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July 11, 2008
Gimme a Break
Is there anyone that is happy with their cell phone provider?
While I must admit I love the convenience of surfing the web and checking my email with my cell phone, the phone function, it primary reason for being, is woefully inadequate. It drops calls, it has too many features, overall it is pretty frustrating to use. But what is even more frustrating are the cell phone providers.
My husband has been a long and loyal subscriber. He pays his bills on-time and has been with the same cell phone company for over 5 years. Since we all know it costs more to attract new customers, you would think he would be a customer worthy of special attention.
The problem is that cell phone providers are so busy trying to attract new customers and steal subscribers from other carriers, with more lucrative contracts and the latest and greatest phones, that they leave existing customers behind. All of the offers and incentives are targeted only to new customers and contracts. Even reduced upgrades fail to compare to the deep discounts that are offered to new subscribers. Those of us that are already customers are treated as second class citizens.
They seem to feel once we have signed a 2 year agreement that we are no longer worth their time and effort. For example, my husband, broke his cell phone recently. He took it to the local retailer and was told, if only it was 2 months later they could offer him a great deal. Instead he paid $90 for a refurbished older model. I, of course, would have sat on the phone for the hours with customer service to try and negotiate a more cost effective alterantive.
Either way the customer looses. Either we have to pay more than new customers for lesser equipment or be willing to waste valuable time being frustrated and aggravated by the scripted customer service escalation process as we tell our story countless times and wait to be connected to someone that can do something about it. Was that your experience when you signed up for service? I think not.
My point? I do have one. Why reward customers you don't know instead of the ones you do. You know the old saying "a bird in hand...". Would you be willing to switch service providers, and possibly pay a higher entry fee if you saw that existing customers were provided better perks?
Innovation does not need to be something completely new. In this case it could be a different business model for an existing service and technology. Just like Netflix changed the way most of us rent movies. What is different in their model that makes it so appealing? No late fees. And for that luxury we are willing to forgo the physical experience of browsing and making a selection
BI tools help us identify, explore and validate ideas. The data can help quantify price points, enhance customer relationship management, and find new ways to solve problems.
I hope there is a Netflix out there in the cell phone market. I am ready for a change. My guess is that the next leader in the cell phone market will differentiate on customer experience.
I believe customer experience will soon become the differentiator in most industries. It is simple logic. Treat your customers well and they will continue to be your customers and grow your base.
Just another example of doing the right thing and reaping the benefits!!
Next up: airlines. Stay tuned.
Posted by Eleanor Taylor at 12:15 AM | Comments (0)
July 8, 2008
Customer Experience
Customer Experience is all the rage!
To me, it is kind of a duh-huh concept. We all know that it is much more profitable to keep the customers you have and developing strategies to increase satisfaction and brand loyalty only makes sense. So why is it so hard for companies to put into practice?
Well, as we all know, common sense is not common practice. BI can provide data to support customer experience initiatives. Collaboration is critical. Understanding unstructured data provides a more holistic view and can help identify patterns and opportunities to serve customers better.
The market is evolving, and even in an economic downturn, companies are being rewarded for their attention to customer experience. You want to increase your margins, grow your customer base, increase retention and brand loyalty? The answer is simple. Be empathetic and start thinking outside in. BI can help you make the business argument, provide insight and measure your effectiveness.
Bottom Line: Do the right thing. You will be amazed by the results!!
Posted by Eleanor Taylor at 10:45 PM | Comments (0)
