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Building Loyalty In 8 Magic Moments

By Malcolm Emery
Sep 4, 2009
Bingo! You've changed a one-time sale into a lifetime customer.

MAGIC MOMENT #1: Pre-planned moments when you thank a steady, solid customer who never complains, but who always brings her business back to you. These non-squeaky wheels are the most neglected customers, but the most important to your business. Plan to do something special for these customers every quarter or six months. You'd be amazed at the results of a plain vanilla thank-you letter as simple as this:

"Dear Steady Eddy:

All too often, we do business with nice people like you, and then go on without giving it a second thought, as if we'd never done business together. We would like to take a few minutes out of a busy day to personally thank you for your business.

Thanks for trusting us with your business. We know you have a choice and we're glad you continue to choose us.

MAGIC MOMENT #2: The moment your customer complains. Believe it or not (and you'd better!), your customer has done you a great favor by complaining. It's not every day that a customer will take the time to let you know what they think. If they're dissatisfied, they'll usually just disappear into the night, never to be heard from again...until they show up at your competitor's doorstep!

Complaining customers give you a chance to regain their loyalty and goodwill by "working"your customer service processes. They also help you to spot and fix problem areas in your service system.

Technical Assistance Research Programs Institute conducted a study that found that on average, 96% of unhappy customers never complain. The truth is that most customers don't like to complain - especially about little things. For every complaint heard, the average company has 26 other customers with the same problem.

An elephant never forgets and neither does a disgruntled consumer. The TARP study found that the average happy customer will talk about a pleasant experience for about 18 months. On the other hand, the average unhappy customer will remember the incident for 23 years.

How many prospects could they tell over that length of time? Don't you want to know immediately that you've got a problem with a customer? And don't you want to solve it n-o-w?

Fix your complaining customer's problem, and then let him/her know that you appreciate them as much, or even more, than other customers because of their complaint. Let them know that you appreciate that they cared enough about you to take the time to voice their opinion and give you the opportunity to correct what's wrong.

When a customer complains, think of it as a "jackpot." Look at the situation as an opportunity to make a customer for life. The most loyal customers are the ones that have been through the trenches with you and have emerged with satisfaction and delight with how you handled their unique situation.

This is critical. That's why I've created an 11-step checklist for handling customer complaints and getting maximum value from the time spent.

Use it, teach it, share it, measure it, post it, talk about it, honor it, and live it.

MAGIC MOMENT #3:

The moment one of your new customers comes back to place a second order. However big or small the order, a repeat order means a customer chose you to do business with again.

Do something to thank them for their vote of confidence.

MAGIC MOMENT #4

The moment a customer has thanked you. When someone goes out of their way to express their gratitude for something you've done, you have a tremendous opportunity to deepen and strengthen your bond by responding in kind. Send them a coupon for their next visit or a free movie pass.

Something that says, "I appreciate you, too."

MAGIC MOMENT #5

The moment one of your customers has been through a hard time because of a foul-up on your, or even their, part.

Ancient saying:
Man plans, God laughs.(The ancients must have been business people.)

Much as we wish they didn't, sometimes things go wrong. When you're at fault and your customer hangs in there with you, you have a great opportunity to go above and beyond the call of duty to express your regrets and demonstrate your commitment to their satisfaction.

When you fix the problem, take it one step further and do something extra, free of charge.

MAGIC MOMENT #6

The moment a customer needs a favor from you. There are often times that your customer wants you, needs you to go the extra mile for them, or they find themselves in a jam and they need your help.

Tell them that honoring their request is against your policy and you don't usually do these types of things, but for them you will make an exception.

MAGIC MOMENT #7

The moment you see your customer in public. Have you ever walked right by one of your customers without saying hello? This should never happen!

Can't remember your customer's name? Give yours, instead! "Hi, my name is Ms. Market; I'm the person who tripled your business three years ago. How's it going?"

MAGIC MOMENT #8

The moment your customer brings in a referral. This is GOLDEN TIME in Magic Moment-land! You have just acquired a new customer at no cost to you. You have just been given the lifetime value of a new customer for free.

Make sure your customers are aware of your gratitude and how much their endorsements mean to you. Send them a dinner for two to their favorite restaurant.

Don't let this marketing concept eat you out of house and home! You don't want to spend more on the reward than the profit you'll generate from a customer's business. A pre-loaded debit card for a local premium coffee bar may be a more appropriate 'relative' expense.
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