Download or read book Relationship U Turn Approaches to Increase the Value of an Unprofitable Customer written by Kerstin Helmes and published by Diplomarbeiten Agentur. This book was released on 2011-06 with total page 55 pages. Available in PDF, EPUB and Kindle. Book excerpt: Customer relationship management concentrates to a great extent on the profitable customers and how to enhance their profitability. Little insight has been given on how to treat the "wrong" customer. This literature research paper shows that customer profitability and overall firm profitability can be improved when dealing with unprofitable customers. The managerial approaches discussed focus on maintaining the customer relationship. For this reason, this paper differs from the general widespread strategy of termination or "firing" an invaluable customer. First, relationship marketing and "Relationship U-turn" are introduced in this paper. Second, customer value and methods of measuring customer value are discussed. The body of this paper concentrates on different approaches that try to turn unprofitable customer relationships into profitable ones. Some of the approaches focus on letting the customer take over more of the value chain activities such as self-service. Other approaches look more at the non-monetary value a customer can provide such as positive word-of-mouth. Examples from business-to-business (B2B) and business-to-consumer (B2C) markets are given for each approach and discussed in detail. The paper concludes with ideas for future research and a discussion. It emphasizes that companies need to realize that every customer is an asset that contributes to the value of a firm. However, customers differ in their needs and a company has to tailor its offering to meet these needs. Only when a company takes a more customer-centric view can it be successful, especially in mature markets.

Download or read book Managing Customers Profitably written by Lynette Ryals and published by John Wiley & Sons. This book was released on 2009-01-22 with total page 384 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book is a response to a need in the market place in the fast-growing field of customer profitability analysis and the profitable management of customer relationships. It combines innovative approaches to calculating the value of customers, with the management strategies necessary to make and keep customers profitable. It includes easy-to-follow instructions on how to calculate customer profitability, including worked examples (non-technical) and discusses strategies and their applications for organizations to manage customers profitably. Based on cases and feedback from the KAM Club and other research, there will be many business-to-business as well as business-to-consumer examples. The book assumes some level of numeracy in its readership. The contents include: Assessing product costs, costs to serve and how these can be estimated, and how to deal with customer-specific overhead costs. It discusses the uses and limitations of the use of customer profitability analysis, and illustrates how to calculate customer lifetime value using two methods, one with actual numbers and one which estimates relative customer lifetime value. Provides an innovative approach to calculating the lifetime value of a customer by taking risk into account. Demonstrates how to recognise and value the relationship benefits of customers, such as word of mouth. Brings into discussion the idea that how customers are managed, links to their profitability. Describes how financial portfolio analysis and theory apply to marketing and how, their application to marketing relates to the optimisation of marketing spend.

Download or read book What to do with Unprofitable Customers Customer Lifetime Value Customer Metrics of Adverse Behavior and Feasible Strategies for Managing Unprofitable Customers written by Anna Balashova and published by GRIN Verlag. This book was released on 2017-05-23 with total page 35 pages. Available in PDF, EPUB and Kindle. Book excerpt: Bachelor Thesis from the year 2016 in the subject Business economics - Offline Marketing and Online Marketing, grade: 1,3, University of Münster, language: English, abstract: In this paper, I analyze how customer metrics like Customer lifetime value (CLV) are linked to strategies for managing unprofitable customers. Valuing customers or their behavior, respectively, has become an indispensable issue for any commercial activity. When determining causes and reasons of the customers’ contribution to firm value or performance, the customer base usually is analyzed and evaluated, whereas profitable and unprofitable customers are identified. Especially the subject of unprofitable customers, the methods to single them out and their input on the firm’s financial performance have been thoroughly discussed in the literature. Because regular financial metrics have restricted diagnostic potential, relying on customer metrics appears more suitable for determining customer’s profitability. There are diverse methods for evaluating customers, such as previous period customer revenue, past customer value, customer lifetime duration and customer lifetime value (CLV). CLV examines customer profitability from a prospective perspective, foreseeing future customer behavior and discounting future cash flows. CLV and its measurement models, depending on the kind of customers and products obtained by the company, provide a basis for strategic and tactical decisions. Customer’s persistent adverse behavior can lead to unprofitable outcome and should be considered by determining profitability on the base of CLV. There are several strategies for handling unprofitable customers. Before applying one of these, it is necessary to measure potential benefits and losses, as the chosen strategy can have a longrun effect on the firm’s clientele. There are some interconnections between various CLV measurement models, other customer metrics and strategies applied to unprofitable customers.

