Staff Are Your Most Important Customers - If You Think Differently, Do Your Sums
Summary Many companies spend a small fortune to retain customers and keep them happy.
Some have special loyalty rewards for customers.
And the "best" customers may receive special discounts.
But if you can't retain good staff, you won't retain good customers.
You see, you have two groups of customers.
Those "Other" Customers We all try desperately to retain good customers.
We talk about "lifetime value" and their worth to us.
If necessary, "serve 'em to death", as the old sales trainers used to say.
We try to ensure that we retain their loyalty and their commitment to us.
But there are people who you pay to do that.
They are in your business, day in and day out.
You pay them day in and day out, and they are most important.
You call them staff.
They're your "other" customers.
If they don't provide the essential service levels to retain your "external" customers your whole organization may be in jeopardy.
Disgruntled Customers How do you treat disgruntled external customers? Calm them? Apologize? Try to find out what's upset them? Try to restore their confidence in you? Offer restitution or compensation? How do you treat disgruntled staff? Do you show them the same courtesy as the disgruntled customer? Or do you counsel them about inappropriate behaviour, remind them of their obligations and threaten dire consequences if they continue to show their feelings.
Is there a difference between how you treat disgruntled staff and disgruntled customers? How would unhappy customers react if you treated them as you do your unhappy staff? A Matter of Damage Control How much damage can the disgruntled customer do to your business? They can take their business elsewhere and tell others about their experience.
That's about all.
You have to continue to pay the salary and taxes for both happy and unhappy staff.
But they can damage you far more than an angry customer.
You rely on staff to gain and retain customers.
If they fail to do that, your business will be damaged.
If they continue to do you damage, you'll dismiss them.
By then the damage is done.
The "Other" Customer Cost In Australia salary service costs average about 40%.
That means you pay a total of $70,000 p.
a.
to retain an employee you actually pay $50,000 p.
a.
Disgruntled or unhappy staff who fail their customer obligations are an expense liability.
Conclusion Staff constitute a huge investment.
Treat them as you would a major customer.
By doing so, they're far more likely to help you retain your external customers.
Do the sums!
Some have special loyalty rewards for customers.
And the "best" customers may receive special discounts.
But if you can't retain good staff, you won't retain good customers.
You see, you have two groups of customers.
Those "Other" Customers We all try desperately to retain good customers.
We talk about "lifetime value" and their worth to us.
If necessary, "serve 'em to death", as the old sales trainers used to say.
We try to ensure that we retain their loyalty and their commitment to us.
But there are people who you pay to do that.
They are in your business, day in and day out.
You pay them day in and day out, and they are most important.
You call them staff.
They're your "other" customers.
If they don't provide the essential service levels to retain your "external" customers your whole organization may be in jeopardy.
Disgruntled Customers How do you treat disgruntled external customers? Calm them? Apologize? Try to find out what's upset them? Try to restore their confidence in you? Offer restitution or compensation? How do you treat disgruntled staff? Do you show them the same courtesy as the disgruntled customer? Or do you counsel them about inappropriate behaviour, remind them of their obligations and threaten dire consequences if they continue to show their feelings.
Is there a difference between how you treat disgruntled staff and disgruntled customers? How would unhappy customers react if you treated them as you do your unhappy staff? A Matter of Damage Control How much damage can the disgruntled customer do to your business? They can take their business elsewhere and tell others about their experience.
That's about all.
You have to continue to pay the salary and taxes for both happy and unhappy staff.
But they can damage you far more than an angry customer.
You rely on staff to gain and retain customers.
If they fail to do that, your business will be damaged.
If they continue to do you damage, you'll dismiss them.
By then the damage is done.
The "Other" Customer Cost In Australia salary service costs average about 40%.
That means you pay a total of $70,000 p.
a.
to retain an employee you actually pay $50,000 p.
a.
Disgruntled or unhappy staff who fail their customer obligations are an expense liability.
Conclusion Staff constitute a huge investment.
Treat them as you would a major customer.
By doing so, they're far more likely to help you retain your external customers.
Do the sums!