Are you Bothering Customers?
Here's an interesting tidbit that may change the way you interact with customers. I interviewed a respected manager about things she's learned over years of running her business. (When I speak for various groups I typically interview a few of the group leaders in advance to get their input). She told me she wished she had realized sooner that following-up with potential customers a few days after they first contact you is not bothering them. You're doing them a favour. Unfortunately, we often avoid following-up for fear of being considered a pest. The truth is customers may have every intention of contacting you anyway, but they have a full inbox and are distracted. Next time you're wondering if you should contact the customer, go ahead and phone. You're not being bothersome; you're being helpful.
Why did you leave us?
You already know how much more profitable it is to keep existing customers than trying to find new ones. Here then is an easy tip to help increase customer retention and profits. Simply call customers who no longer do business with you and ask them why they left. Your goal is not to convince them to come back. Instead, you're trying to find out how your company may have missed the mark so you can prevent other customers from leaving for the same reasons. Keep in mind that some customers won't want to hurt your feelings, so consider having a third person make the call. You'll be surprised at how often they didn't leave over price; but because of some other miss-step. Bottom line - you'll get a better ROI moving some of your marketing resources away from chasing new customers and towards finding out why some customers defected in the first place
3 Keys to Recovering from Customer Service Foul-ups
No matter how conscientious you are, sooner or later customer service foul-ups will happen. These may be weather delays, supplier quality issues, or simple human error. When things go sideways, here are 3 keys to reducing stress and keeping customers:
- Own-it - don't blame other departments, suppliers, or your co-workers. You represent your company so take responsibility with words like, 'This was our mistake.' Customers know that you personally may not be to blame, but they respect the fact that you're taking responsibility.
- Empathize - use empathic statements like, 'This sounds frustrating.'
- Apologize - say, 'I'm sorry.' Even if the problem was due to weather delays, customers appreciate that someone - anyone - has expressed that they're sorry it happened.
As I explain in my seminars, if the problem was indeed your fault, then also give customers something for the inconvenience. That way, they'll become even more loyal than before the problem occurred.
Word your message positively
When giving information or instructions to customers or coworkers, take a lesson from Lifeguards - focus on the positive. If, while at a swimming pool, a youngster starts running on the deck, the savvy Lifeguard won't say, 'Stop running!' Instead, she'll say, 'Walk please!' When dealing with customers rather than saying, 'We won't be able to deliver until the weekend,'instead say, 'we can have it for you as early as this weekend.' Same information but it's likely to be better received when offered as a positive.
My Pleasure
To improve the impression you make upon customers, coworkers, or anyone, use these two words more often. When someone thanks you for something, rather than responding with the standard, 'you're welcome', 'yup' or worse, 'uh-huh', look the person in the eye, smile and say, 'my pleasure.'Saying 'my pleasure' takes no more time or energy than the other responses, yet it makes you sound like you are much more positive and willing to help.
No one likes a know-it-all
Here's a dead giveaway as to whether you're dealing with an amateur sales person or a professional. Amateurs feel pressured to be experts in everything- not just the products or service they're selling. Professionals, on the other hand, are quick to admit ignorance about anything they're not absolutely sure about, be it weather forecasts, sports scores or the latest news. Saying 'I don't know' to a customer sends the message that you are honest and don't fake-it. That goes a long way towards generating our first and most important sale - trust.
Make savings sound better
When offering your customers any kind of a quantity discount, you'll get better results when you choose the right wording. Example: 'If you were to buy these widgets individually the price would total two hundred and eighty-seven dollars. As a package though, you get the whole set for two fifty-five.' The second number sounds much lower because a) the second and third digits are both lower than those of the initial number. And b) the package number is expressed without using the words: 'hundred', 'and', or 'dollars.'
One Call Worth Making
As you explore ways to grow your business, often the first tactic is to approach potential customers who aren't aware of you. That's the last thing you should do. People who haven't heard of you may have no need or desire for your types of offerings. As I point out in my presentations, a sale only begins when a customer perceives a need. You'd be better off reconnecting with people who contacted you in the past about your services, but who chose to go with another supplier. The key is to do two things when you reconnect: 1. Point out up-front that last time it 'wasn't a fit'. 2. Explain how your offerings have improved. That's it. Since time has passed, the proverbial honeymoon may now be over with the other supplier. And you're demonstrating that your company is innovative and that you follow-up. Not bad for one call.
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.