When it comes to converting prospective customers to paying customers, many organizations have a very low conversion rate. Here are three reasons why:
- They think all business is good business. Organizations need to determine who their ideal customer is and develop strategies to acquire them. It’s also important to stratify existing customers so you know where the best opportunities are. Most organizations put effort behind pursuing and retaining the wrong customers.
- They don’t take the time to find out what the customer is trying to accomplish. Many organizations are so in love with their own products that they sell the features and benefits of those products, regardless of what the customer really needs. The most successful companies find out what customers want to achieve and develop solutions to help them.
- Too many people are involved and not all of them add value to the relationship. We have sales reps and account managers and subject matter experts, so it is often unclear who is accountable for the relationship. There are also many situations where one or more of these roles become order takers, not actually adding any value. If any of these front line people are not helping to acquire or retain customers, why are they involved?