Year: 2014

Walk the Talk – Important to Customer Retention

Walk the Talk – Important to Customer RetentionYou’ve probably heard the saying that it’s much more expensive to acquire a new customer than to retain an existing one.  Brandon Carter, in this postCustomer Retention: Cheaper than Acquisition; Still Not Easy – points out that while retention might be cheaper, it isn’t easier.

We have all heard that existing customers are more valuable – I have heard three, four, five, even ten times more!  In my opinion, the true numbers are specific to one’s industry and specific business, but most people will not argue that existing customers are more valuable to a business.

The point that is often missed, however (as Carter points out) is that customer retention isn’t as simple as it may seem.  Acquisition allows the company to offer discounts for new business, but it also allows for companies to exaggerate the capabilities of the products or services that are being pitched.  Existing customers know whether you have delivered on those promises, and they may not be happy with what they have found out!

Just as Rob Miklas discussed in an earlier post this week, your incentive program (and the program communications strategies accompanying it) should highlight your “reason for being.”  If your products or services don’t deliver real value to your customers, your efforts to improve customer retention can backfire.  The message must clearly convey the “win” for the recipient – and your existing customers can tell the difference between the “talk” and the “walk.”

When designing or revising your customer incentive program, be sure to address all of the audiences that can have an impact on your business.  While most will readily agree that a combination of new and existing customers is needed to keep a company healthy for the long haul, the actual ingredients in the “sauce” will be unique to each organization.

Contact us to find out more about designing and implementing successful customer retention programs.

Incentive Programs-One Piece of the Performance Puzzle

Many of QIC’s channel sales and customer incentive programs are business-to-business (B2B) rather than business-to-consumer (B2C). Both types provide insight, however and recently I was intrigued by two B2C items that came to my attention: Loyalty Programs Don’t Drive Loyalty; Customer Experience Does – by David Jacques, Customer input The Loyal Treatment, Maximizing Customer Value… Read more »

St Patrick’s Day and Sales Incentive Programs

Happy Saint Patrick’s Day!  As it turns out, you don’t need the Blarney Stone to make your sales incentive program successful – just a solid design and consistent, meaningful communications. According to legend, kissing the Blarney Stone imparts incredible persuasive skill – but because most of us are a great distance from the Blarney Castle… Read more »

3 Key Ingredients for Incentive Program Success

Let me preface this post with the admission that I am a huge foodie.  I love going to new restaurants, experimenting with cooking techniques and tasting new flavors.  For the past few months I have been enjoying a service called Blue Apron and have some observations about the experience and how it relates to incentive… Read more »

Employee Appreciation Day

Employee appreciation is a part of every day at QIC. From congratulatory emails, to a simple thank you- we recognize the significance of expressing appreciation – individually and with social recognition events.  Today, as I watched Jeff Edwards, VP of Marketing & Business Development, call in two long-time employees to thank them for their hard work and service,… Read more »

Effective Communications Improve Engagement

Effective communications are instrumental to the success of any business, organization or enterprise.  As Rob Miklas colorfully illustrates in this post – A Smoother Flight with Effective Program Communications – without effective communications your recognition or incentive program will most likely never reach its full potential. Like regular announcements from the flight deck, pertinent program… Read more »