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Answer You - To Be - (Customer-Focused) or Not to Be - What a Question
Power Of PromotionStrategy making process for business existing in a particular industry involves the study of many factors in the industry. These factors, when studied together, shape up an overall context for an organization in an industry. To determine strategy for existence and profitability of an organization, the management should analyze the industry and its structure and how they change with the changing environment.Analysis of bargaining power of customers or buyers determines how much buyers can influence the demand/supply function, prices, profit margins and the quality of products. Customers can exercise such power when they are in large number or they use to buy a product in large quantities.The suppliers can exercise their bargaining power when they have large number of customers but they are fragmented. In some cases where the suppliers are aware of the fact that supplies or the input
product have no substitute, they easily demand high prices for the supplies.An industry normally exists with a number of producers producing a particular type of product for a market. Therefore an environment of competition forms between these producers and their market shares are affected with the performance of their competitors.Alternative products or ver, if you can resolve the issue “on the spot”, your customers will be impressed and in all likely-hood reward you with their continued business. Customers are willing to pay for quality service. In a series of polls we conducted last year with about 1000 course participants, we asked where would they would prefer to spend their money.Here’s what they said; Where would you prefer to spend your money? High Quality, Excellent Service, High Price 34% High Quality, Excellent Service, Low Price 36% Average Quality, Average Service, Average Price 2% Low Quality, Poor Service, Low Price 15% Non-committed 13% These results compare very favorably with research we have reviewed that suggests that the vast majority -70%, of customers are willing to pay for high quality service. Obviously price is a variable, but service is a constant. An increase in customer loyalty will have a direct positive impact on your bottom line. Harvard Business Review conducted research which reveals that a 5% increase in customer loyalty can result in a return of 25% to 125% directly to the bottom line depending on your industry. It is safe to assume that investing time and resources to retain even a small number of your clients would pay for itself. You can do the math. Be conservative and take your gross profit and increase it by 25%. The cost of poor service has a direct, negative impact on your bottom line. Consider the time and expense associated with fixing problems, dealing with customer concerns, replacing product, re-working reports, and so on. Research from TARP (Technical Assistance Research Programs) indicates t Advertinsing With Paid Blogging - A Review of Pay Per Post CompaniesThere are many online and offline ways of promoting traffic to any web site. A new form of online advertising has emerged in the form of paid blogging. Under this, advertisers use the services of bloggers to write reviews about their web site, products or services.Paid blog reviews are increasingly becoming popular now. Pay Per Post companies connect businesses and advertisers with bloggers. Businesses pay to bloggers for writing reviews about their businesses and services in their blogs.There are many good companies which are out to bring advertisers and bloggers together. The three most important websites associated with paid blogging are ReviewMe, PayPerPost and SponsoredReviews.Services offered by these three companies are unique. At ReviewMe site, advertisers choose bloggers for writing reviews for them. They judge bloggers who are members of ReviewMe and make their own selection. In this case, bloggers have to do nothing but wait for offers to come from advertisers.With PayPerPost, advertisers post their needs on that website. Bloggers see these opportunities and apply for the same. If they meet advertiser's conditions they are awarded blogging reviews.Thus, while in the case of ReviewMe, advertisers select and contact bl This is the first in a series of short articles about understanding why customer focus is strategically important, what it means to be truly customer-focused and how to create or improve customer focus in your organization. This article presents a simple business case for the strategic importance of creating greater customer focus. Many excerpts are taken from the book, That’s Customer Focus! We hope you find in interesting and helpful.Most of you will probably recognize this soliloquy from Shakespeare’s Hamlet To be, or not to be: that is the question:Whether 'tis nobler in the mind to suffer the slings and arrows of outrageous fortune, Or to take arms against a sea of troubles, And by opposing end them? To die: to sleep; No more; and by a sleep to say we end The heart-ache and the thousand natural shocks That flesh is heir to, 'tis a consummation Devoutly to be wish'd. To die, to sleep; To sleep: perchance to dream: ay, there's the rub; A popular interpretation of the speech suggests that it is a debate on suicide. Hamlet considers the attractions of death (not to be), which he refers “to a sleep”, over life (to be), where pain seems unavoidable. But in the end he decides that; his fear of possible suffering in the afterlife as opposed to the known evil that is life stops him from actively ending his existence.What has this got to do with Customer Focus? Based on the unacceptably high levels of poor or mediocre customer service, prevalent across North America and other parts of the globe, it appears that many companies seem to favor “not to be”. The evidence we have to support this view surrounds us. Everyone of you, that has taken the time to read this article, for which we thank you, has undoubtedly experienced poor or mediocre service personally if not today, than very recently. If you will allow me a little poetic license, with the first few lines of Hamlet’s immortal speech; To be Customer-Focused, or not to be Customer Focused that is the question:Whether it ‘tis better to do what is necessary to reap the benefits of being truly customer-focused Or maintain the status quo and do nothing but continue to handle customer complaints, put up with customer churn and operational inefficiencies And by doing nothing? Commit long-term corporate suicide... Customer Focus Is Not an Option!Everywhere you turn, Corporate Head Offices extol the virtues of service but when it come down to it, most of the time they are really paying accelerated lip service to this the importance of service. This is very curious, particularly when you consider the number-one reason why that small number of service leaders, you know, those few companies where the service is almost always really great, consider customer service a.k.a. customer focus to be a critical business strategy. What is the Number 1 reason you ask? Customer Focus is a Profit Strategy! This happens in a couple of ways. Truly customer-focused companies have loyal customers. Loyal Customers: - buy more,
- cost less to serve because they know your processes,
- tell you when things go wrong so you can fix the problems and
- tell their friends, family and associates about how great you are and as a result you get more customers.
