IBF Marketing Lifecycle
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1 IBF Marketing Lifecycle 4. Customer Management Michael Stimson Or: What really hacks off your customers?
2 Build Your Buyer Persona! What are the biggest problems they are trying to solve?! What does he or she need most?! What information are they typically searching for?! What trends are influencing their business or! personal success?
3 Segment Customer Buyer Persona! In a Hotel you might have five buyer personas: 1. an independent business traveller, 2. a corporate travel manager, 3. an event planner, 4. a vacationing family, 5. and a couple planning their wedding reception.! When targeting customers, you will need to adapt your messaging to fit the needs of these different buyer personas.
4 Customer Demand a Multi-Channel Approach Source: BtoB magazine: The Emerging Role of E-Commerce in the B2B Customer Journey
5 Capture Customer Responses! Positive interest! Negative response! No response! Contact me later
6 Map Content to the Buying Cycle The attention economy: It s the reality we live in today. It s a system in which time is our most powerful and scarcest resource. Buying Cycle Awareness Research Comparison Purchase Blog Posts, Social Media Updates ebooks, Webinars, Industry Reports Case Studies, Demos, Customer Testimonials Analyst Reports, Detailed Product Information Link social media to your company blog or website.
7 Tailored Offerings! Sell the right product to the right customer at the right time! Personalized, customer-centric experiences! Consistent, unified experiences across the Web, branch, and channels! Increased operational efficiency and accuracy by allowing customers to self-serve over the Internet
8 Customer Churn Companies are offering their customers everything except what they want.
9 Reasons Why Clients Stop Buying From You! 1% die! 3% move away! 5% follow a friend or associate s advice and change! 9% change because they perceive a better value is available elsewhere! 14% change because of product or service dissatisfaction 68% of customers leave because they feel unappreciated.
10 Three categories of churn:! Account churn: Where we have lost the customer completely! Product churn: Where the customer has lowered its product profile e.g. from 5 products to 3 products! Decreased spend: Where the customer has not changed its product profile but its spending has reduced.
11 11 Opportunity Areas in Customer Lifecycle Source - KXEN
12 Managing (Reducing) Customer Churn Know Understand their business Tell them what you can do to help them Sell Manage expectations Two way communication Social networking Deliver Timely Appropriate quality Engage Intimacy Quick turnaround Renew Pro active Offer better value Project Demonstrate new products, channels, technology
13 Reducing Attrition! Most businesses, invest an enormous amount of time, effort and expense building that initial customer relationship.! Then they let that relationship go unattended, in some cases even losing interest as soon as the sale been made.! Or even worse, they abandon the customer as soon as an easily remedied problem occurs, only to have to spend another small fortune to replace that customer.
14 Cross-Sell, Up-Sell and Secure Referrals! Selling has only just begun at the time of the initial purchase decision - virtually everyone is susceptible to buyer s remorse.! To lock in that sale, and all of the referrals and repeat business that will flow from it:! allay your customers fears! demonstrate by your actions that you really care.! You should thank them and remind them again why they ve made the right decision to deal with you.
15 Reactivating Dormant Customers! 25-60% of your dormant customers will be receptive to your attempts to regenerate their business if you approach them the right way, with the right offer.! Reactivating customers who already know you and your product is one of the easiest, quickest ways to increase your revenues.! Re-contacting and reminding them of your existence, finding out why they re no longer buying, overcoming their objections and demonstrating that you still value and respect them.
16 Extraordinary Customer Service! Excellence to keep customers so satisfied that they tell others how well they were treated when doing business with you.! Moving the product or service you deliver into the realm of the extraordinary by delivering higher than expected levels of service to each and every customer.! Extraordinary service builds fortunes in repeat customers, whereas poor service will drive your customers to your competition. dedication to customer satisfaction by every employee providing immediate response no buck passing going above and beyond the call of duty consistent ontime delivery a zero-defects and errorfree-delivery process delivering what you promise before AND after the sale recruiting outstanding people to deliver your customer service
17 Measure lifetime value! There s a vast difference between the one-off profit you might make on an average sale, which ignores the bigger picture, and the total aggregate profit your average customer represents over the lifetime of their business relationship with you.! Once you recognise how much combined profit a customer represents to your business when they purchase from you again and again, over the months, years or decades, you ll realise the critical importance of taking good care of your customers.! And because you ll understand just how much time, effort and expense you can afford to invest in retaining that customer, you ll be in control of your marketing expenditure.
18 Retain More Customers: the 80:20 Rule Who are your least profitable customers? How much time and resources do they consume? Are they more effort than they are worth? Who are your core customers, and those that comprise the middle 60%? What characteristics do they have in common? Who are your top 20% or VIP clients? What characteristics do they have in common? What makes them different from your bottom 20% and your core 60% VIP customers: Predict their needs. Solve their problems. Make their life easier. Save them time
19 A complaint is a gift! 96% of dissatisfied customers don t complain. They just walk away, and you ll never know why.! That s because they often don t know how to complain, or can t be bothered, or are too frightened, or don t believe it ll make any difference.! Whilst they may not tell you what s wrong, they will certainly tell plenty of others.
20 Referral Marketing
21 Referral Marketing Plan! Set A Target: Set a clear goal with a time line. Example, 10% increase in referral business over the next 10 weeks.! Timing: Give your clients time to experience your service or product before asking for a referral.! Top 20: Identify the top 20% that are ecstatic about your business and ask them for referrals.! Client Network: Make sure their network is the type of client you want.! Win-Win: Give your clients extra service and follow-up support before asking for referrals.
22 Get More Referrals and Grow Your Business! Incentivise your customers to send you referrals! Educate your referrers. Help them understand what makes an ideal client for you. Ask your vendors/partners for personal introductions to their best clients! How many referrals does your average customer generate?! If the average customer generates one referral, their lifetime value has doubled.! Ask your clients for referrals on a regular basis! Be ready whenever a client unexpectedly tell you how happy they are! Thank People for Giving You Referrals
23 Measure Your Referral Marketing Efforts! Who are my best referral sources?! How does my referral conversion rate compare to my overall lead conversion rate?! What s the ROI for my referral system?! How can I refine my referral system for a greater ROI? Remember, a referral system won t take you far if you can t fulfil your brand promise.
24 Focus on Customer Satisfaction
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