Posts Tagged ‘Trust’
During these uncertain times, is it possible that some of your customer’s are less likely to switch loyalties to another supplier, even if that supplier ‘might’ offer some advantages?
Do you see customer loyalty on the rise? Some of my clients do and have expressed this view to me recently.
One client recently passed this story along: when his sales force blitzes a new territory for their product line, out of 300+ contacts they now only yield 1 or 2% new customers! In the past this was apparently much higher. And get this, he wasn’t referring to a direct-mail blitz, but rather, personal contacts in the field. His company has earned a stellar reputation in the marketplace, and has among the highest quality as well as lowest price points, but still finds receptivity to doing business with a new supplier much more difficult to achieve.
What factors may be driving increased customer loyalty today? Well, according to some studies (Harvard Business Review, July-Aug 2009) trust in business is running much lower than in previous years.
So, if decision-makers trust other businesses less, doesn’t it seem possible that they might be less likely to consider switching to new vendors? While resistance to changing suppliers has always been evident in competitive B2B markets, it may just be on the rise.
Fortunately, there are some ways you can ride this wave of mistrust and come out ahead.
7 Ways to Keep Existing Customers and/or Land New Ones:
- Find ways to build and earn more trust in the initial phase of your sales cycle with prospects. Offer to do lunch and learns, provide case studies of your results, provide a steady stream of customer testimonials.
- Give the sales cycle longer intervals than in the past. If your sales cycle is six months, give it nine or twelve when soliciting a prospect who has never done business with your company before now.
Short article #42
Unfortunately, one unintended consequence of high unemployment may be that it has given some managers the belief that they can be more demanding or controlling of their employees.
I’m hearing managers say things I haven’t heard in a long time. Things that bespeak of an underlying and troubling attitude.
- “I can have you replaced with a dozen just like you by noon if I want!” Read more »
I’ve provided a link (Engaging Employees Tops Leadership Priorities in Tough Economic Times) to a nice article on what leaders can do to rev up workplace attitudes. In addition, I’ve added a few tips you might want to comment on…
Definitely, be a straight shooter on what these tough times mean to your company, and the department. Don’t spin the truth one iota.
With everything going on in society, trust is more important than ever. It’s crucial in business, with customers, with fellow workers, with vendors or suppliers—everything really.
When it comes to building trust with associates, mistrust seems to be more prevalent. Many employees believe their boss spins the truth, fosters gossip and fails to deliver on promises.
A study of 700 workers by Florida State University found among other things: