lifetime value | Customer Service Solutions, Inc. - Page 2

Imitate to Improve - 6/3/25


Oscar Wilde said that “Imitation is the sincerest form of flattery.”  Now this doesn’t mean that plagiarism is the sincerest form of flattery.  Nor does it mean that great impersonators such as Rich Little, Dana Carvey, or Frank Caliendo are always offering flattering portrayals of those that they imitate. Wilde’s Read more

How the Customer Perceives a Truth as a Lie - 5/27/25


You’re the customer, you’re asking about an unused item that you’re returning, and you hear the employee say: “The refund process takes 7-10 days.”  You’re thinking: “Great!  I can get the refund check as early as a week from today!”  The reality is that the company means that they’ll Read more

Tell Customers What’s Next - 5/20/25


In most businesses that have been around for a while, how a process was originally designed is not how it currently operates.  Sometimes this change is referred to as “practical drift,” where the actual process moves further and further away from the documented steps over time.  Maybe the changes Read more

Questions to Guide You to Empathy - 5/13/25


“If I was him, I would do ABC…” If you’ve ever heard somebody say this - whether it’s a friend or acquaintance, whether it’s some TV reporter or podcaster - you may get as frustrated or as annoyed as I do. I get annoyed because we are not that other person. Read more

Negate the Nervousness - 5/6/25


The customer needed a loan, so he walked into the bank, but he was a little nervous.  He knew that launching his business would be easier if he had some working capital, but that’s about all he knew.  He was anxious because he didn’t know what to expect in Read more

Don’t Rush to Resolve Quickly - 4/29/25


The customer is angry, so you use the CSS LEAD technique as designed.  You, listen, empathize, accept responsibility, and deliver on a remedy.  But it doesn’t work.  The customer is still upset, and maybe even a little more frustrated than when you started…why?! If the use of this technique fails, Read more

Energy v. Apathy - 4/22/25


I asked a couple friends who are much more scientifically-oriented the question: What is energy?  I didn’t mean E=MC2.  I meant physiologically, what is energy? They described a lot of things that sounded really good, yet far too advanced for my non-medical mind. Part of the reason why energy is of Read more

Prep Enough to Personalize - 4/15/25


Everybody loves Howie.  He is an account rep for the local air conditioning and heating company.  When I say Everybody loves Howie, I’m definitely talking about the customers.  His co-workers love him too, but customers are especially fond of him.  They seem to really enjoy their conversations with him, Read more

Get Your Customers to Brag, Not Bolt - 4/8/25


Here are two customer retention concepts that we discuss with some sports clients: BIRG and CORF.  BIRG is Basking In Reflected Glory.  CORF is Cutting Off Reflected Failure. You want BIRG.  You want the customers feeling so good about your organization that they want to be a part of your Read more

Narrow Your Focus to Seek Excellence - 4/1/25


You’ve probably heard companies use phrases such as: “We want to go from being good to great.”  Maybe they’ve said: “We strive for perfection, and although we’ll never reach perfection, maybe we can achieve excellence along the way.” These organizations find some kind of a catch phrase or slogan, but Read more

Customer for Life – The Final Step – 4/16/19

Posted on in Customer Service Tip of the Week Please leave a comment


Two weeks ago, we addressed the Third Step of keeping a Customer for Life: Address what will keep them. Now, we’re sharing the Fourth and Final Step. To have a Customer for Life, you have to grow your relationship with them.

While the 3rd step is the toughest – since 10 different customers might have 10 different reasons to stay with your business or go – the Final Step is the one most customer service representatives are uncomfortable with, don’t enjoy, or – frankly – can’t stand doing. Why? Because it means we have to ** gulp ** sell.

No!! Not Sell!!

Yes…sell.

Personally, I never enjoyed selling, and I never felt that I was good at it. Part of the reason why I felt that way is because of how I defined “selling.” To me, selling was pushing a product on somebody that didn’t want it. It was starting a conversation that another person did not want to have or did not find useful. It was pressuring somebody into something just to extract money from them. I guess this was my definition because – in various situations in my personal life – this had happened to me. I was thinking of the worst of those personal situations and putting them in a box marked “SELLING.”

But to have a deeper relationship with someone, you need to grow the relationship. You need to seek out the needs that are under the surface and better understand the issues that impact them, and you have to offer support. You have to be willing to go a little further in your understanding of the other person and their issues, needs, and goals so that you can go a little further in helping them as a friend.

If you want a Customer for Life, you have to take that extra step as well. You have to be inquisitive enough to ask deeper questions about the real issues they face and the real goals they’d like to attain. And you’ve got to be willing to not only identify resources that you can offer them to address those issues and those goals, but you’ve got to take the next step and be willing enough to suggest those resources to them.

This is how I got over my aversion to selling. I view it as an opportunity to help somebody through something that my organization can provide. It’s not identifying a product that we have and figuring out who to push it to. It’s taking a deeper interest in what my client is dealing with or trying to achieve, and trying to help them achieve it. Sometimes that aid is in suggesting other resources or giving informal advice, and sometimes it is suggesting that they tap into some of our CSS resources.

To have a Customer for Life, realize you need to be willing to deepen the relationship by asking those more difficult questions and being willing to suggest solutions to the client.

To keep a customer for life, redefine “selling,” and then sell to serve your customers better.

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From Harvard’s Calculator to Your Ears…and Eyes

Posted on in Business Advice Please leave a comment

The Harvard Business School promotes its version of the “Customer Lifetime Value Calculator.” This is a method of determining the true potential financial impact of your customer to your business.

There are 5 main pieces to the impact-calculating puzzle:

· Base profit – Transactional profit

· Profit from increased purchases – Profit from multiple transactions

· Profit from price premium – Profit from willingness to pay more per transaction

· Profit from reduced operating costs – Profit from less expenditures to retain than acquire the customer

· Profit from referrals – Profit from less expenditures to get customers via referrals than marketing/advertising to acquire them

So if this is the financial “Why” of customer retention, what is the “How?” The “How” comes from 3 things:

· First, you have to have what we call a Client Relationship Development (CRD) strategy to continually “touch” and develop relationships with customers over time – even when they’re not spending a dime with you.

· Second, you need to have a Client Experience Management (CEM) strategy – where you build a service and sales experience that hits all the key hot buttons.

· Third, you need a Service Culture that creates the people, processes, attitudes, structures, communications, and general alignment of everything the organization is about…toward the customer.

Calculate your customer’s potential lifetime value, and then create the “How” strategies to tap into those dollars.

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

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