Recovering lost customers is only possible if you’re willing to find out why they left in the first place.
\nUnfortunately, many professionals are often clueless when it comes to understanding why their customer leaves. According to a study conducted by a firm, almost half of all sales managers believe that the primary reason that customers leave is that they found a lower price somewhere else. And another third believe that the primary reason is that the customer’s “needs changed.”<\/p>\n
WRONG, WRONG, WRONG!!!<\/strong><\/p>\n That same firm revealed that, when customers stop using a product or service, the reason is almost always either bad customer service (cited by 74 percent of respondents) or poor quality (cited 32 percent of respondents). Price was only an issue for only a quarter of the respondents, and product functionality (i.e. “needs changed”) came in at a measly 14 percent!<\/p>\n Blaming price and functionality makes it virtually impossible to re-acquire lost customers, because when you contact them, you’ll inevitably address the wrong issues. You’ll start talking about discounts. When you’re looking to win back a customer, the first order of business, therefore, is to find out the REAL<\/strong> reason that the customer bailed. The ONLY<\/strong> way to do this is to summon up the courage to ask, honestly and humbly, with the full expectation that you might get an earful of unpleasantness. In many cases, former customers want to come back to the fold, providing the issue that caused them to leave is being addressed. 1. Decide if you want them back<\/strong> 4. Get it in writing<\/strong> Preventing existing customers from leaving<\/strong> Recovering lost customers is only possible if you’re willing to find out why they left in the first place. Unfortunately, many professionals are often clueless when it comes to understanding why their customer leaves. According to a study conducted by a firm, almost half of all sales managers believe that the primary reason that customers leave is that they found a lower price somewhere else. And another third believe that the primary reason is that the customer’s “needs changed.” WRONG, WRONG, WRONG!!! That same firm revealed that, when customers stop using a product or service, the reason is almost always either bad customer service (cited by 74 percent of respondents) or poor quality (cited 32 percent of respondents). Price was only an issue for only a quarter of the respondents, and product functionality (i.e. “needs changed”) came in at a measly 14 percent! Blaming price and functionality makes it virtually […]<\/p>\n","protected":false},"author":4,"featured_media":298,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[6],"tags":[],"jetpack_featured_media_url":"https:\/\/realestatepowerhouse.com.ng\/en\/wp-content\/uploads\/2016\/10\/custr.png","_links":{"self":[{"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/posts\/295"}],"collection":[{"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/comments?post=295"}],"version-history":[{"count":1,"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/posts\/295\/revisions"}],"predecessor-version":[{"id":297,"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/posts\/295\/revisions\/297"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/media\/298"}],"wp:attachment":[{"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/media?parent=295"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/categories?post=295"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/realestatepowerhouse.com.ng\/en\/index.php\/wp-json\/wp\/v2\/tags?post=295"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
\nWhy Care About Lost Customers<\/strong>
\nIf we already know that a loyal customer is the most profitable customer and that a referred customer provides our best return on marketing, then lost customers certainly have more value than stone cold prospects.
\nA study done by Marketing Metrics says you have
\n\u00e2\u20ac\u00a2 A 60 to 70 percent chance of successfully selling again to a current customer
\n\u00e2\u20ac\u00a2 A 20 to 40 percent chance of winning back an ex-customer
\n\u00e2\u20ac\u00a2 A 5 to 20 percent chance of turning a prospect into a customer<\/p>\n
\nOnce you’ve figured out where you (or your firm) screwed up, then you can apologize and explain what’s changed since then to ensure that the customer will have a better experience. This is easier than you think, because even though the customer was annoyed enough to leave, there must have been SOMETHING about your firm that was appealing.<\/p>\n
\nSTEPS TO TAKE TO WIN BACK A LOST CLIENT<\/strong><\/p>\n
\nNot every customer is an ideal customer. If the customer you lost was difficult to work with, then they may not be a good customer to have. The best thing you can do at that point, is to make sure that they are leaving happy and that they will continue to refer you.
\n2. Find out why<\/strong>
\nCustomers don\u00e2\u20ac\u2122t walk away without reason, so get to the heart of why this one left. Be honest with yourself. Conduct a strengths, weaknesses, opportunities and threats (or SWOT) analysis, assessing why your product or service was no longer perceived as having the best value.
\nWhat are the company’s weaknesses, especially in light of potential changes in the market?
\nAre you staying current, both in your pricing and level of service? Has the market moved beyond your capacity to stay competitive? How was your relationship with the client?
