Beyond the Build

Customer Relationships

Stay Tuned

All things being equal, attracting new customers is normally harder than keeping an existing good one. That makes retention one of the most valuable components to any business’s success. This week, I got a wakeup call about just this subject.

We received an unsolicited proposal for our voice and high-speed data service. The price was about half what we are currently paying. We contacted the incumbent provider, asking them to review our account, keeping the new quote to ourselves. They came back with a new rate very similar to their competition. Now I have to ask myself, why do I wish to continue to do business with someone who is not providing me their best? I think we will move on where we are appreciated.

A few thoughts to keep top of mind:

  • On the buy side, in situations where you are the customer, it never hurts to routinely ask if the pricing structure you have at present is still the best available.
  • On the sell side, always remain attentive and loyal to your existing business. It’s the least expensive to replace.

At the end of the day, customers don’t owe you their loyalty. Loyalty depends on good effort and value. Remain attentive.

Merrill Stewart Jr.

Merrill Stewart is Founder and CEO of The Stewart/Perry Company, a commercial building contractor based in Birmingham.