4 steps to build strong customer relationships
January 2012
4 steps to build strong customer relationships In a perfect world, businesses would have the ability (and the time) to create personalised relationships with potential customers and be able to customise their communications to meet each customer’s needs. But the world is not perfect, so businesses will continue to look for new ways to solve specific customer problems and sell more products. Doing this is often cost-prohibitive and occupies too much of the business’s and customer’s time.
Most small and medium businesses (SMBs) actually don’t have a solid customer relationship management (CRM) system in place. In some cases, SMBs can get away with using third-party list sources to get an average assessment of their customer base, so a large-scale CRM system isn’t always necessary.
Managing customer relationships—in four steps
Setting up and managing individual customer relationships can be broken up into four related tasks.
1.Identify customers. The first task in setting up a relationship is to identify, individually, the party at the other end of the relationship. Many companies don't really know the identities of many of their customers, so for them this first step is absolutely crucial.
2.Differentiate customers. Knowing how customers are different allows a company to first focus its resources on the customers who bring in the most value for the business, and then to devise and implement customer-specific strategies designed to satisfy different customer needs.
3.Interact with customers. Companies must improve the effectiveness of their interactions with customers. Each successive interaction with a customer should take place in the context of all previous interactions with that customer.
4.Customise treatment. If possible, a business should adapt some aspect of its behavior toward a customer, based on that individual's needs and value.
4 steps to build strong customer relationships
January 2012
4 steps to build strong customer relationships In a perfect world, businesses would have the ability (and the time) to create personalised relationships with potential customers and be able to customise their communications to meet each customer’s needs. But the world is not perfect, so businesses will continue to look for new ways to solve specific customer problems and sell more products. Doing this is often cost-prohibitive and occupies too much of the business’s and customer’s time.
Most small and medium businesses (SMBs) actually don’t have a solid customer relationship management (CRM) system in place. In some cases, SMBs can get away with using third-party list sources to get an average assessment of their customer base, so a large-scale CRM system isn’t always necessary.
Managing customer relationships—in four steps
Setting up and managing individual customer relationships can be broken up into four related tasks.
1.Identify customers. The first task in setting up a relationship is to identify, individually, the party at the other end of the relationship. Many companies don't really know the identities of many of their customers, so for them this first step is absolutely crucial.
2.Differentiate customers. Knowing how customers are different allows a company to first focus its resources on the customers who bring in the most value for the business, and then to devise and implement customer-specific strategies designed to satisfy different customer needs.
3.Interact with customers. Companies must improve the effectiveness of their interactions with customers. Each successive interaction with a customer should take place in the context of all previous interactions with that customer.
4.Customise treatment. If possible, a business should adapt some aspect of its behavior toward a customer, based on that individual's needs and value.
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