Why are most companies NOT customer-oriented?
Every organization aims at being close to its clients in order to maintain and increase their share of the portfolio, i.e.: the percentage of purchases clients choose to make with a given company. Very few achieve that goal.
One might believe this is a matter of common sense and sound business practice:
greater satisfaction generates loyalty: customer loyalty is therefore the key factor in profitability. A loyal client is a long-term source of profit, as well as the best publicity possible.
Despite these facts, most companies continue to lose profits by failing to implement an effective, daily, customer orientation policy.
The most accurate data on corporate performance in terms of customer orientation come from the USA. Every year, the University of Michigan (http://www.theacsi.org/) is monitoring several thousand clients in B to B (business-to-business) and B to C (business-to-consumers) with regard to their satisfaction with the products and services of the companies they buy from. The outcome is seen as an ongoing drop in customer satisfaction in most industries over the last seven years.
So why is it that customer orientation often ends up being nothing but a praiseworthy intention? Because many obstacles must be overcome in order to implement differentiation, the first of which is the resistance to change.
Many companies wish to be truly differentiated by applying excellent customer orientation strategies. However, this cannot be obtained by endless talk and rhetoric on "the importance of the customer".
However, with the help of specific know-how, a customer orientation theory can become daily practice in a company. ORIGINAL: Rather, with the help of a specific know-how,customer orientation theory can become a company's daily practice.
The mission of Obvium consultants is to share this know-how and to advise companies in the definition and implementation of their customer orientation strategies. We have had lots of opportunities to analyze why most companies fail when it comes to implementing a customer satisfaction and loyalty strategy. From this experience, we have drawn up Seven Recipes for Failure in Customer Satisfaction, Relationship and Loyalty Management.