Productivity is a term that resonates positively with most people. It's a forward-thinking concept that everyone should strive to enhance. However, the interpretation of productivity varies among individuals and businesses.
For large corporations, productivity is synonymous with cost-cutting. Since salaries constitute a significant portion of expenses, job cuts are often the go-to strategy for these businesses. They employ experts to gather robust data and accurately determine the profitability of each business component. This data-driven approach allows them to identify less profitable elements and make informed decisions about potential cutbacks.
These corporations can predict the percentage of customers they will lose if they eliminate a specific business component. However, at this level of business, individual customers' needs or potential customers turned away due to these decisions are often overlooked. The focus is primarily on making the most profitable sale.
Customer support has been one of the first casualties in the quest for increased productivity. For instance, Adobe, the creators of Acrobat, have taken this to an extreme by not providing any contact information on their site. This leaves customers with no one to reach out to if they encounter issues with their products.
Recently, the trend has been towards Customer Relationship Management (CRM), which aims to enhance the interaction between a company and its customers. When implemented correctly as a company-wide, ongoing project, CRM can be highly effective for businesses that benefit from maintaining regular contact with their customers.
However, CRM often involves implementing costly software systems that automate "interaction," reducing the need for salaried employees to engage directly with customers. While some customers may tolerate this impersonal approach, many do not. These customers often purchase products like Adobe Acrobat out of necessity, as there are no alternative options available.
The above depiction of large corporations' operations presents numerous implications that can lead to the development or improvement of your own business. For starters, consider the percentage of customers that these corporations disregard. You can build a successful business by catering to these discarded customers. There's no need to fear reaching out to these potential customers, as they've already been written off by the large corporations. Even if these corporations change their stance, you'll have already established a loyal customer base.
In every aspect of your business, ensure that your commitment to customer support is evident. This should be a fundamental aspect of your operations. Your primary objective should be to build customer loyalty.
There's a debate about whether customer loyalty can be sustained. Auto manufacturers invest heavily each year to ensure customers return to them for their next car purchase. However, only about a third do, which is not an impressive return on investment.
Many argue that on the web, customers primarily shop based on price. However, this argument overlooks two key points. Firstly, businesses that solely compete on price are unlikely to succeed in the long term. As these businesses disappear, your fair pricing becomes more competitive. Secondly, even if you lose some customers to lower prices, those who value your support will be willing to pay your price. They appreciate the reassurance that you'll be available if any issues arise.
Your business can also benefit from efforts to improve productivity. This doesn't require any complex strategies. Simply evaluate if there are any elements on your site that consume resources, especially time, that could be eliminated.
This might also involve disregarding potential customers. However, if you're spending an hour a month maintaining a page that only generates a small amount of revenue, it might be worth considering removing it. Alternatively, you could convert it into a static offer that doesn't require ongoing maintenance.
Attract customers who have been disregarded by large corporations as they focus on downsizing and productivity. Retain them through excellent customer support. While you might lose some customers to lower prices, those who value your efforts will continue to purchase from you.
It might also be beneficial to evaluate your business from the perspective of large corporations. If eliminating some less productive elements frees up valuable time, it might be worth considering.
Never, Ever Release Any Of Your Rights To Anyone
One of the grandest scams on the Web, which goes largelyunnoticed, is for a web-based bookseller or publisher to requiresome rights to your work in exchange for the service to beprovided. Many demand the electronic rights, for example.
The Hits That Matter Most
So you know what hits mean. Unique hits or user sessions,I mean. And you know what CR means. Right? If so, you're ingreat shape, for many people don't. They think they do. But they've got it wrong.
Customer Personality Types: Does It Matter?
Marketing types are fond of classifying people intocategories. Here are four which I took from "Differentiate OrDie," by Jack Trout with Steve Rivkin. (John Wiley & Sons, NewYork, 2000, p15.) Only the first few words of each are includedhere.
