The Northfront Entrepreneur Alliance is a entreprenuer networking association in Northern Utah. This presentation was given on 08.31.11 by Steve Cloward, an expert on customer service. He discusses how to build your "customer inventory" through better customer service.

1. Customer Service for Small Business

2. Introductions Steven P. Cloward Public and Private Company Executive Management President and CEO Big O Tires for 16 years Franchising 400 Big O Retail Stores Small Company Ownership Developed and Owned 8 Grease Monkey Quick Lube and Car Wash Locations Currently own two, both in Grease Monkey’s Top 10 in Car Count and Volume Director Northfront Business Resource Center Director of DATC School of Business

4. It spans all functional business departments and every individual employee.

6. Customer Service for Small Business Every small business owner or manager needs to focus on designing, developing, and implementing a sound customer service program using the limited resources available. If a customer isn’t happy with the product or service and/or if he or she was treated poorly it can cost the company significant dollars in future sales and reputation. On the other hand, a happy customer will lead to many new customers and establish a valuable reputation for a company in the market.

7. Customer Service for Small Business If marketing is the fuel for your business then customer service is the octane….. The higher the octane, the better your business will run. It affects word of mouth marketing, It affects your credibility and reputation and Excellent customer servicehelps to establish you as a brand.

8. Customer Loyalty-Key To Business Success Customer retention has always been one of the most cost effective ways to increase business revenue.

9. Customer Loyalty-Key To Business Success According to the international consulting firm Bain and Company, you can increase profits by as much as 95% through increasing retention by as little as 5%.

10. Customer Loyalty-Key To Business Success Repeat customers spend 33% more than new customers. Referrals among repeat customers are 107% greater than non-customers. It costs six times more to sell something to a prospect than to sell that same thing to an existing customer.

11. Customer Loyalty-Key To Business Success Customer retention is not only a cost effective and profitable strategy, but in today’s business world it’s essential. This is especially true when you remember that 80% of your sales come from 20% of your customersand clients.

12. Customer Loyalty-Key To Business Success With these statistics I am wondering why most marketing and sales campaigns are designed for the new customer.

13. Customer Loyalty-Key To Business Success If organizations fail to focus their efforts on servicing current customers while spending excessive amounts on acquiring new ones, they are wasting their efforts and much of their revenue.

14. Customer Loyalty-Key To Business Success Customer Satisfaction

15. Customer Loyalty-Key To Business Success 100% Customer Satisfaction Guaranteed

16. Customer Loyalty-Key To Business Success On the surface, it seems like a logical business conclusion: Keep customers and employees satisfied, and an organization can expect to earn their long-term loyalty and enjoy increasing sales and profitability. Right?

17. Customer Loyalty-Key To Business Success In a recent Harvard Business Review article, (it was) noted that between 65% and 85% of customers who defect said they were “satisfied or very satisfied” with their former supplier.

18. Customer Loyalty-Key To Business Success What’s the solution?

19. Customer Loyalty-Key To Business Success Customer Loyalty Key To Business Success

20. Customer Loyalty-Key To Business Success Customer Satisfaction Does NOT equal Customer Loyalty

21. Customer Loyalty-Key To Business Success Quite simply, in order to retain all your customers and increase your sales, you need to go beyond customer satisfaction and develop the rapport and relationship that will make your customers, life long loyal patrons.

22. Customer Loyalty-Key To Business Success Exceed The Customers Expectations You must move beyond mere customer service. You need to “to strike with awe and wonder.” Awe! Wonder!

24. CUSTOMER ASTONISHMENT

25. Give em‘ the Pickle

27. Customer Loyalty-Key To Business Success Jeffrey Gitomer: Customer Satisfaction is Worthless, Customer Loyalty is Priceless. Every company’s universal mission statement should be: “Treat every customer is such a memorable way that when the transaction is complete, the customer tells someone else how great it was.”

28. Customer Loyalty-Key To Business Success List of basic customer service ingredients needed to take a customer from Satisfied to Delighted : Understand the need for developing customer relationships... Stay in touch with your customers… (I was no where in the area and I thought I would stop by and see ya.) Find out what they are thinking…

29. Customer Loyalty-Key To Business Success List of basic customer service ingredients needed to take a customer from Satisfied to Delighted : Find out if they are satisfied and if not why… Know how to solve your customers problems... Exceed their expectations… Train and empower your employees to do the same…

31. Customer Loyalty-Key To Business Success Long Term Loyal Customers: Are much less likely to react to your competitor’s ads Retaining existing customers is considerably cheaper than acquiring new ones. Are your best form of advertising

32. Customer Loyalty-Key To Business Success Apostles vs Terrorists

33. Customer Loyalty-Key To Business Success Apostles:Spread the “Good Word” Terrorists: Spread the Word Apostles:Share with 4-8 others Terrorists: Share with 10-20 others Apostles: Recommend you to others Terrorists: Recommend anyone but you

34. Customer Loyalty-Key To Business Success Apostles: Are created by consistently exceeding the customers expectations. Terrorists: Are created by failing to handle the original problem. A Converted Terrorist or dissatisfied customer will many times become your most long term loyal and vocal supporters.

35. Customer Loyalty-Key To Business Success “Grows and matures with the Customer Relationship” Customer Loyalty:

36. Customer Loyalty-Key To Business Success Customer Relationships While a growing business needs to constantly capture new customers, the focus and priority should be on pleasing your existing customer base. Companies that fail to nurture and retain their customer base ultimately fail. Relationships are strongest when they become personal.

37. Customer Loyalty-Key To Business Success Customer Relationships The bottom line is that one of the key components in marketing and business growth is to spend the majority of your time and effort nurturing customer relationships by consistently exceeding their expectations and looking for opportunities to prove how important they are to your success.