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Welcome! I am Tom, your host: blogging about entrepreneurship and making great things. [more]
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Dysfunctional Relationships
HOW IS THIS for corporate honesty:
Our Customer Relationships are Dysfunctional’ Admit a Majority of Executives in Strativity CEM Study
ohhh … kay.
Excerpt:
“Respondents honestly admitted that they are selling commodities and that their core value proposition does not merit customer loyalty,” stated Lior Arussy, company founder and author of “Passionate & Profitable” (Wiley, 2005). “Such an admission should serve as a wake up call to every executive to reexamine their core value propositions and ability to deliver differentiated customer experiences.”
Results Highlights
- 60% of senior executives claim they do not deserve their customers’ loyalty
- 51% of respondents claim that their company does not deliver unique and beneficial products or services
- 56% agree that their company’s products or services are worth the price they charge
- 34% affirm that they have the tools and authority to serve their customers
- 75% do not know the cost of a new customer
Note the first and second bullet. Companies are waking up to the fact that whatever they produce is hardly so “unique and beneficial” as to warrant customer loyalty. We’re inching towards perfect competition. What really deserves more attention, and what the study painfully missed, is that it’s not about financials – though it really makes sense to at least know the cost of a new customer (smirk) – but rather creating experiences that extend beyond the actual product or service benefits. We’ll be covering this in the posts to come.
(via CRM Mastery E-Journal)
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