Customer Centricity

1. What is meant by Customer-Centricity?

A customer-centric approach is a way of doing business where your business model focuses on providing a positive experience to your customers. Its involvement is usually observed in pre-sales, at the point of sale, and post-sales as well.

This method is used to build customer loyalty and gain a competitive advantage over others and hence driving profits into the business.

 

2. What is Customer-Centric Marketing?

Customer-centric marketing involves making your customers a part of your company's marketing message. The marketing team constantly engages with the customers by sending them helpful and relevant content using inbound marketing strategies.

This helps in converting the existing customers into the promoters of your brand who then help in generating new customers through referrals from word-of-mouth.


3. What is Customer-Centric Selling?

Customer-centric selling is designed as per your prospective customer's needs and wants. It involves sharing helpful content and insights with customers using social media channels rather than only reacting to incoming prospects.

It also involves hosting events to engage with customers and broaden the network instead of just cold-calling them randomly.


4. What are the main elements of customer-centricity?

Customer centricity is a holistic approach which makes it extremely complex to implement. Changes need to be implemented at all levels of the organization. Though it’s not a new concept, the statement "Customer is the king" expresses the same idea. It also involves opportunities offered by new technology and media and creates a positive customer journey.

An organization that works on customer-centricity generates more value for its customers. It involves different forms depending on what point your customer currently is in the conversion funnel.

 

The main elements of customer-centricity involve:

  • Customer empowerment
  • Customer centricity during sales
  • Customer centricity post-sale

1. Customer empowerment:

The customer acts as a promoter of the brand. If a customer has a positive experience with the company, he might promote the brand through his social media channels or word of mouth, getting in referrals into the business.

They can even use forums or communities to provide positive feedback or reviews to inform other customers about your product and company and create a good brand image on the internet.

Customer Empowerment describes this development of your customers. They are more than just the buyers of your product, they also determine the future of your brand. Their purchase decisions will determine your company's future success or failure and influence the fate of your company.


2. Customer centricity during sales:

The shopping experience that your customer goes through during sales is very important. They need to feel positive and comfortable and should perceive your brand as trustworthy and credible. Brands need to customize their products and product packages to meet customers’ needs and satisfy them.

Customization is the key to keeping your customers attached to your brand. This is achieved in retail markets by using a personal approach and credible appearances. On the other hand, E-commerce involves factors like:

  • User-centered design
  • High level of usability
  • Inbound Marketing
  • Multi-channel approach etc.

3. Customer centricity post-sale:

Customer centricity is equally important post the sale of your product/service as well. The experiences received by the customer during the sale and post-sale period determine their future purchases. Retaining old customers is comparatively easier than creating new customers. Customer-centricity does not just involve one time purchases but involves building a long term relation with your customers.

5. Why is Customer Centricity Important?

To survive in a highly competitive market, you need to focus on retaining your customers. Because creating new customers is 10 times more difficult than retaining your old customers. A business model that fails to retain its customers over the long run would fail eventually.

If your organization isn't customer-centric i.e if you don't listen and follow your customer's feedback you might end up building:

  • Wrong products
  • Invest in wrong resources
  • Lose trust and goodwill with customers, etc. 

A customer-centric organization actively listens to what their customer is saying and aligns its goal accordingly. They work towards:

  • Meeting customer needs
  • Start anticipating their customer's desires and wants
  • Meet customer service expectations at all times after listening to them.

This helps in creating customer loyalty and improves brand value as well. 

 

6. What are the challenges of becoming a customer-centric organization?

The challenges faced by an organization while trying to achieve customer-centricity are:

  • Aligning the organization’s culture with the customer's needs and wants.
  • Having a proper support channel to manage customer problems and queries at all times.
  • Insufficient expertise in data analytics.
  • Focusing the sales of the organization over customer satisfaction.
  • Lack of key technology platforms to manage and segregate data effectively.
  • Understanding what customer centricity truly means.
  • Data collection and sharing.

A lot of organizations miss out on these components which makes it tough for them to achieve customer-centricity. 

And to overcome challenges, brands need to emphasize customers’ desires and wants and align them with their product/service.

7. How to measure the success of a customer-centric organization?

Every organization has its way and technique to measure customer-centricity, but the 3 most important metrics to be followed are:

8. What best practices do organizations need to follow in order to achieve customer-centricity?

A customer-centric brand will anticipate their customer's wants and desires and build a product around it delighting their customers. 

But to do that, organizations need to follow these best practices:

  • Brands need to passionately believe that their customers come first, and should constantly keep working on maintaining a strong relationship with them.
  • Brands need to focus on what their customers are expecting from them and try to deliver it by building a product or service around it.
  • Brands also need to emphasize building long-term relationships with their customers by providing them the same positive experience post-sales.
  • Brands need to carefully follow the 3 steps which are: plan, analyze, and execute/implement to build a profitable customer model by retaining their loyal customers.

9. What steps do companies need to follow in order to achieve customer-centricity?

The steps that companies need to follow to achieve customer-centricity are:

A. Anticipate your customer's needs and wants in advance.

B. Collect their valuable feedbacks using channels like:

  • Email.
  • Chat (through website chatbots).
  • SMS.
  • Whatsapp.
  • Social media messengers (Facebook, Instagram)
  • In-app messages, etc.
  • Conduct customer surveys regularly.
  • Call them to keep a check on them.

C. Be accessible to your customers. 

D. Ensure physical interactions with the customer's whenever possible. 

E. Provide proactive customer service.

F. Implementation of modern customer service tools & methods.

G. Emphasize on post-purchase experience.

H. Create an effective onboarding process.

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