Thursday, March 31, 2011

Why Do Customers Leave A Company?

According to one survey, 1% leave because of death; 3% move out of the area; 6% are recommended to another business by a friend (I think this is dramatically changing as a result of Social Media); 8% are drawn away by the competition and 14% leave because of poor quality. If you add this up it represents only 32% of customers. Where do we lose the other 68%?

68% of customers leave due to perceived indifference!

It's shocking that this feeling factor is 68% of the reason customers leave a business. It's amazing to me that one of the top goals of any business is to consistently do those "little" things that help customers feel good (valued!) in the process of the business transaction. A smile, respect, remembering the customer's name, thoughtfulness, a sense of humor, a kind touch or greeting, a cheerful attitude are probably the most important factors in the survival of your business. And that's service - helping customers feel good in the process of the business transaction. Sad that because these things are simple and "common sense" we often forget how important they are. Nothing is more exciting to me than helping employees recapture the importance of this concept.

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