Building Customer Retention and Loyalty

Your customers are reporting that they’re happy and satisfied, yet are not consistently loyal to your brand. Instead, they move from company to company, in search of a better situation. If you deliver on their demands, you might temporarily get them back, but the real question is how do you prevent this attrition and retain customer loyalty? This is one of the most perplexing issues companies are encountering today: In the face of stiffer global competition, how do you ensure that your customers will keep coming back?

Customer Satisfaction Isn’t Always Enough

Most successful organizations will cite customer satisfaction as a primary objective. One might conclude, then, that customer satisfaction is a key element in driving business. Surprisingly, this isn’t necessarily the case. Customer satisfaction, per se, is not the primary indicator that your organization will create and retain a loyal customer base. Instead, return customers are more likely to be motivated by an excellent perceived value of their product and/or service experience. In fact, there is typically a 95 percent retention rate among those who believe they received an excellent value relative to their alternatives. In contrast, as many as one third of your customers will explore other options when they feel that they are receiving only “good” value.*

So, when the bottom line is such a driving force in the sales process, how do you instill a sense of loyalty in your customers?

CLG’s Performance Catalyst^®

Through implementation of our Performance Catalyst, CLG can help your organization move the drivers that matter most to your customers and align critical work behaviors within your company to reap new and better results.

During this process, consultants share their objective assessment of your group’s:

• Performance improvement potential
• Leadership gaps
• Change readiness
• Realistically attainable paybacks

CLG developed the Performance Catalyst because we are acutely aware that it’s critical for you to have a firm grasp on how to influence the factors that drive, or discourage, repurchasing behaviors. By identifying desired behaviors, CLG can then assist you in isolating and eliminating the barriers within your company that are undermining customer loyalty and repeat sales.

How It Works

This implementation of CLG’s Performance Catalyst utilizes our four-step MAKE-IT^SM Model:

• Make It Clear - In this step, CLG will help your company identify “Critical Path Behaviors” that will facilitate retention, and establish targeted business results.
• Make It Real - Next, we will assist in the alignment of your organization to those Critical Path Behaviors and preparation for execution.
• Make It Happen - Once you go live with Performance Catalyst, CLG will then guide your leadership teams in promoting adoption of desired behaviors and implementation of performance feedback systems.
• Make It Last - The key to long-term success lies in continual reinforcement of Critical Path Behaviors, removing barriers and enabling adopters to sustain these positive changes.

Learn more about CLG’s Performance Catalyst^® and the MAKE-IT^SM Model here.

*Ray Kordupleski, Mastering Customer Value Management: The Art and Science of Creating Competitive Advantage.  Pinnaflex Educational Resources, Inc., 2003.