Customer Experience Management is crucial in order to turn first-time customers into repeat customers, and even loyal fans.
When a customer’s experience is poor or marked with mistakes and poor quality, he or she is less likely to recommend the business to his or her friends – and every good marketing student knows that word-of-mouth advertising is some of the most effective advertising a business can get. Destroy that and it will destroy a business’ reputation.
It is not hard to find a business that is mediocre at customer experience management. Many consumers are willing to try a new business, product, or service that offers lower prices than the competition. However, if they have a terrible time, they will not only NOT return, but even warn away everyone they can.
There are plenty of businesses that succeed with positive customer experience management. If a customer is unhappy with one business, there is always another that is willing to try harder with a better product and service. So the secret to a successful business is not only a good product or service, but effective customer experience management.
Good customer experience management will often surprise many customers, which is unfortunate, because one would hope it would be the opposite: people would rather be surprised by a poor experience, not a good one.
Good customer experience management can even save a business money. It is a common business adage that it costs more to attract new customers than it is to keep old ones. It takes advertising and marketing to bring in new customers. It takes specials and coupons. It takes a lot of hard work, all to bring in customers. So it doesn’t make sense to provide poor customer service and turn them away. But many businesses spend a lot of their time and money trying to win new customers, but never pay attention to any customer experience management tactics that can keep those customers coming back.
But by focusing on good customer experience management, loyal customers will return again and again. They do not have to be enticed with coupons and specials, marketing and advertisements, and other things that cost money. By reducing those marketing costs, it increases the business’ sales margins and profits.
Finally, a positive customer experience management focus can increase traffic through word-of-mouth marketing. That is, the happier a customer is, the more likely he or she is to tell friends about the great time they had. Their friends will be more interested in trying out the restaurant or store, and traffic will still increase.
The only cost to the business manager was making sure the customer was happy and had a good time. No expensive newspaper or magazine ads, no radio or TV commercials, and no wasting time and resources putting those things together. By just making sure the business is run well and that people are happy is enough to keep old customers coming back and new people coming in.