Download or read book The Right Way to Manage Unprofitable Customers written by Vikas Mittal and published by . This book was released on 2020 with total page 10 pages. Available in PDF, EPUB and Kindle. Book excerpt: Problem customers can cost your business lots of money, but quickly ejecting them may not be the best way to relieve the burden. Mittal, of Rice University, Sarkees, of Penn State, and Murshed, of Towson University, explore the ins and outs of customer divestment. Using real-world examples, the authors show how deciding to end a relationship with a customer segment or individual can increase profitability, improve employee morale, address capacity constraints, and bolster a business strategy. However, divestment also comes with potential downsides for various constituencies, including employees and remaining customers, both of whom may wonder whether they're next. In addition, ethical and legal consequences -- and the risk of bad publicity -- always loom. Before you rush to action, say the authors, walk through their five-part customer divestment framework. First, reassess the context of present customer relationships, looking beyond simple profitability. You may find that the most productive option is to educate customers rather than drop them. In some cases, if you renegotiate the value proposition with them, both of you will win. In other instances, you'll want to migrate customers to other subsidiaries or providers, as long as the move is undertaken -- and perceived to be conducted -- in good faith. If it becomes necessary to terminate a customer relationship, use a direct, interpersonal approach. No business can afford to squander its customer base, so divestment should not be boiled down to determining merely who is profitable and who is not -- the strategic consequences are too weighty. In the end, the decision about whether to divest might prove to be the toughest customer of all.

Download or read book Return on Customer written by Don Peppers and published by Crown Business. This book was released on 2005-06-21 with total page 316 pages. Available in PDF, EPUB and Kindle. Book excerpt: Internationally acclaimed business gurus and best-selling authors Don Peppers and Martha Rogers kicked off the CRM revolution and changed the landscape of business competition with their classic bestseller, The One to One Future. Now, in Return on Customer, they have written an even more revolutionary book, redefining the very concept of what it means to be “profitable” as a business. Virtually every manager agrees that a company’s most vital asset is its customer base – the lifetime values of all its current and future customers. Yet when companies track their financial results, they rarely take into account any change in the value of this critical asset. As a result, managers remain blind to one of the most significant factors driving genuine, lasting business success, and instead become preoccupied with achieving short-term financial goals. Return on Customer is the first book to focus on how firms create value, not just by driving current profits, but by preserving and increasing customer lifetime value. In a powerful blend of theory and practice, Peppers and Rogers demonstrate how to create shareholder value more efficiently by concentrating on Return on CustomerSM, a revolutionary business metric focused on a company’s scarcest resource – customers. By paying close attention to Return on Customer, companies can improve their profits while still conserving and replenishing long-term enterprise value. Relying on their years of experience working with many of the world’s leading companies, Peppers and Rogers take readers far beyond marketing, sales, and service. Return on Customer will revolutionize how companies think about their basic competitive strategy, product development efforts, and even the issue of business ethics and corporate governance. Return on CustomerSM is a registered service mark of Peppers & Rogers Group, a division of Carlson Marketing Group, Inc. “To remain competitive, you must figure out how to keep your customers longer, grow them into bigger customers, make them more profitable, and serve them more efficiently. And you want more of them. Unfortunately, the financial metrics you learned in business school are not easily adapted to account for the value companies generate from this scarce resource, with the right balance between current-period sales and customer lifetime value. But striking that balance is necessary if you want to know whether you’re better off investing in customer acquisition, or in product development, or opening new stores, or plant efficiency, or better qualified personnel, or more service, or cost reduction. While you may believe in your heart that a particular decision creates shareholder value, there’s no financial metric currently available to tell you how much shareholder value you actually created, or even whether you created any at all. But Return on Customer can help you. Return on Customer is a breakthrough financial metric that can quantify the actual shareholder value you are creating (or, possibly, destroying) with your various business actions and initiatives.” —from Return on Customer

Download or read book Sales and Distribution Management written by S.L. Gupta and published by Excel Books India. This book was released on 2009 with total page 620 pages. Available in PDF, EPUB and Kindle. Book excerpt: Most standard books on marketing area have been written by American authors. Though there are a number of books on Sales and Distribution Management by Indian authors as well, these books do not present the Indian conditions in the right perspective. Indian students studying management require books which deal with the changing profile of Indian buyers and helps them understand their perceptions and motivations as also the factors that influence the decisions made by Indian consumers.The book offers a practical approach to Sales and Distribution Management and gives a comprehensive, easy-to-read and enjoyable treatment to the subject matter for students of Sales and Distribution Management. It includes more than 500 live examples and 30 Case Studies from Indian marketing environment and provides sufficient food for thought to students to develop themselves as Result oriented marketers of the future.

