- Customer-centric KPIs
Usually, Product-Centric companies have their competitive advantage stored in product expertise. Remember this. It shouldn’t be surprising – in fact, the more we become ‘experts’ of technology, the more we irrationally feel that we don’t need to listen to customers.
Generally, Customer-Centric companies try to align development and delivery around the current and future needs of a set of customers. This sentence is very important, as it introduces three new concepts that are not present in a strict Product-Centric culture:
In fact, Customer-Centric companies try to maximize shareholders’ value by distinguishing highly profitable clients from less profitable ones, introducing the concept of lifetime financial value. Hence, Customer-Centric brands do not only care about today’s revenue but invest to cultivate clients that may spend more in the future. As a consequence, Customer-Centric firms’ competitive advantage is in the relationship experts, and no longer in the product.
Sounds good, but how do Customer-Centrics execute their plan? Mostly by focusing on these three tactics:
- Customer development: make existing clients more valuable
- Customer retention: cultivate clients so they don’t leave for another brand
- Customer acquisition: focus on behaviours, not on demographics
So why is it so important that executives know and understand the product and consumer-centric concepts? Because moving from Product-Centric to Customer-Centric requires a cultural change from the above. Changes may impact design, structure, processes, metrics, and even incentives. The focus needs to move from ‘sell now’ to bigger, and more long-term goals.
What if you realise that your company is a Product-Centric company? First of all there is no good or bad here. There are many successful product-centric companies out there, but it is also true that in highly competitive markets most brands are now becoming Customer-Centric.
What if you aren’t an executive? Well, you can start your Customer-Centric transformation without having the support of the top management (yet). Try to experiment with this routine:
- Ask your clients/contacts/colleagues for feedback after an important interaction
- Write it down, segmenting by different customer persona
- Collect them during the week, and ask at least another colleague to do so
- Organize a 20-minute meeting with your team to share the feedback, discuss learning, and think about improvements
- Implement the changes into your day-to-day while you keep track of new feedback
- If results are encouraging, share them with the management
- Advertise the changes to your customers, as they would be delighted that you heard their voice.
For more interesting content, click here.
Wonderflow empowers businesses with quick and impactful decision-making because it helps automate and deliver in-depth consumer and competitor insights. All within one place, results are simplified for professionals across any high-UGC organization, and department to access, understand, and share easily. Compared to hiring more analysts, Wonderflow’s AI eliminates the need for human-led setup and analysis, resulting in thousands of structured and unstructured reviews analyzed within a matter of weeks and with up to 50% or more accurate data. The system sources relevant private and public consumer feedback from over 200 channels, including emails, forums, call center logs, chat rooms, social media, and e-commerce. What’s most unique is that its AI is the first ever to help recommend personalized business actions and predict the impact of those actions on key outcomes. Wonderflow is leveraged by high-grade customers like Philips, DHL, Beko, Lavazza, Colgate-Palmolive, GSK, Delonghi, and more.
Other articles you might like:
Product Development · Sep 12, 2022
Proper Review Analysis: How to Analyze Customer Reviews (+ Examples)
It’s pretty difficult to imagine a world without reviews. Not many of us walk into a shop and make a purchase without browsing at least a handful of online reviews beforehand. In fact, a study from TrustPilot found that almost 9 out of 10 customers consult online reviews before buying. Though these reviews are incredibly helpful to consumers, for business owners, trying to use reviews to guide the product development process or improve the customer…
Marketing · Aug 25, 2022
More Smiles, More Stars: 10 Examples of Leveraging Positive Customer Reviews
Brands know that reviews are everything. Whether they are positive, negative, or neutral, customer feedback is at the core of any business. It’s a matter of how well your company leverages or responds to each type. For instance, positive customer reviews are just as powerful of an influence on business success, if not more, than negative ones. And do you just simply smile when you see a customer’s compliment? Of course not! You may want…
Utility & Energy · Aug 09, 2022
More Than Another Bill: Why VoC Programs Improve Utility CX
When did your utility provider last ask you to rate your customer experience (CX) with them? With rising competition, energy costs, customer demands, and regulatory and stakeholder pressure to improve customer services, these key factors drive service providers of water, electricity, and gas to engage deeply with their customers. Old traditional business models must be changed to adapt to the times, and utility brands must prioritize CX more than ever before. The Utility Customer Experience …