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The Truth about Generating Customer Referrals

You're likely aware that volumes have been written about how to grow your business through customer referrals. Most strategies focus on customers providing names for you to contact. I've talked about the flaws of this approach in other 30-second tips. For today's tip, my point about referrals is simply this: 'If customers aren't referring you it means your service is not remarkable.'  I mean REMARKable - literally.   Customers need to first notice your service, then talk about it. The problem is many customers are so focused on themselves that most of our services go unnoticed. That doesn't mean you need to jump through hoops for attention. It does mean you need to communicate differently. Contrast asking a customer, 'Do you want us to drop it off?' vs. 'Would it be helpful if we dropped it off for you?'  Same offer - different words.   The second however, is more likely to generate referrals.

A Truth that may Shock You

As you plan strategies for growing your business, consider this shocking irony of marketing. The people and organizations that need your services the most are often the last ones you should be targeting. For example, people who live paycheck to paycheck would benefit by engaging a professional financial planner. Unfortunately, they may be financially strapped because they choose to buy lottery tickets instead of putting that same money into an RSP. As a financial planner, you'd be better off targeting higher net-worth individuals who use financial planners; focusing those who sense they are not getting enough attention from their current planner. That's why - when you're talking with an ideal potential client - less of your message needs to be about your product and service benefits. And more of your message should be focused on what makes your services different than others in your industry.

Can I Speak with the Manager?

As a manager who sometimes deals directly with customers, are you too popular? Do customers, phoning with minor questions, often ask to speak with you directly - even though your frontline staff could take care of them? While it's flattering to be in demand as a manager or business owner, it's a poor allocation of resources. The challenge is how to get your customers to willingly opt to deal with frontline employees. My suggestion - have the employee say to the caller, 'Pat isn't available right now. If you'd like to leave a message she typically returns calls at the end of the day. Or perhaps there's something I can help you with right now?' Also a tip from my call centre seminars - ensure the employee enunciates (crispens consonants and rounds-out vowels) and speaks with a slightly lower pitch. That way, customers sense they're already dealing with an intelligent competent person.

REDUCE CUSTOMER CONFLICTS

Register today for our 30 – second Trusted Advisor tips and receive as a bonus 15 Phrases that Pay for dealing with stressed and rushed customers.