If you have a look at the big companies’ evolution in the recent years, you will see that the customer centric approach proves to be very effective. Today we are going to talk more about what is customer centricity, why and how you can apply it and have a look at some examples of companies who successfully used this approach.
What Is Customer Centricity?
Also called consumer centricity, customer centricity focuses on offering a positive customer experience both at the point of sale and post-sale. People choose to adopt this approach because it differentiates their company from the competitors on the market.
Why Should You Adopt a Consumer Centric Approach?
1. It Boosts Sales
Adopting this approach means helping your customers with shopping. Sometimes, the products or services they need may not be explained or described properly, so focusing on their needs and wants can end up boosting your sales.
2. Reduces the Cost to Serve
Following up with the customer after you sealed a deal can make the difference between a happy or a sad customer, and you don’t even need to spend more money. They might need help installing, maintaining or troubleshooting the product they bought, for example. And if you don’t offer them any help, they might see the entire deal as a waste of money.
3. Helps You Become More Efficient
Most of the time, consumers are happy to give something back to you. Whether it’s a useful suggestion, an advice or simply a review of a product or a service, all this helps you become more efficient. Not to mention that this can also help you save some money.
4. Helps You Adapt to Changes
By making a purpose out of always helping your customers, you make them loyal. In time, their needs will change, and it’s essential to adapt to that if you want to survive on the market. Focusing on them helps you keep close to your target audience.
5. Identify Your Weak Points
If you pay attention to your customers’ complaints, you’ll see what goes wrong with your business. Many times, people who know how to listen can help the company improve through their mistakes. Learn something from each negative experience and boost your sales.
How to Adopt a Consumer Centric Approach?
There are seven main pillars you need if you want to adopt a consumer centric approach correctly. Here you have a list of them, together with a brief explanation for each:
It’s essential to offer an easy, convenient, and enjoyable customer experience. The companies who do this make customers happy and they, in turn, will love sharing it with others as well.
When deciding on a consumer centric approach, learn how to reward and recognize your customers. Be consistent with it and try to guess how they want to get their rewards. Offer them vouchers, discounts, or specialized help in the shops, for example.
It’s essential to personalize the messages to your customers depending on their preferences. Many companies overlook this, but they should offer tailored ads and marketing, according to the target audience and its interests.
In the same way advertising should be adapted to the customers, the variety of products needs to be assorted to them. Make sure you always have in stock the most popular choices or that it’s easy and fast to bring your partners the ones they need.
Everybody loves promotions, so take advantage of this and use them on the most appealing products. Check out the most purchased items and implement successful promotions program.
Offer prices that align with the existent product offer and the current prices. Not all brands need to be the price leaders, but your customers need to see that you set them in a fair manner.
As we were explaining above, it’s essential to pay attention to the feedback you receive. The companies that enjoy plenty of customer feedback enjoy an emotional connection with the partners and customers, thus gaining loyal contributors to their development.
Customer Centric Examples
Now that you know what exactly is the customer centric approach and how to implement it, it’s time to look at some concrete examples. These are a couple of companies who rely their strategy on the customer experience and knew how to turn a situation to their advantage.
A wonderful example of the consumer centric approach applied rightly is Ritz-Carlton. A family who stayed for a vacation at the luxurious hotel chain lost a plush giraffe belonging to their son. Back home, to soothe the boy, the father told him that the giraffe decided to stay a couple of days more on holiday. The Ritz-Carlton staff called the family to tell them they found the toy and the father informed them about his story. Next, an employee at Ritz took the giraffe throughout the city and took pictures of it to prove to the boy that it was on holiday. It’s a great example of great customer care with little money.
This is an online shoe shop that was taken over by Amazon. What makes it remarkable is the fact that they train their employees differently. For example, employees are rewarded for long phone calls, with a record of 9:35 hours in a call! They aim to help people and then sell them shoes. The store offers free of charge delivery and a return policy of up to 365 days, for instance. What’s more interesting: after the training period, employees are given $2000 to quit the job. Why? In this way, the company makes sure they only hire people who want the job and not just the money.
The consumer centric approach seems to be the best idea if you want to gain a loyal customer base. Customers who feel that they receive extra attention and care are more likely to spend money on your business or at least recommend it to other friends. If you implement the seven pillars we talked about before, you will surely notice an improvement in the feedback your company receives. Alternatively, you can also learn from other businesses, such as Ritz-Carlton and Zappos, and see how they carried out this approach.
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