subject: Beauty Salon Case Study: What Is Worth Retaining Customers [print this page] Now measuring the success of an enterprise is no longer just the standard corporate rate of return on investment and market share, but the company's customer retention, customer share, and data assets, income and other indicators. Toyota believes that "We are not selling cars, but to help customers buy a car" business philosophy, introduced a "nanny" type of service plan; the United States Cadillac would like more thoughtful in his points for each vehicle maintenance has prepared a good car, as long as the user of a bad car, bad car can be put down, drive away spare car. When the user of a bad car repaired immediately sent back to the user, is not wasted your time. Goal is to retain customers. However, some customers have left little benefit, but increased operating costs, such as number of customers, their purchasing decisions influenced only by the price, if the other store prices lower than you, they will immediately leave you . Because of cost considerations, any company can build profit with every customer relationship.
Operating mail-order business, Roy? Jia Defu To save money, decided to amputation of part of the future value of customers is not high. Market analysts, Mr. Jia Defu to the list of the types of customers: Some customers have been abandoned to their own, can generate revenue per transaction; some customers and the company has a long, but sporadic buying relationship shaped like a long stream flow quit; some customers like a meteor flash, patronize only once, but a large number of purchase; there customers patronized in the past few years the company several times, but the number of purchase little, and lower prices are met when providing services to them is minimal profits or even losses. Jia Defu into a dilemma: which part of what the cut off customers? In fact, careful analysis of Jia Defu
customers can follow a single transaction gains and repeat transactions, roughly be broken up into four categories, namely: 1 gold customer. Willing to establish long-term mutually beneficial business relationship, each transaction can bring benefits for the enterprise; 2, stream customers. Enterprise customers are willing to establish long-term business relationship, but each transaction can only bring minor benefits for the enterprise; 3, Meteor customers. Like to try new options, not always with the business transactions, but each transaction can bring some benefits for the enterprise; 4, the burden of customers. Some customers more choice in many enterprises, only to attract customers in the enterprise will be the price down to very low or even negative returns and business transactions only. The relationship between the profitability of all customers can be classified into three categories:
1, the greatest profit to the company's gold customers.
2, bringing in substantial profits and may become a source of the meteor's largest customers and profit stream customers.
3, is now able to bring profit, but the burden of losing the value of customers.
Under Pareto Law, 20% of customers bring 80% of the sales profits.
Through the above analysis, Jia Defu customer base should be handled as follows:
1, which although only 10% of the corporation's sales, profits up, but give the company a customer is trying to retain the gold primary objective.
2, accounting for sales and profits 40% to 50% of the meteor stream customers and clients. This part of the mainstream customer base, customers give the company a substantial profit, and may become the biggest source of profit for the company, should train their customers transition to the gold. Of course, only some people will eventually become the gold customers.
3, although the third type of customer who can bring profit, but it is losing customers value. If these customers require special care and communication, may increase their purchases, but compared with the large amount of marketing expenditure, may seem too expensive, not worth retaining, it is only to give up part.
Case: Have a friend to open beauty stores, as ask a guest to stay well and have been more successful business. She opened at the beginning, we set up customer files, including when each customer in the store where she used from any service, bought something, who is full price for goods, who enjoy a price discount, and even she has a general understanding What is the time to the customer's consumption of other beauty institutions.
She spent half of the marketing costs of the two accounts into their sales Liu Cheng clients, every time these customers receive discounts from various outlets, opportunities include the characteristics given to customer care menu, new products advance notice, shopping gifts personalized gifts and give their friends the special services.
Beauty Salon Case Study: What Is Worth Retaining Customers