Download or read book Accelerating Customer Relationships written by Ronald S. Swift and published by Prentice Hall Professional. This book was released on 2001 with total page 524 pages. Available in PDF, EPUB and Kindle. Book excerpt: Preface Corporations that achieve high customer retention and high customer profitability aim for: The right product (or service), to the right customer, at the right price, at the right time, through the right channel, to satisfy the customer's need or desire. Information Technology—in the form of sophisticated databases fed by electronic commerce, point-of-sale devices, ATMs, and other customer touch points—is changing the roles of marketing and managing customers. Information and knowledge bases abound and are being leveraged to drive new profitability and manage changing relationships with customers. The creation of knowledge bases, sometimes called data warehouses or Info-Structures, provides profitable opportunities for business managers to define and analyze their customers' behavior to develop and better manage short- and long-term relationships. Relationship Technology will become the new norm for the use of information and customer knowledge bases to forge more meaningful relationships. This will be accomplished through advanced technology, processes centered on the customers and channels, as well as methodologies and software combined to affect the behaviors of organizations (internally) and their customers/channels (externally). We are quickly moving from Information Technology to Relationship Technology. The positive effect will be astounding and highly profitable for those that also foster CRM. At the turn of the century, merchants and bankers knew their customers; they lived in the same neighborhoods and understood the individual shopping and banking needs of each of their customers. They practiced the purest form of Customer Relationship Management (CRM). With mass merchandising and franchising, customer relationships became distant. As the new millennium begins, companies are beginning to leverage IT to return to the CRM principles of the neighborhood store and bank. The customer should be the primary focus for most organizations. Yet customer information in a form suitable for marketing or management purposes either is not available, or becomes available long after a market opportunity passes, therefore CRM opportunities are lost. Understanding customers today is accomplished by maintaining and acting on historical and very detailed data, obtained from numerous computing and point-of-contact devices. The data is merged, enriched, and transformed into meaningful information in a specialized database. In a world of powerful computers, personal software applications, and easy-to-use analytical end-user software tools, managers have the power to segment and directly address marketing opportunities through well managed processes and marketing strategies. This book is written for business executives and managers interested in gaining advantage by using advanced customer information and marketing process techniques. Managers charged with managing and enhancing relationships with their customers will find this book a profitable guide for many years. Many of today's managers are also charged with cutting the cost of sales to increase profitability. All managers need to identify and focus on those customers who are the most profitable, while, possibly, withdrawing from supporting customers who are unprofitable. The goal of this book is to help you: identify actions to categorize and address your customers much more effectively through the use of information and technology, define the benefits of knowing customers more intimately, and show how you can use information to increase turnover/revenues, satisfaction, and profitability. The level of detailed information that companies can build about a single customer now enables them to market through knowledge-based relationships. By defining processes and providing activities, this book will accelerate your CRM "learning curve," and provide an effective framework that will enable your organization to tap into the best practices and experiences of CRM-driven companies (in Chapter 14). In Chapter 6, you will have the opportunity to learn how to (in less than 100 days) start or advance, your customer database or data warehouse environment. This book also provides a wider managerial perspective on the implications of obtaining better information about the whole business. The customer-centric knowledge-based info-structure changes the way that companies do business, and it is likely to alter the structure of the organization, the way it is staffed, and, even, how its management and employees behave. Organizational changes affect the way the marketing department works and the way that it is perceived within the organization. Effective communications with prospects, customers, alliance partners, competitors, the media, and through individualized feedback mechanisms creates a whole new image for marketing and new opportunities for marketing successes. Chapter 14 provides examples of companies that have transformed their marketing principles into CRM practices and are engaging more and more customers in long-term satisfaction and higher per-customer profitability. In the title of this book and throughout its pages I have used the phrase "Relationship Technologies" to describe the increasingly sophisticated data warehousing and business intelligence technologies that are helping companies create lasting customer relationships, therefore improving business performance. I want to acknowledge that this phrase was created and protected by NCR Corporation and I use this trademark throughout this book with the company's permission. Special thanks and credit for developing the Relationship Technologies concept goes to Dr. Stephen Emmott of NCR's acclaimed Knowledge Lab in London. As time marches on, there is an ever-increasing velocity with which we communicate, interact, position, and involve our selves and our customers in relationships. To increase your Return on Investment (ROI), the right information and relationship technologies are critical for effective Customer Relationship Management. It is now possible to: know who your customers are and who your best customers are stimulate what they buy or know what they won't buy time when and how they buy learn customers' preferences and make them loyal customers define characteristics that make up a great/profitable customer model channels are best to address a customer's needs predict what they may or will buy in the future keep your best customers for many years This book features many companies using CRM, decision-support, marketing databases, and data-warehousing techniques to achieve a positive ROI, using customer-centric knowledge-bases. Success begins with understanding the scope and processes involved in true CRM and then initiating appropriate actions to create and move forward into the future. Walking the talk differentiates the perennial ongoing winners. Reinvestment in success generates growth and opportunity. Success is in our ability to learn from the past, adopt new ideas and actions in the present, and to challenge the future. Respectfully, Ronald S. Swift Dallas, Texas June 2000

