Are You Doing Everything You Can to Keep Your Customers?

Written by: Hasan Luongo
Position: Community Leader, E-Myth Worldwide
Article: Permalink
Category: Client Fulfillment
Tags:
Published on: April 13, 2006
Article: Print View
Trackbacks: (45)
Comments: (6)

"The purpose of business is to create and keep a customer."

-- Peter F. Drucker, management author, teacher and consultant

The lead generation and lead conversion processes focus only on creating new customers, but the client fulfillment process is concerned with keeping them. Optimal client fulfillment has two basics tenents: you must deliver on your promises, and you must provide something of real value to customers. Fundamentals aside, client fulfillment is about working to keep customers - and keep them coming back - because retaining customers is much less expensive, and much more profitable, than trying to find new ones. At its heart, the client fulfillment process of every business has the main components of: product strategy and design, production, delivery, and customer service.

Product strategy and design

Product strategy and design have to do with making sure that your products do what you intend for them to do in order to satisfy your customers, with your customers’ needs and wants uppermost in your minds.

Let’s take a quick look at the example of the Apple iPod - one of the most successful consumer products of recent times. Its success can be attributed to many factors, but the fundamental strategy employed by Apple presents an excellent example of addressing their client fulfillment process before their lead generation and lead conversion processes. The iPod team kept the customer in the forefront of their minds, and designed a portable music player with great features such as a convenient compact size and an easy-to-navigate interface, along with something more - an electronic device with great sensory appeal. And, by doing so, they met a consumer need that millions of devoted customers didn’t even know they had!

Production and delivery

Production has to do with taking the idea of the product or service that you design and making it a reality for your clients, and delivery is about getting that product or service into their hands in a way that makes them feel good about the value you offer. In the case of the iPod, while the product represented a new category for Apple, they were able to tap existing design and production resources to create it. At the strategic level Apple was leveraging existing strengths to enter a new market.

What differentiates the iPod from every other MP3 player on the market is the existence of the Apple iTunes music store. The iTunes music store allows customers to legally and instantly buy and deliver content from the Web to their home computers and their iPods. The iTunes store was Apple’s primary differentiator in the industry, and as the adoption rate of the iPod extended into the mainstream, the music store represented a massive attraction tool for customers and huge barrier for competitors. From a strategic perspective, Apple reinvented the distribution and delivery channel for audio content, essentially taking over the role of the middle man and extending its service beyond the realm of hardware. This innovation leveraged Apple’s core strengths by tapping their software production skills and delivering something in a new and innovative way.

Customer service

The definition of exceptional customer service is to enhance your main offer in a way that is focused and deliberate and that enhances your offering in the eyes of your customers; in other words, it is the service you offer customers on top of the main offer.

In the case of the iPod, it has been wildly successful because Apple focused first on creating an amazing product that gives their customers what they want, and more. The Apple iPod example proves that if you have and use an innovative and strategic approach to the hugely important, but often overlooked, functional areas of client fulfillment (product design, production, delivery, and customer service) you can create and keep customers, and keep them coming back, time and again.

Where can YOU start to optimize your client fulfillment system?

What does all this mean for you? Now that you have this overview of the components of client fulfillment, what will YOU do to start transforming them in your business?

To begin with, you can look at your existing product, examine it with a view to what your customer really wants, and perhaps redesign it to more closely meet that ideal product. Then, think about your production, delivery and customer service processes, and whether they can be optimized and improved.

Really think deeply about how you approach client fulfillment in your business. Start by asking yourself:

  • What is your product or service, and what is the idea behind it?
  • How do you make it a reality; how do you produce it?
  • How do you get it into the hands of your customers?
  • What customer services do you offer to enhance the value of your product that are not an inherent part of the product itself?

Remember, everything your business does should directly or indirectly serve your customers. Client fulfillment is, simply put, the very heart of your business, and therefore deserves your best thinking, your best attention, and your best effort ? because don’t your customers deserve the best?

Please share your client fulfillment best practices with the rest of the Community!

*Edited at 12:25:06 PM on Apr 26 2006

Comments:


Hasan April 25, 2006 10:21:47 AM

Let's take a more high level approach to client fulfillment. From the E-Myth Point of View client fulfillment is the process in which you deliver a promise. Client Fulfillment applies to four components within your business:
1) Product Strategy and Design
2) Production process
3) Delivery Process
4) Customer Service

It is critical to understand how these processes are impacting your customers and how they can be improved to deliver a superior customer experience.