Also, customer-focused companies are more productive. Employees are motivated, and perform their jobs more effectively. Re-work, duplication of effort and mistakes are significantly reduced. These all cost you money in terms of time spent, money spent, loss of productivity and loss of business. Your turnover also reduces so you keep your staff longer and don’t experience down-time, productivity losses and employee morale related issues. If you are still not convinced, consider the following:. - It’s 5 times more expensive to attract a new customer than to keep an existing one.
- About 75% will do business again if the problem is resolved to their satisfaction.
- 90 to 95% will do business again if the problem is resolved on the spot.
- Customers are willing to pay for quality service.
- An increase in customer loyalty will have a direct positive impact on your bottom line.
- The cost of poor service has a direct, negative impact on your bottom line.
Let’s examine these points in more detail. It’s 5 times more expensive to attract a new customer than to keep an existing one. It is safe to say that it is far more profitable and far less costly to keep the customers you have by building their loyalty, than it is to keep replacing them with new customers.Determining what it costs to acquire customers is a bit intangible for most people. As you can imagine, at lot goes into getting customers to walk into your place of business or call you. Advertising, merchandising, promotions, premises expense, phone systems, salaries and so on are costs associated in part with getting customers. Someone has to pay for this. Normally payment comes through the proceeds of revenue you get from the sales of your products and services. Sometimes we tend to take this for granted. Say for example, the cost to your company to acquire a customer was $500.00. If you lose that customer your investment of $500.00 is gone. What is of greater concern is that the cost to replace that one customer is now $2,500.00 (5 X $500.00). What is you lose 100 customers? That’s got to hurt your business! Research has proven that once you have a customer, your cost of keeping him/her drops dramatically over time. When you lose a customer you will inevitably incur a higher cost to replace the one you lost. Assuming your cost to acquire a customer is $250 and based on the fact that it is 5 times more expensive to acquire a new one, your new customer acquisition cost would be $1,250 for each new customer required to replace one that defected. Let’s be ultra conservation and say that you lose 20% of your customer base due to service defection, (if you are not truly customer-focused, it could be even higher), then based on the example above the annual cost to replace 20% of your customer base would be $62,500. Over five years this cost would be $312,500 and you would have turned over all your customers in that period. Can you think of any better uses for the $312,500? About 75% will do business again if the problem is resolved to their satisfaction. 90 to 95% will do business again if the problem is resolved on the spot. Since mistakes are guaranteed to happen, how you recover from these mistakes will significantly impact on whether the customer will do business with you again. It is important to note that research suggests that if you recover well, your customers will stay with you. The faster you recover, if you can resolve the issue “on the spot”, your customers will be impressed and in all likely-hood reward you with their continued business. Customers are willing to pay for quality service. In a series of polls we conducted last year with about 1000 course participants, we asked where would they would prefer to spend their money.Here’s what they said; Where would you prefer to spend your money? High Quality, Excellent Service, High Price 34% High Quality, Excellent Service, Low Price 36% Average Quality, Average Service, Average Price 2% Low Quality, Poor Service, Low Price 15% Non-committed 13% These results compare very favorably with research we have reviewed that suggests that the vast majority -70%, of customers are willing to pay for high quality service. Obviously price is a variable, but service is a constant. An increase in customer loyalty will have a direct positive impact on your bottom line. Harvard Business Review conducted research which reveals that a 5% increase in customer loyalty can result in a return of 25% to 125% directly to the bottom line depending on your industry. It is safe to assume that investing time and resources to retain even a small number of your clients would pay for itself. You can do the math. Be conservative and take your gross profit and increase it by 25%. The cost of poor service has a direct, negative impact on your bottom line. Consider the time and expense associated with fixing problems, dealing with customer concerns, replacing product, re-working reports, and so on. Research from TARP (Technical Assistance Research Programs) indicates th Are You Taking Your Inner Brat to Work?Is your inner brat taking over your job? Everyone has an inner brat. It's the part of us that's still a 2-year-old. It gets furious at the slightest inconvenience. It feels entitled to get what it wants when it wants, and complains when things don't go its way. Your inner brat not only makes you miserable, it makes work unpleasant for everyone else.Chances are this describes someone you work with. It's always easier to spot someone else's inner brat than your own. But take a moment now to reflect on yourself and answer the following questions:* Do you frequently complain that something isn't fair?* Do you get angry at least once a day?* Do you hate at least one person at work?* Have you almost quit your job on the spot because you were upset?* Are you a spreader of gossip?* Do you frequently "forget" to do work or pass on messages that other people are waiting for?If you answered yes to any of these questions, you probably don't enjoy your job very much. Research has shown that while some jobs are more stressful than others, your level of dissatisfaction has more to do with your attitude than with the job itself.For example, consider two women, Abigail and Betty, who work as nurse's aides in a hospit . Everyone of you, that has taken the time to read this article, for which we thank you, has undoubtedly experienced poor or mediocre service personally if not today, than very recently.If you will allow me a little poetic license, with the first few lines of Hamlet’s immortal speech; To be Customer-Focused, or not to be Customer Focused that is the question:Whether it ‘tis better to do what is necessary to reap the benefits of being truly customer-focused Or maintain the status quo and do nothing but continue to handle customer complaints, put up with customer churn and operational inefficiencies And by doing nothing? Commit long-term corporate suicide... Customer Focus Is Not an Option!Everywhere you turn, Corporate Head Offices extol the virtues of service but when it come down to it, most of the time they are really paying accelerated lip service to this the importance of service. This is very curious, particularly when you consider the number-one reason why that small number of service leaders, you know, those few companies where the service is almost always really great, consider customer service a.k.a. customer focus to be a critical business strategy. What is the Number 1 reason you ask? Customer Focus is a Profit Strategy! This happens in a couple of ways. Truly customer-focused companies have loyal customers. Loyal Customers: - buy more,
- cost less to serve because they know your processes,
- tell you when things go wrong so you can fix the problems and
- tell their friends, family and associates about how great you are and as a result you get more customers.
Also, customer-focused companies are more productive. Employees are motivated, and perform their jobs more effectively. Re-work, duplication of effort and mistakes are significantly reduced. These all cost you money in terms of time spent, money spent, loss of productivity and loss of business. Your turnover also reduces so you keep your staff longer and don’t experience down-time, productivity losses and employee morale related issues. If you are still not convinced, consider the following:. - It’s 5 times more expensive to attract a new customer than to keep an existing one.
- About 75% will do business again if the problem is resolved to their satisfaction.
- 90 to 95% will do business again if the problem is resolved on the spot.
- Customers are willing to pay for quality service.
- An increase in customer loyalty will have a direct positive impact on your bottom line.
- The cost of poor service has a direct, negative impact on your bottom line.