Download or read book Self Made written by Brian Koslow and published by BrownBooks.ORM. This book was released on 2013-01-04 with total page 261 pages. Available in PDF, EPUB and Kindle. Book excerpt: The renowned success coach reveals the three fundamental principles for building wealth in this practical and inspirational guide. Making a lot of money is easy—once you know how. This is the reason the rich tend to get richer. When you have this knowledge and put it into action, your financial destiny isn’t simply left to chance. In Self-Made, renowned success coach Brian Koslow teaches you how to make powerful choices that lead to greater profits. You’ll learn how to maintain a “Wealth Mind-Set,” build “Mutually Advantageous Relationships,” and develop “Millionaire Skills.” Presented in an easy-to-read format with summaries, millionaire tips, and exercises, Self-Made is the ultimate study guide for success. By putting Brian’s advice into action, you will increase your effectiveness at creating wealth and finally control your financial destiny!

Download or read book 30 Days to Sales Success written by Meridith Elliott Powell, MBA, CSP and published by Sound Wisdom. This book was released on 2022-03-15 with total page 136 pages. Available in PDF, EPUB and Kindle. Book excerpt: In only one month, you can acquire the skills, tools, and techniques that will help you turn more prospects into loyal customers, increase your sales, and derive greater enjoyment from the experience. Organized into daily lessons on critical sales strategies, 30 Days to Sales Success is your roadmap to making sales more comfortable, more fulfilling, and more rewarding. Regardless of what you are selling—a product, a service, an idea, or a new direction—you have to understand the value of your offering and share it in a way that convinces people to participate. However, much of the sales advice today centers on the salesperson, not the customer, and entails aggressive cold-calling and upselling techniques. It’s no wonder so many people dislike selling…and why so many people dislike being sold to. Luckily, there is another way—a path to customer-oriented sales, with a focus on value, service, and long-term relationships. Named “One of the Top 20 Sales Experts to Follow” by LinkedIn, Meridith Elliott Powell will equip you with critical strategies for sustainable, relationship-oriented sales success. First, you will gain a solid foundation in approaching sales—from preparing to meet your prospect for the first time, to better defining your selling style, to more effectively articulating the value you and your product or service add. Next, you will develop expertise in the sales call, perfecting your message, delivery, and listening skills. Finally, you will master the art of the follow-up, ensuring your customer’s satisfaction, earning more referrals, increasing your offerings, and continuing your discussions. By reading the lessons and completing the journaling prompts and action items each day, you will progressively improve your sales savvy so that by the end of the month, you will feel more confident in your abilities and your natural sales style, more passionate about your work, and more empowered to sell with intention and efficacy.

Download or read book Managing Customer Experience and Relationships written by Don Peppers and published by John Wiley & Sons. This book was released on 2022-04-26 with total page 517 pages. Available in PDF, EPUB and Kindle. Book excerpt: Every business on the planet is trying to maximize the value created by its customers Learn how to do it, step by step, in this newly revised Fourth Edition of Managing Customer Experience and Relationships: A Strategic Framework. Written by Don Peppers and Martha Rogers, Ph.D., recognized for decades as two of the world's leading experts on customer experience issues, the book combines theory, case studies, and strategic analyses to guide a company on its own quest to position its customers at the very center of its business model, and to "treat different customers differently." This latest edition adds new material including: How to manage the mass-customization principles that drive digital interactions How to understand and manage data-driven marketing analytics issues, without having to do the math How to implement and monitor customer success management, the new discipline that has arisen alongside software-as-a-service businesses How to deal with the increasing threat to privacy, autonomy, and competition posed by the big tech companies like Facebook, Amazon, and Google Teaching slide decks to accompany the book, author-written test banks for all chapters, a complete glossary for the field, and full indexing Ideal not just for students, but for managers, executives, and other business leaders, Managing Customer Experience and Relationships should prove an indispensable resource for marketing, sales, or customer service professionals in both the B2C and B2B world.

