus on our customer’s customer  Market intelligence role
  11. 11. LOYALTY RESEARCH CENTER 11  Representing the entire composites supply chain- suppliers, distributors, manufacturers  Engaging the design community, OEMs and academics  Providing education, information, advocacy, market growth and development
  12. 12. LOYALTY RESEARCH CENTER 12  “Overall, the Reputation of the association is strong with most image evaluations exceeding 70% agreement (association benchmark).  Advocacy, as the distinguishable strength of ACMA, is evaluated extremely well nearly across the board.  The service provided by staff is superb, particularly in their responsiveness to questions or information needs.”  Like PPG, we had a lot of ways that we could improve/strengthen our relationship with our members
  13. 13. LOYALTY RESEARCH CENTER 13 OpportunitiesOpportunities Actions Taken  More members wanted to see ACMA help them grow  Launched new programs, raised funding and participation in our Composites Growth Initiative  Perceived value of membership  Developed specific value proposition, quarterly accomplishments document  Educational program reason to join, but could be strengthened  Increased webinars, made changes to trade show, revamped regional conferences
  14. 14. LOYALTY RESEARCH CENTER 14 Strength Actions  Reputation  More press releases and communication to further strengthen reputation  Advocacy  Launched GA newsletter and online content  Educational Programming  New trade show, launching LMS, technical papers members only, archiving magazine content  Service  Hiring, orientation, and training on service. Engraining in culture
  15. 15.  PPG: ACMA “Intersect”: Our customers look to us to help them grow 1. Composites Growth Initiative (CGI) Committees 2. Volunteer opportunities – serve on CGI committees 3. Legislative & Regulatory advocacy Communications – are we communicating with our customers as to where we are going? Suite of communications products that inform the industry on where ACMA is going as well as where the industry and markets are going Product Knowledge: How to use, how to support our customers Trade shows, webinars, magazines, technical presentations, etc. Quality of Products Certified Composite Technician training program Consistently Performing Product Learning Management System, Technical papers
  16. 16. Tom Dobbins 703.525.0511 tdobbins@acmanet.org Kevin McDonald 412.820.8024 kmcdonald@ppg.com Al Paison 317.466.5040 apaison@loyaltyresearch.com Tracie Mrakich 317.466.5003 tmrakich@loyaltyresearch.com

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