What Makes for a Great Customer Strategy!
For any business to stand strong, customers play a significant role. Let’s suppose, a person starts a software development company and puts all his effort into it. The product is nice and the customer support is amazing, but still the business isn’t flourishing like it was meant to.
Now the CEO is worried about where they are lacking so he calls upon his team to find out the back end of the problem and to find a solution. When looking at the product features and other attributes, nothing could be found worrisome but the question remains there.
When he wasn’t able to find any way out, he called the client to know if that can be of any good. He called and asked about the reason why they gave the order to the competitors and not them. The response of the client was enough to clear out where the company was lacking.
The client made sure that the product, quality and other aspects were good enough, but the competitor spoke the customer’s language.
This conversation made the CEO realize that his company was lacking the key ingredient of success and that was a well-rounded and insightful customer strategy.
Well, now, there must be a few questions hit your mind like by developing the strategy,
Who are you going to engage with and when?
What are your goals for the strategy?
How are you going to make it happen?
Perhaps, a lot more…but these are the prime aspects to cater to building a powerful and profitable customer strategy.
Now, let’s discuss the answers to these questions one by one.
Who are you engaging with and when?
The first and main point is Segmentation Model or STP which consist of
- Target marketing
- Positioning and planning
Segmentation will help you identify customer needs and segment markets that will make you ready for the target marketing step.
In the marketing phase, you evaluate and select target segments by doing demand analysis.
The next step is positioning and planning that allows you to determine the propositions for each segment and deploy relevant resources to achieve the plan.
What are your goals?
Now the question arises: what exactly are you trying to achieve? The answer consists of four main points.
- Vision and rules engagement
- Customer culture
- Customer value objectives
- Business case and KPIs
It’s crucial for a software development agency to include customers in their vision statement while most of them don’t even have any agreed rules of engagement which makes them lose their place in industry in the long run.
Furthermore, the company culture plays a vital role in the making or breaking of its customer strategy by showing how much the customer is regarded in the business.
Customer strategy has value objectives, such as:
- Cost to serve
- Cross sell
This way the stakeholders can see the benefits to the business.
Moreover, customer management teams must be challenged to create an engrossing business case and value tracking KPI model for strategy.
How are you going to make it happen?
After deciding our goals, the main work lies in creating a plan to achieve those goals. These goals can be achieved with a strategy consisting of four components, including:
- Proposition and contact plans
- Capability enhancements
- Data and technology
- Voice of the customer
Proposition is based on the segmentation and life stage management part. This step requires lucidity and definition in order to create a better customer strategy.
Capability enhancements are important if a software development services provider wants to make business strategies, programs and initiatives successful. This can be achieved by raising all teams (especially sales and customer support personnel systematically and training them vocationally.
In addition to that, it is crucially important that the company delivers appropriate data to people who are responsible for designing and delivering customer value-enhancing activities.
Let’s wrap up:
Last but not the least, hearing the voice of the customer is the most important part of the whole process. For that, companies use customer satisfaction surveys which give insight into the physical as well as emotional aspects of the delivery of custom software solutions.
In a nutshell, customer strategy needs to set forth the way which company will be using in order to hear the customer’s voice clearly and track the required elements.