How Well Do You Know Your Customers?

Before account retention, before loyalty, you need to know how to group your alarm business customers

As good as you are, anyone can get better. Once you make the effort to identify and know your customers, you can focus your retention efforts in a considerably more profitable way. Some years ago, Harvard university professor W. Earl Sasser Jr. noted, "By reducing just 3 percent of your most profitable customer attrition, companies can boost profits by 25 percent to 85 percent." I believe that Professor Sasser could have added that you first have to know who your most profitable customers are before you start to find out what will invigorate your front line employees to become better at creating relationships to foster long-term customer loyalty. There is a big difference between revenue and profit. While we should all get better at reducing customer attrition, we must get better at identifying who our customers are. How well do you know your customers?