Be Different or be dead

June 30, 2014

Why ‘buying’ customers is a really bad growth strategy

Source: Pexels

Why ‘buying’ customers is a really bad growth strategy. There’s no such thing as low hanging fruit.

A business plan based on buying a customer base is flawed.

When companies develop their growth plan, they are very tempted to consider an acquisition as a fast-and-easy option.

After all, if you want to grow revenues by $10 million over the next 24 months, why not buy a customer base that would yield that amount?

Buying customers may appear like low hanging fruit to achieve your growth intentions but it isn’t.

On paper, a merger or acquisition might look like it was made in heaven but it rarely is.

The synergies cited and the common denominator between the two organizations often understate or mask the real challenges facing the marriage.

Integrating a new organization into an exiting one is not easy.

Culture, operations, policy, systems and procedures differences make the combination anything but seamless and the acquired customers are often affected.

The difficulties in merging the entities are visible to them; their service is impacted and their loyalty wanes. There is no guarantee they will remain after the dust from the merge settles.

The intended growth plan is not realized.

There is no low hanging fruit when it comes to growing your customer base

Nurture and expand your existing customer base; those current customers who are with you because they know you and care about what you do.

Provide them with more personal solutions; packages of value that will excite them and motivate them to spread your word to others.

Build your business plan around organic growth; shopping for new ones is a risk you may want to avoid.

It is a more certain future for you.

Cheers,
Roy
Check out my BE DiFFERENT or be dead Book Series

• Posted 6.30.14 at 03:24 am by Roy Osing
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June 9, 2014

Why amazing customer experiences needs a responsible executive leader

Source: Unsplash

Why amazing customer experiences needs a responsible executive leader.

Most organizations continue to be product and service focused; they flog, or push products at their customers.

They push what they produce or supply at you. They claim their stuff is the best value at the cheapest price.

Research has proven conclusively that people get more long term gratification when they spend their money on experiences.

A family vacation. A Zip-line ride. Fishing off the beach with the grandchildren. A 4-hour snorkelling adventure. A movie with someone you love.

Sure, a new SUV is exciting at first but it doesn’t take long before it becomes a used car.

With customer gratification and happiness comes loyalty, which means that organizations must focus on experience creation if they want to stand-out from the competition and thrive.

A number of companies are waking up to the importance of experiences to their overall marketing program by appointing a Chief Experience Officer (CXO) to be accountable for the creation of “memorable moments” for their customers.

Marriott is one example. Their “EVP, Chief Resort Experience Officer Marriott Vacation Club International” sets the tone for what’s important to Marriott and what customer success looks like.

The CXO works across the organization to ensure that all functions work synergistically to provide a seamless dazzling experience for the customer. Not an easy task to be sure but one that is critically important to move the focus away from flogging products and services.

Dip your toe in the experience pool.

Declare that experiences are your end game.

Establish accountability at the most senior level in your organization.

Do it now.

Cheers,
Roy
Check out my BE DiFFERENT or be dead Book Series

• Posted 6.9.14 at 03:01 am by Roy Osing
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