\nLook hard in the mirror for the underlying answers. And if you can\u00e2\u20ac\u2122t be objective, put someone who was not on that account team on the case. This is not only an important first step to winning back your client; it\u00e2\u20ac\u2122s critical in ensuring that more customers also do not depart.
\n3. Take responsibility<\/strong>
\nIf you made a mistake to lose them ask them what they would need to have to make them stay. That means that you fix what went wrong with no requirement for them to remain as a customer. They may still choose to leave, but if they have a great last experience with you, they may refer you to friends and family who may be a better fit as a customer.<\/p>\n
\nYou need a plan of attack, and that means creating a written plan for winning back the customer. Lay out benchmarks and timelines for when to check in with the client. And don\u00e2\u20ac\u2122t wait too long.
\nToo often companies make the mistake of waiting a year and a half to two years before reconnecting. That\u00e2\u20ac\u2122s a mistake.
\nYou need to find ways to stay on a client\u00e2\u20ac\u2122s radar by politely touching base from time to time. And while that outreach may seem random to the client, it should be a well-timed part of your written strategy.
\nDon\u00e2\u20ac\u2122t wait for your client to tire of the company that beat your firm. Find reasons to stay connected on a regular basis.
\n5. Request an exit interview<\/strong>
\nAsk for a meeting with the client to debrief you on the relationship. What were the factors that have gone into the company’s decision?
\nDon\u00e2\u20ac\u2122t be defensive. Take responsibility and apologize, if appropriate. Use the meeting as a means for improving but also as a basis for learning more about your client\u00e2\u20ac\u2122s needs. The new service provider may not be asking these questions, resulting in there being a potential opportunity down the road to try to win back the client.
\n6. Fire yourself not the firm<\/strong>
\nA great vendor-client relationship is often akin to dating or even a marriage. Sometimes the chemistry is just not there.
\nSo ask the client, \u00e2\u20ac\u0153Is it me?\u00e2\u20ac\u009d Sometimes two companies are a good fit, but perhaps not the two owners in particular. You may need to fire yourself as the leader of the project for the sake of retaining the larger relationship. Asking this tricky question may lead to a much deeper and honest conversation that will lay the groundwork for winning back the client.
\nFinally, don\u00e2\u20ac\u2122t become too emotional. Client churn is a part of the business experience, and once you accept that, however grudgingly, you will also understand that nothing is forever. Look at loss of a client as a new opportunity to regroup, learn and be able to deal with new client\u00e2\u20ac\u2122s better.
\n7. Make them rethink doing business with you<\/strong>
\nLet customers know why it\u00e2\u20ac\u2122s smart to do business with you again. Former customers want to feel they\u00e2\u20ac\u2122re making the right decision in doing business with you again. Try to reinforce that decision throughout your relationship.<\/p>\n
\nYou can ensure a current client doesn\u00e2\u20ac\u2122t stop doing business even after just having a business transaction with them by doing proper after sales support.
\nProper after sales support is the No. 1 way to keep customers from walking away to begin with.
\nThe problem is some salespeople do a great job of selling until the prospect buys, and then everything changes. After the prospect takes ownership of the product or service, some salespeople become scarce.
\nIf they do hear from the salesperson, it may be a casual, \u00e2\u20ac\u0153Hey, how\u00e2\u20ac\u2122s it going?\u00e2\u20ac\u009d Then the customer, not wanting to cause conflict may say, \u00e2\u20ac\u0153Pretty good,\u00e2\u20ac\u009d but inside he or she may be steaming.
\nIt\u00e2\u20ac\u2122s always a good idea to schedule \u00e2\u20ac\u0153check-ups\u00e2\u20ac\u009d after a sale is made. These meetings can be formal or informal, and can take place face-to-face or over the phone. Not only are these post-sale check-ups effective for providing service after the sale, they should be talked about in the pre-sale stages to help in the closing.
\nScheduling \u00e2\u20ac\u0153post-buy meetings\u00e2\u20ac\u009d before the closing sends a clear signal to prospects that you\u00e2\u20ac\u2122re not going to run away and that a \u00e2\u20ac\u0153partnership\u00e2\u20ac\u009d is actually beginning. You\u00e2\u20ac\u2122ll separate yourself from the competition by developing better strategies and processes for the after-sale process.<\/p>\n","protected":false},"excerpt":{"rendered":"