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Tuesday, September 21
Omega 3
by
BizNess Editor
on Tue 21 Sep 2004 08:01 AM PDT
Recent surveys indicate that an increased number of Americans are showing signs of depression. A 1996 study links low levels ... more »
Fred Harteis as a Leader
by
BizNess Editor
on Mon 20 Sep 2004 10:24 PM PDT
Harteis - Leadership-style: Part One
by member at 02:03PM (EDT) on September 13, 2004 | Permanent Link
Harteis: Leadership-style: ... more »
Les Brown at Fred Harteis Convention
by
BizNess Editor
on Mon 20 Sep 2004 09:53 PM PDT
Fred Harteis of Harteis International and BizNet Productions brings Les Brown Motivational Speaker and IBO to Free Enterprise CelebrationUp ... more »
Customer loyalty- Key to a successful BizNet business
by
D-Team
on Tue 21 Sep 2004 12:41 AM EDT
Customer Loyalty Research Shows That Loyal Customers Provide Bigger Profits
Top performing companies focus on attracting and keeping customers. Why? Loyal customers provide greater profitability. Loyal customers spend 80% more than other customers. Eighty percent of a company’s sales come from 20% of their customers.Loyalty can’t be purchased by the pound. Loyalty can’t be stocked on shelves in colorful ‘new and improved’ packaging.
Customer loyalty is built over time. Customer loyalty is built in stages.
Time: In the consumer goods and services industries, (e.g., food, health, beauty, restaurant, telephone) it takes 12-18 months to build and earn a customer’s loyalty.
Stages: Each customer loyalty stage has a number, a name, and a cost. The stages of customer loyalty are: Try > Buy > Ask > Tell Others > Loyal.
Try: To get a customer to the “Try” stage, she must first become aware of the product and sample it. Across most industries, the average cost to get someone to ‘try’ something new is between $60 and $120. That’s a lot. This is known as the Customer Acquisition cost.
Cost is six to eight times more: A good customer is like a good friend. It should be worth a lot to keep them. Many companies still haven’t grasped this. They need to do the math. It costs six to eight times more to acquire a new customer than it does to keep a customer. If the customer doesn’t continue to buy the product, the $60-$120 to get them to TRY it was wasted.
Spending Priorities Wrong: Most companies continue to spend 75% of their sales and marketing budgets to get non-customers to try their products, while spending relatively little on the 20% of their customer group who provides them with 80% of their revenues.
Telecommunications is an industry famous for getting this part of the business backwards. We see telecom companies pay to acquire the same customer over and over again. They’ve been known to write checks to get people to switch to their service.
Next, they take such poor care of those same customers that they drive them away again.
Breaking this cycle requires a giant amount of long-term cultural and corporate change. Spending money to acquire new customers doesn’t require change; it requires cash. Most choose cash over change. Most are wrong.
Build customer loyalty. It’s good business.
© 2003 Making Business Work, Kamaron Institute. All rights reserved.
XS TESTIMONIALS II
by
BizNess Editor
on Mon 20 Sep 2004 09:37 PM PDT
XS XS XS XS XS XS XS XS XS XS XS XS XS XS XS John Gregurich - Omaha , ... more »
Harteis International is big believer in private label
by
D-Team
on Tue 21 Sep 2004 12:30 AM EDT
Yield More Profit and Greater Customer Loyalty
Owners want more profit. That explains their growing interest in finding and adding private label brands. True private label brands offer owners unique products and higher value products.
The word that best represents a "true" private label is "Special." The company and its products offer special features and benefits to the customer that are not available elsewhere. Their focus is on providing "value." True private labels rarely make the mistake of competing solely on price. They usually leave the price wars to generic brands and "me-too" brands.
On the retail side, the private label product segment is still relatively small in the food and beverage store market, but the trend is steadily growing in stores and on the www. This segment represents up to 20% of food, personal care, and nutrition products sold in retail stores. It is about 25% over all.
Private Label Growth Current private label food and beverage market in the U.S. is expected to grow to $67 billion this year. - Datamonitor
Virtually every U.S. household purchased at least one private label product last year. - AC Neilsen product database
What is driving this trend? Several things. First is the profit. Retailers reported an average of 26% profit margin on private label items compared to 5% on name brand products.
Private Label items can give customers new or extra reasons to choose one store over another that carries only the same selection of name brand products. This difference can help the store grow customer loyalty. Loyal customers spend 80%+ more than other customers.
XS TESTIMONIALS
by
BizNess Editor
on Mon 20 Sep 2004 09:26 PM PDT
XS XS XS XS XS XS XS XS XS XS XS XS XS XS XS Tamara & Joe Kendrick - ... more »
Biznet Productions- email facts
by
D-Team
on Tue 21 Sep 2004 12:22 AM EDT
EMAIL FACTS AND STATISTICS
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