Let’s examine these points in more detail. It’s 5 times more expensive to attract a new customer than to keep an existing one. It is safe to say that it is far more profitable and far less costly to keep the customers you have by building their loyalty, than it is to keep replacing them with new customers.Determining what it costs to acquire customers is a bit intangible for most people. As you can imagine, at lot goes into getting customers to walk into your place of business or call you. Advertising, merchandising, promotions, premises expense, phone systems, salaries and so on are costs associated in part with getting customers. Someone has to pay for this. Normally payment comes through the proceeds of revenue you get from the sales of your products and services. Sometimes we tend to take this for granted. Say for example, the cost to your company to acquire a customer was $500.00. If you lose that customer your investment of $500.00 is gone. What is of greater concern is that the cost to replace that one customer is now $2,500.00 (5 X $500.00). What is you lose 100 customers? That’s got to hurt your business! Research has proven that once you have a customer, your cost of keeping him/her drops dramatically over time. When you lose a customer you will inevitably incur a higher cost to replace the one you lost. Assuming your cost to acquire a customer is $250 and based on the fact that it is 5 times more expensive to acquire a new one, your new customer acquisition cost would be $1,250 for each new customer required to replace one that defected. Let’s be ultra conservation and say that you lose 20% of your customer base due to service defection, (if you are not truly customer-focused, it could be even higher), then based on the example above the annual cost to replace 20% of your customer base would be $62,500. Over five years this cost would be $312,500 and you would have turned over all your customers in that period. Can you think of any better uses for the $312,500? About 75% will do business again if the problem is resolved to their satisfaction. 90 to 95% will do business again if the problem is resolved on the spot. Since mistakes are guaranteed to happen, how you recover from these mistakes will significantly impact on whether the customer will do business with you again. It is important to note that research suggests that if you recover well, your customers will stay with you. The faster you recover, if you can resolve the issue “on the spot”, your customers will be impressed and in all likely-hood reward you with their continued business. Customers are willing to pay for quality service. In a series of polls we conducted last year with about 1000 course participants, we asked where would they would prefer to spend their money.Here’s what they said; Where would you prefer to spend your money? High Quality, Excellent Service, High Price 34% High Quality, Excellent Service, Low Price 36% Average Quality, Average Service, Average Price 2% Low Quality, Poor Service, Low Price 15% Non-committed 13% These results compare very favorably with research we have reviewed that suggests that the vast majority -70%, of customers are willing to pay for high quality service. Obviously price is a variable, but service is a constant. An increase in customer loyalty will have a direct positive impact on your bottom line. Harvard Business Review conducted research which reveals that a 5% increase in customer loyalty can result in a return of 25% to 125% directly to the bottom line depending on your industry. It is safe to assume that investing time and resources to retain even a small number of your clients would pay for itself. You can do the math. Be conservative and take your gross profit and increase it by 25%. The cost of poor service has a direct, negative impact on your bottom line. Consider the time and expense associated with fixing problems, dealing with customer concerns, replacing product, re-working reports, and so on. Research from TARP (Technical Assistance Research Programs) indicates t Do You Have A Back Up Plan?I know a woman in her sixties. She worked for a company for a little more than a decade as an administration and office assistant for a staff of one hundred sales people, who loved her dearly. She always made sure all the faxes got to their desks; the stationery stock was full and each staff member had what he needed.Beyond her job description, she was like a mother to all of them: making sure the toilets got cleaned, old food was removed from the fridge and decorating the entire floor which the department occupied. She worked hard and never complained. She was always smiling, friendly and polite.She felt good about being a ‘mother’ to all the people who entered and left that department. She was comfortable with her position. No-one else could do the things she did. And she did them better than anyone else in the building.One day, she went to work as usual. After doing her morning chores, she was invited to the office, where she was told her services were no longer needed. The company was undergoing certain cost-cutting measures in every department and unfortunately, her role would have to be sacrificed. She was then asked to leave the building as soon as possible. She was assured, however, that before having made the decision, every attempt ompanies are more productive. Employees are motivated, and perform their jobs more effectively.Re-work, duplication of effort and mistakes are significantly reduced. These all cost you money in terms of time spent, money spent, loss of productivity and loss of business. Your turnover also reduces so you keep your staff longer and don’t experience down-time, productivity losses and employee morale related issues. If you are still not convinced, consider the following:. - It’s 5 times more expensive to attract a new customer than to keep an existing one.
- About 75% will do business again if the problem is resolved to their satisfaction.
- 90 to 95% will do business again if the problem is resolved on the spot.
- Customers are willing to pay for quality service.
- An increase in customer loyalty will have a direct positive impact on your bottom line.
- The cost of poor service has a direct, negative impact on your bottom line.
