One of the great competitive advantages an organization can have is being able to find money and performance boosts in areas where most other organizations don’t normally look. This is how to turn conventional business wisdom in it’s head:
- Instead of focusing only on the acquisition of new customers, measure the seamless on boarding of new customers and the retention of existing customers.
- Instead of focusing on resolving customer complaints, measure the amount of new revenue generated from those complaining customers.
- Instead of spending a great deal of time on strategy development, focus on execution and implementation of the strategy.
- Instead of only focusing on pursuing new customers, find a way to have customers seek you out.
- Instead of focusing only on product development timelines, measure the uptake of that product relative to other new products that were successful.
- Instead of over-delivering on features, benefits and services, determine what the customer needs and only provide that.
- Instead of measuring the number of new ideas developed, measure the number of ideas that become commercially viable and from where those ideas were generated.
- Instead of focusing on customer satisfaction, measure the number of referrals to new prospective customers received from each customer.
- Instead of treating all customers equally, treat your most important customers better than the rest.
- Instead of measuring employee turnover or attrition, measure how many of your best people stay with the organization for more than three years.
- Instead of providing incentives to sales people for making the initial sale, only measure and reward them for repeat, long-term customers.
- Instead of focusing on the number of new products and services you bring to market, measure the percentage of revenue and profit those new products and services represent in their first three years of existence.
As you can see, there are many different areas where there are tremendous opportunities for increases in profit and performance. And we have just scratched the surface.
I will be hosting a free teleconference going into more detail about these areas on Thursday February 28 at 10:00EST. To register, please provide your name, organization and email address to [email protected].
Look for future posts over the next few days where I will go into more detail about each of the ideas above.