Exploring how your customers relate to you


The consumer’s relationship system

Are your customers relating to you at all? Are you relating with them? Or are you on the verge of a stand-off? Endless books have been written about customer relationship management (CRM), but you may find it more worthwhile to spend a few moments thinking about it as a human being, and to forget the jargon. Think, also, about what you are saying about yourself: ‘viral marketing’ is one of the current buzzwords, but do you really want your brand to be regarded as a virus? Just be sure you mean what you say.

Deepening the relationship

How are Internet relationships developed? In much the same way as in real life. People need to know who you are and what to expect of you (a process which kicks off from the moment you’re introduced). In fact, the person’s direct experience becomes even more important when buying online, as many of the physical cues for reassurance are lacking. Relationships are built up over time; they depend on shared values, shared experiences and shared memories.

Because the Internet is new and not yet taken for granted, the purchase is always a conscious ‘experience’. This means that the service and relationship elements of the deal are particularly important. Your direct dealings with the customer are always your most powerful form of communication. Thus, weak service systems (for example a stroppy representative at the call centre) can easily invalidate the perceived benefits which your advertising campaign had worked to hard to build. Your recovery systems need to be watertight in order to offset any negative experience with a more positive one. If you don’t understand that your customers are in charge, you may find yourself losing those customers fast. Even worse, they may decide to take their revenge by bad mouthing you. Ideally, you will be able to manage your customer relationships so that they deepen throughout the following four stages:

Awareness/Acquisition

When and where are the relevant times and places that people will come into contact with your brand? Will they recognise you? Do you need to create some form of introduction reminder – for example point-of-sale materials which link to the advertising style or idea? Does the packaging link to the brand personality and look?

You need to be remembered – but how do you want to be remembered? At the moment, many online brands seem to think that wearing bright colours and ‘shouting’ at people is the best way. But although this strategy may indeed be effective in terms of pure awareness, will people ever want to spend time with you as a brand?

Think about your personality – if your brand were a person, how would he/she behave when introduced to someone? Does your name give people clues as to what to expect?

Trying out: experiencing/on trial

The initial experience of your brand is critically important. You need to be able to deliver the promise. If something goes wrong, your recovery systems need to be in place. And if things go badly wrong, go back to older technology and try to talk with the person direct. Ideally, the founder does the calling: Richard Branson still gets on the phone to customers who have had problems – and this personal involvement makes an immense difference to people.

Experiencing the brand more often

This is all about deepening the relationship, being a brand that is valued by people. Think carefully about cross-selling and incentives. Additional revenue may be all you want, but what is the benefit to your customer? Should they be grateful to you, or should you be grateful to them? We rarely hear much about a company’s gratitude; maybe it would make a difference.

The idea that ‘the customer is king’ is often replayed, but most customers feel that they’re only treated as kings when they’re spending like kings. They would like to be treated as the master, with the brand as servant – but rarely find this to be the case. Even with service brands such as hotels, people complain that they are not recognised, even when they regularly stay at the same venue. On every visit, they have to fill out the same old forms. Loyalty cards may help some of this, but to be recognised for yourself remains the most powerful way of making someone feel good. The need for acknowledgement is increasing in a world where life is more transitory and many of the traditional relationships are breaking down.

Loyalty: becoming a repeat purchaser

Loyal customers are the core for most successful businesses. Pareto’s Law still holds: 20% of your customers will account for 80% of your sales. But how can you identify and look after those customers? And how will that make other customers feel? Wanting to move closer? Or excluded/less favoured?

Remember that loyalty always belongs to the customer and not to the brand. Customers can withdraw their loyalty whenever they like; and many of the recent studies show that loyalty, like trust, is becoming more fragile. This is in part due to manufacturers’ complacent assumptions that their products are ‘good enough’, and that their customers’ loyalty can therefore be guaranteed.

The Internet is driving the need to rethink how marketing and communications operate. A more conversational and co-operative style of working is now possible; and it is via the Internet that many of the old expectations are being turned on their head. You can relate to your customers in many different ways – just make sure you have decided what you are doing and that everything your brand does fits with the overall personality and vision.

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Note: This article was sent to us by: Dean K. Marlowe at 03242010

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