The most productive way to grow sales is to increase orders from current customers. Despite this proven fact, a Learning Dynamics study reports that more than 60% of companies do not consider customer satisfaction as a top priority.Reasons for customer dissatisfaction include:
- Few supplier personnel are aware of what customers actually do with their products or services;
- In about 20% of companies, sales people do not follow up with customers; senior managers do not contact customers in about 25% of companies, and this grows to 30% and over 65% for Marketing and R&D respectively;
- In approximately 15% of companies, there is no function acting as a customer’s advocate and no formal means to capture customer wants;
- Fewer than half of new products are developed or improved based on customer suggestions or complaints, even though a related MIT study indicates that the best innovations come from customers;
- Less than 5% of companies make customer satisfaction a key metric in executive compensation.
Many organizations believe that they are in business to make products or provide services, when it is actually the added strategic value produced by their offerings that creates customer preference. Going beyond functional satisfaction, to learn why the delivered quantifiable benefits help a customer succeed, is what builds loyal, enduring relationships.
When did you last ask customers about
their satisfaction with your company?
their satisfaction with your company?
Why is your competitive advantage dependent on this insight?