The iPod example is a more about the complete customer experience, including the packaging, user interface, iTunes Music Store, cool white headphones, and so on. Apple may have a lot of room for improvement in the customer service component of client fulfillment but we can learn a lot from them about delivering an experience.

If we limit our perspective of client fulfillment to include just customer service we are missing an opportunity to create an advantage over our competitors by defining and delivering exceptional customer experiences.




Marc April 24, 2006 08:13:59 AM

Why do these discussions always have to turn into a Mac vs. PC debate?

Apple makes fine products. I've had good customer service from them over the years and I might add very few issues with hardware, about 3 altogether in over 18 years of owning Macs.

Microsoft makes fine products as well. I use a few of them. Sometimes there are frustrations, but like anything designed and made by human beings, NOTHING IS PERFECT.

Try getting customer service from DELL. Yikes! They give the ultimate runaround. Try communicating with those lovely Indian folks. Nice people, but can't get past the accent. What about the SERVICE TAG. Can't do anything with DELL without that wonderful piece of info, which by the way, doesn't come on a monitor when you buy a DELL monitor all by itself. If the thing breaks and you must call customer service about it, forget about getting anywhere with those CS people in India.

Apple on the other hand keeps their records according to serial number and that is attached to my information. So when I call with a problem, they can see the relationship between hardware and customer instantly. What a concept?

Anyway, I think the original question was: Are you doing Everything You CAN to keep Your Customers? Not what is Apple or Microsoft or Dell doing to keep their customers.

Can anyone share about what they do with their product or service that the rest of us can learn from?

How do you produce your product or service?

What customer services do you offer to enhance the value of your product that are not an inherent part of the product itself?

I'd like to learn something from you all. We all know what the computer manufacturers do wrong or right, but what about you, the e-Mythers out there?

I am a service provider in a one man shop. i produce films and videos and often just do nothing more than provide my services to a single client at a time. What can I do to better serve my clients, to provide them with value and keep them coming back over and over again?

Words of wisdom are appreciated. Thanks.

Paul April 22, 2006 03:36:58 AM

I recall when personal computers first went mainstream. There were the "Windows" people and the "Mac" people. Similar in a way to "Ford" v. "Chevy", it was "Windows" v."Mac". Both sides swore by their choice and bad-mouthed the other. But Windows ended up leaving the Mac people in the dust due to their huge Marketing efforts, licensing agreements, and a wide range of software that could only be used with Windows. Meanwhile, Jobs rift with Apple went public and he was out the door. That was the death of any hope for Apple computers to compete with Microsoft.
But Jobs is back and they may have learned a few things over the years. In the past, Jobs concentrated on style, looks, and inovation but fell short on Marketing and distribution for software available for Apple computers. Now he has a new toy and seems to be covering all bases while enjoying the lead. I doubt Gates will catch up anytime soon because anything he comes up with will look like a copy-cat product. But we'll see...

Mark April 21, 2006 04:05:27 PM

I agree with both Michael and Wendy. Apple's strength and their weakness is Marketing. They push image image and image, it's no wonder graphic designers are the some of their biggest fans. I remember when the first titanium notebook came out and Jobs said in a big conference, "Isn't it beautiful?" Interestingly, Steve Jobs is also the CEO of Pixar, where he gets to put even more attention into making things look cool. I doesn't surprise me at all that Apple's support is weak, that would require substance behind the image and a lack of disparity between the two. On the other side of the fence, you can easily see Bill Gates' geekiness built into Microsoft products, where you basically have to have low level sysadmin skills to use them well. Maybe someday when the leaders of these kinds of major companies start dealing with their shadows we could have products that look good AND work well...think of the MK and LG costs they could save...in the meantime, maybe Microsoft make it so you can hit ctrl, alt and delete with one key. That'd be a big time saver! :)

Wendy April 17, 2006 11:49:09 AM

Part of Apple's success is that they know exactly who their customer is and what is most important to them. This is not only a good product design decision but a good business decision.

Michael April 13, 2006 05:20:48 PM

I think Apple missed the boat in the area of Customer Service. Their software support for upgrades is AWFUL. Takes forever just to get them to admit there's a problem, and I had to comb through non-affiliated blogs to find a workable solution.

I think there are real opportunities for Rio and other competitors to win over customers with more useful service.

Small Business Product Development Needs

Take our survey