Let’s examine these points in more detail. It’s 5 times more expensive to attract a new customer than to keep an existing one. It is safe to say that it is far more profitable and far less costly to keep the customers you have by building their loyalty, than it is to keep replacing them with new customers.Determining what it costs to acquire customers is a bit intangible for most people. As you can imagine, at lot goes into getting customers to walk into your place of business or call you. Advertising, merchandising, promotions, premises expense, phone systems, salaries and so on are costs associated in part with getting customers. Someone has to pay for this. Normally payment comes through the proceeds of revenue you get from the sales of your products and services. Sometimes we tend to take this for granted. Say for example, the cost to your company to acquire a customer was $500.00. If you lose that customer your investment of $500.00 is gone. What is of greater concern is that the cost to replace that one customer is now $2,500.00 (5 X $500.00). What is you lose 100 customers? That’s got to hurt your business! Research has proven that once you have a customer, your cost of keeping him/her drops dramatically over time. When you lose a customer you will inevitably incur a higher cost to replace the one you lost. Assuming your cost to acquire a customer is $250 and based on the fact that it is 5 times more expensive to acquire a new one, your new customer acquisition cost would be $1,250 for each new customer required to replace one that defected. Let’s be ultra conservation and say that you lose 20% of your customer base due to service defection, (if you are not truly customer-focused, it could be even higher), then based on the example above the annual cost to replace 20% of your customer base would be $62,500. Over five years this cost would be $312,500 and you would have turned over all your customers in that period. Can you think of any better uses for the $312,500? About 75% will do business again if the problem is resolved to their satisfaction. 90 to 95% will do business again if the problem is resolved on the spot. Since mistakes are guaranteed to happen, how you recover from these mistakes will significantly impact on whether the customer will do business with you again. It is important to note that research suggests that if you recover well, your customers will stay with you. The faster you recover, if you can resolve the issue “on the spot”, your customers will be impressed and in all likely-hood reward you with their continued business. Customers are willing to pay for quality service. In a series of polls we conducted last year with about 1000 course participants, we asked where would they would prefer to spend their money.Here’s what they said; Where would you prefer to spend your money? High Quality, Excellent Service, High Price 34% High Quality, Excellent Service, Low Price 36% Average Quality, Average Service, Average Price 2% Low Quality, Poor Service, Low Price 15% Non-committed 13% These results compare very favorably with research we have reviewed that suggests that the vast majority -70%, of customers are willing to pay for high quality service. Obviously price is a variable, but service is a constant. An increase in customer loyalty will have a direct positive impact on your bottom line. Harvard Business Review conducted research which reveals that a 5% increase in customer loyalty can result in a return of 25% to 125% directly to the bottom line depending on your industry. It is safe to assume that investing time and resources to retain even a small number of your clients would pay for itself. You can do the math. Be conservative and take your gross profit and increase it by 25%. The cost of poor service has a direct, negative impact on your bottom line. Consider the time and expense associated with fixing problems, dealing with customer concerns, replacing product, re-working reports, and so on. Research from TARP (Technical Assistance Research Programs) indicates t Change Management Issues in Non-Profit CommitteesHave you ever been on a nonprofit committee and half way through a very important project someone dismisses them selves from the committee because they have other prior business engagements or they have other time constraints, which do not fit with the committee.Perhaps they are over extended or perhaps they are a politician running for office and now that they are elected they have to go way to do their job as a bureaucrat paper and podium pusher and become a better liar? Sometimes we find lawyers who join committees in order to get clients and network and if they do not find anybody worthy to network with to sponge money off of with their very exorbitant fees they will quit the committee.Unfortunately this leaves a gap in the committee leadership. When this occurs often not all the jobs can be done. Sometimes these changes come rapidly and unexpectedly and there is no time to get the new person who will take over the leadership ready in time.This of course causes conflicts in the nonprofit committee's mission and leads to more meetings unnecessarily. It is for this reason that nonprofit groups should take change management issues seriously in their committees and treat them as if it was the Board of Director change at a major corporatio ds of revenue you get from the sales of your products and services. Sometimes we tend to take this for granted.Say for example, the cost to your company to acquire a customer was $500.00. If you lose that customer your investment of $500.00 is gone. What is of greater concern is that the cost to replace that one customer is now $2,500.00 (5 X $500.00). What is you lose 100 customers? That’s got to hurt your business! Research has proven that once you have a customer, your cost of keeping him/her drops dramatically over time. When you lose a customer you will inevitably incur a higher cost to replace the one you lost. Assuming your cost to acquire a customer is $250 and based on the fact that it is 5 times more expensive to acquire a new one, your new customer acquisition cost would be $1,250 for each new customer required to replace one that defected. Let’s be ultra conservation and say that you lose 20% of your customer base due to service defection, (if you are not truly customer-focused, it could be even higher), then based on the example above the annual cost to replace 20% of your customer base would be $62,500. Over five years this cost would be $312,500 and you would have turned over all your customers in that period. Can you think of any better uses for the $312,500? About 75% will do business again if the problem is resolved to their satisfaction. 