Download or read book Online Marketing written by Richard Gay and published by Oxford University Press. This book was released on 2007-03-15 with total page 558 pages. Available in PDF, EPUB and Kindle. Book excerpt: 'Online Marketing' provides a balance between theory & practice by recognising the advantages & drawbacks of doing business online. Supported by contemporary mini-cases, case studies & expert opinion from leading practitioners, this text covers: the changing online environment, online planning and more.

Download or read book Employee Morale written by D. Bowles and published by Springer. This book was released on 2009-10-22 with total page 173 pages. Available in PDF, EPUB and Kindle. Book excerpt: Performance is the key outcome of high morale, and the reason why it should be taken so seriously: with research gathered from some of the world's largest employee opinion databases and best academic centres, the authors lay out the morale-performance connection.

Download or read book Invisible Profits written by Robert Moment and published by Christian Books. This book was released on 2007-09 with total page 108 pages. Available in PDF, EPUB and Kindle. Book excerpt: Who will benefit from this customer service book Invisible Profits: The Power of Exceptional Customer Service. Everyone who has any interaction with potential customers and clients and existing customers and clients will benefit from this valuable customer service book. In this complete guide to exceptional customer service you will learn: (a) How to know exactly what your customer expects - and how to give it to them every time. (b) How exceptional customer service generates exceptional profits- and how to train this concept to your customer service team (c) How to create a positive work environment that benefits customers and employees and generates profits (d) How to manage stressful situations more effectively- you'll even learn how to deal with difficult coworkers ! (e) How to recognize customers' signs and behaviors so that you can meet their needs before they even know what they are. (f) Key tactics that will instantly calm emotional customers so you can solve their problems productively. Customers leave happy and become lifelong, loyal purchasers. Here are just some employment positions within corporations and small businesses that will benefit from this book: customer service representatives, billing specialists, call centers, service professionals, service professional firms, retail stores, field service representatives, account managers, sales professionals, small business owners, technical and support personnel and managers who want customer service training in order to reinforce their skills and train their staff.

Download or read book Ultimate Small Business Marketing Guide written by James Stephenson and published by Entrepreneur Press. This book was released on 2007-01-01 with total page 586 pages. Available in PDF, EPUB and Kindle. Book excerpt: The second edition of this comprehensive guide introduces new marketing, advertising, sales and public relations techniques to the 1,500 proven ideas from the first edition. It adds dozens of new high-tech strategies required to stay one step ahead in today’s highly competitive global marketplace. Off- and online resources have been updated and new ones—including blogs and new websites—have been added.

Download or read book Creating Loyal Profitable Customers written by Keith Abraham and published by Maruki Books. This book was released on 1999 with total page 168 pages. Available in PDF, EPUB and Kindle. Book excerpt: Creating Loyal Profitable Customers establishes that there are 6 simple steps to turning a one time buyer into a lifetime advocate. This book will help any business to stand out head and shoulders above any other who does not use customer service as part of their strategy for increasing sales, reducing marketing expenses and growing their business profitability. Keith also shares his 9- step formula for gaining endless supply of referrals from every customer. There are practical tips, tools and templates in this book that will revolutionise the way most companies develop their teams to sell and succeed in business using Customer Service as a key component in their marketing tool kit.

Download or read book Business Resilience System BRS Driven Through Boolean Fuzzy Logics and Cloud Computation written by Bahman Zohuri and published by Springer. This book was released on 2017-02-28 with total page 436 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book provides a technical approach to a Business Resilience System with its Risk Atom and Processing Data Point based on fuzzy logic and cloud computation in real time. Its purpose and objectives define a clear set of expectations for Organizations and Enterprises so their network system and supply chain are totally resilient and protected against cyber-attacks, manmade threats, and natural disasters. These enterprises include financial, organizational, homeland security, and supply chain operations with multi-point manufacturing across the world. Market shares and marketing advantages are expected to result from the implementation of the system. The collected information and defined objectives form the basis to monitor and analyze the data through cloud computation, and will guarantee the success of their survivability's against any unexpected threats. This book will be useful for advanced undergraduate and graduate students in the field of computer engineering, engineers that work for manufacturing companies, business analysts in retail and e-Commerce, and those working in the defense industry, Information Security, and Information Technology.

Download or read book CIO written by and published by . This book was released on 2003 with total page 566 pages. Available in PDF, EPUB and Kindle. Book excerpt: