Best selling author Jeffrey Gitomer says "Customer Satisfaction is Worthless, Customer Loyalty is Priceless." What does he mean? I think that satisfaction is the minimum standard you should accept. You should be attempting to get customer loyalty. Gitomer defines a satisfied customer as "One that felt OK about de
aling with you. Their needs were met. The product was OK. The service was OK. The experience was OK. They are satisfied (happy) with their purchase. They may not talk about the experience. They may or may not refer someone to you. Their overall feeling about you is between neutral and positive, and their experiences with you have not been negative. Not bad --but not great.
aling with you. Their needs were met. The product was OK. The service was OK. The experience was OK. They are satisfied (happy) with their purchase. They may not talk about the experience. They may or may not refer someone to you. Their overall feeling about you is between neutral and positive, and their experiences with you have not been negative. Not bad --but not great. He defines a loyal customer as "One who feels GREAT about dealing with you. Their needs were met and/or exceeded. Your delivery was GREAT. The service was GREAT. The experience was GREAT. They are ecstatic with their purchase. They will proactively talk about the experience. They will proactively refer someone to you. Their overall feeling about you is wonderful and their experiences with you have been memorable. WOW!
I don't know about you, but I would much rather have loyal customers out on the streets working as a marketing and sales department for me. What is the absolute best form of advertising? Customer referrals and word of mouth advertising initiated by your loyal customers.
Here are some statistics about customer service:
- A typical dissatisfied customer will tell 6-10 people about the problem.
- A typical satisfied customer will tell 1-2 people.
- It costs 6 times more to attract a new customer than it does to keep an old one.
- Of those customers who quit, 68% do so because of an attitude of indifference by the company or a specific individual.
- About 7 of 10 complaining customers will do business with you again if you resolve the complaint in their favor.
- If you resolve a complaint on the spot, 95% of customers will do business with you again.
Source of Statistics: The NACD Leadership Series

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