90 to 95% will do business again if the problem is resolved on the spot. Since mistakes are guaranteed to happen, how you recover from these mistakes will significantly impact on whether the customer will do business with you again. It is important to note that research suggests that if you recover well, your customers will stay with you. The faster you recover, if you can resolve the issue “on the spot”, your customers will be impressed and in all likely-hood reward you with their continued business. Customers are willing to pay for quality service. In a series of polls we conducted last year with about 1000 course participants, we asked where would they would prefer to spend their money.Here’s what they said; Where would you prefer to spend your money? High Quality, Excellent Service, High Price 34% High Quality, Excellent Service, Low Price 36% Average Quality, Average Service, Average Price 2% Low Quality, Poor Service, Low Price 15% Non-committed 13% These results compare very favorably with research we have reviewed that suggests that the vast majority -70%, of customers are willing to pay for high quality service. Obviously price is a variable, but service is a constant. An increase in customer loyalty will have a direct positive impact on your bottom line. Harvard Business Review conducted research which reveals that a 5% increase in customer loyalty can result in a return of 25% to 125% directly to the bottom line depending on your industry. It is safe to assume that investing time and resources to retain even a small number of your clients would pay for itself. You can do the math. Be conservative and take your gross profit and increase it by 25%. The cost of poor service has a direct, negative impact on your bottom line. Consider the time and expense associated with fixing problems, dealing with customer concerns, replacing product, re-working reports, and so on. Research from TARP (Technical Assistance Research Programs) indicates t Selecting the Right Business Coaching Course and Business CoachBusiness coaching can be very helpful in streamlining business processes, harnessing business potential, and increasing profitability. However, these can only be achieved by using the right kind of business coaching that is cost effective and does not hinder the day-to-day functioning of the business. Before selecting a business-coaching course, it is important that you spare some time for learning about the coaching facilitators, their experience, their areas of expertise, their educational qualifications and the type of coaching they are willing to provide.Although organizations such as the International Coaching Federation (ICF) do accredit commercial coaching companies, the fact is that most of these large associations are guided by their own private business agendas that concentrate on adding more and more members to their database for commercial purposes. As such, depending on just accreditation for selecting a particular business-coaching company or firm may not be the right thing to do. If you research properly, you will find numerous reputed business coaching companies that are neither accredited by the ICF nor follow its course curriculum. Accreditation organizations such as the ICF are often blamed for violating professional business standards. ver, if you can resolve the issue “on the spot”, your customers will be impressed and in all likely-hood reward you with their continued business. Customers are willing to pay for quality service. In a series of polls we conducted last year with about 1000 course participants, we asked where would they would prefer to spend their money.Here’s what they said; Where would you prefer to spend your money? High Quality, Excellent Service, High Price 34% High Quality, Excellent Service, Low Price 36% Average Quality, Average Service, Average Price 2% Low Quality, Poor Service, Low Price 15% Non-committed 13% These results compare very favorably with research we have reviewed that suggests that the vast majority -70%, of customers are willing to pay for high quality service. Obviously price is a variable, but service is a constant. An increase in customer loyalty will have a direct positive impact on your bottom line. Harvard Business Review conducted research which reveals that a 5% increase in customer loyalty can result in a return of 25% to 125% directly to the bottom line depending on your industry. It is safe to assume that investing time and resources to retain even a small number of your clients would pay for itself. You can do the math. Be conservative and take your gross profit and increase it by 25%. The cost of poor service has a direct, negative impact on your bottom line. Consider the time and expense associated with fixing problems, dealing with customer concerns, replacing product, re-working reports, and so on. Research from TARP (Technical Assistance Research Programs) indicates that, based on your industry, the cost can be significant.The Cost of Poor Quality Service Manufacturing Industry 20% - 25% of sales revenue Service Industry 30% - 35% of overhead costs Pick one of these two and do the calculation. Wouldn’t you like to have this as profit, rather than as an expense? To quote our friend Hamlet once again To sleep: perchance to dream: ay, there's the rub;
In today’s highly competitive market place we really cannot afford to take the easy way out. Creating customer focus takes commitment, at all levels of your organization, a comprehensive strategy which targets leveraged actions which will positively impact customer perception, and the will, fortitude and financial support to make the changes necessary to be truly Customer-Focused. Your customers will reward you if you choose to become a truly customer-focused organization.
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