How many customers is it OK to lose?
All business owners will say “zero,” but in reality, that is not a practical answer. Every business loses customers. Research shows that the average business loses about 10% to 25% of its customer base per year.
Some argue that, as long as there are more customers coming in than going out, you’re running a successful business. The point is, it’s important to look at why you lose any at all.
Why Agents Lose Customers
Telecom agents lose customers for a few reasons. When too much energy, focus, and time are spent on acquiring rather than retaining customers, it can be a losing battle. Relationships with customers can fall apart when companies base their retention mechanism completely on the signed contract. A stronger bond with customers needs to be created to remind them you care about serving their wants and needs.
If there is no tracking mechanism in place to raise awareness about your brand, customers may not remember to renew with your company when the contract expires. Telecom agents need to focus on improving the following churn factors:
- poor process
- lack of retention programs
- non-existent upselling strategies
- no attempt to expand customer relationships or encourage referrals
- lack of thorough contact information
- pricing higher than the market standard
- competition among coworkers in the sales department
Turn that Churn Around
Your relationship with customers needs to be built on communication strategies, not worn out sales tactics. Be aware that other IT VARs and MSPs in your market may have a more firm grip on their customers by interacting with them more often.
It cannot be overstated that the team you have in place to interact with your customers needs to possess impeccable service skills. While that might seem obvious, it’s crucial to have people on board who can build trust, display empathy, be flexible, and have superior verbal communication skills. Each customer contact with your team is an opportunity to build your reputation — or destroy it.
It’s important to look deeply into the success customers find from using your telecom products and services. Contact CRA Telecom to learn more about how to better serve your customers.
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