Ma. Merdekah Ybanez-Delid

Loyal Customers Are Not Always Good

comments 0 comments  |  1990 reads

Does this scenario happen? Yes it does.

Over at Harvard Business blogs, Conversation Starter writers, Timothy Keiningham and Lerzan Aksoy, share instances when customer loyalty is a bad thing.

* when customers are loyal to you because you have compromised the price of your products and services
* when customers demand an excessive amount of service, but are unwilling to pay fairly

Read more…

The article actually makes me think of the other side of customer loyalty. It can be a tricky thing.

How to ensure that loyal customers are oiling your business machine

* Establish some criteria for loyal customers and see if you have been following them.
* Examine your customer base and determine if what you consider as loyal customers are actually helping drive your organization.
* Analyze your loyalty programs and see if they are compromising your business through price deals and exchange policies.
* See if your business has been giving in to excessive demands and complaints from your supposed loyal customers. In the book, Strategic Customer Service, it says there that “solving the problem only for customers who complain can be a dangerous thing.”
* Find a way to convert your profitable customers into loyal customers.


Ma. Merdekah Ybanez-Delid

Categories:
5
Average: 5 (1 vote)
 

0 comments »

Post new comment

The content of this field is kept private and will not be shown publicly.
CAPTCHA

No spam permitted! Moderator reviews ALL content before publication to ensure compliance with the CustomerThink terms of use.

To block automated spam submissions, please answer this question.

Image CAPTCHA
Enter the characters shown in the image.

MarketPlace

Drive customer loyalty, empower support teams, and reduce costs. Get social.

[Feb 22] Guest speakers from Forrester Research, Allscripts, and CustomerThink will discuss market trends and research on social customer service strategies, as well as proven tactics from the trenches. Join the live webcast on Feb 22 at 10am Pacific (1pm EST).

Global Customer Experience Management (CEM) Certification Program

[March 13-14, Paris] An internationally recognized program with proven track record of success - being run for 33 times in 13 cities with attendees from 50 countries, the program is developed based on the U.S. patent-pending Branded CEM Method which aims to drive customer loyalty and brand differentiation with quantifiable business results. Limited offer: USD300 early bird discount.

10 Steps to a Single Customer View

Linking customer data across department databases and business units improves business intelligence, customer profiling, and customer management. This paper outlines 10 steps to improve the quality of customer contact data, including physical mail, email, and telephone information.

Featured Links

Salesforce CRM

The leader in customer relationship management and cloud computing.

Strategic Roadmap for Digital Marketing

Free e-book (no reg required). 15 articles by digital marketing thought leaders.

CEM Training and Certification

Patent-pending methodologies combine the art and science of Customer Experience Management.

Get your event or resource listed in the MarketPlace, reaching 200,000 business leaders monthly.
For more information, contact CustomerThink advertising sales.