LOYAL CUSTOMERS!!!!!

A TELECOM FAIRYTALE……?????

Ramneek Kaur

Preety Menon

GNIMT, Model Town

Ludhiana

Once upon a time………

CUSTOMER LOYALTY….

WHY BEING CONCERNED?

Researches have shown• The typical company gets 65% of its business from its existing customers

• It costs 5 times more to find a new customer than to keep an existing customer happy.

• It takes 12 good service experiences to overcome a single bad one

• 7 of 10 customers who switch to the competition do so because of poor service.

• 91% of unhappy customers won’t buy again from the company that displeased them

• And unhappy customers will not only defect, they will grumble to 9 of their friends

OBJECTIVES OF THE STUDY

• To know customer loyalty scenario in telecom sector.

• To know the factor affecting choice of a cellular carrier.

RESEARCH METHODOLOGY

• An online study was conducted by sending e-mails to 300 mobile users in India irrespective of the brand and 245 responses were received.

Summary of major findings of the study

1. 75% respondents were satisfied with their present service provider.

2. 56% respondents said that given a better deal and low switching costs, they would never mind changing their service provider; this shows that satisfaction no longer ensures loyalty.

3. Emotional bonding with the number, circulation of the number and bonding with the company are the top ranking factors that restrict the change of connection.

4.

• Referrals by friends and colleagues

• Value added services

• Network coverage

• Price

• Brand image

are the factors considered most important while selecting a cellular carrier

5. Only 23% customers said that they recommend their service provider to their friends, family and relatives.

6. 13% respondents said that they do not make any recommendation and stay neutral.

7. An alarming 64% said that they distract the people instead of making recommendation which is of grave concern; referrals being ranked as the most important factor.

.

Creating

Emotionally

Invested

Customers

The magic potion!!!!

• Build staff loyalty:

Only a loyal, happy and satisfied workforce can ensure loyal, happy and satisfied customers

• Practice the 80/20 rule:

All customers are not created equal. Some represent more long-term value to the firm than others.

Know the loyalty stages and ensure that the customers are moving through them

• Solicit feedback

Most of the customers never complain.Seeking feedback and acting upon that is utmost important.

• Aggressively seek out customer complaints:

90% complaints are unarticulated and manifest themselves in many negative ways: unpaid invoices, lack of courtesy to the frontline service reps and, above all, negative word of mouth

• Keep in touch-Customers Expect a Seamless Relationship.

Keeping in touch helps in developing lasting bonds.The best businesses are those that believe in going the extra mile for their customers.

• Win the Right Customers Back :

Figure out which customers you want back Find out why they left Fix the problem Invite them to return

• Use Exit Barriers, Carefully:

One way to give the business a chance to respond is to make it difficult for customers to leave

• Develop a customer database and use it.

Give employees easy access to customer and prospect information so they can treat them like part of the family

• Listen to Front-Line Staff

Service people are the first ones to hear what bothers customers.

Wishing Happily ever

after………