Dear Home Party & Direct Sales Consultants

It is of great concern to me that the meaning of customer satisfaction is lost on many.

Did You Know:

• Acquiring new customers can cost five times more than satisfying and retaining current customers
• A 2% increase in customer retention has the same effect on profits as cutting costs by 10%
• The average company/business loses 10% of its customers each year
• A 5% reduction in customer defection rate/attrition can increase profits by 25-125%, depending on the industry
• The customer profitability rate tends to increase over the life of a retained customer

According to Dun and Bradstreet  (The #1 trusted source of information on business and the leader in Small Business Solutions) and numerous customer satisfaction surveys they conducted:

“The single, most important reason for the failure of businesses in America is lack of sales. And, of course, this refers to resales as well as initial sales. So your roles as home party consultant, your job is to create and keep a customer!”

The American customer satisfaction index is falling at an alarming rate. Remember, no matter what your official title is, you are a salesperson for yourself and your company…

business |ˈbiznis| ( bus.)
noun
2 the practice of making one’s living by engaging in commerce : the world of business | whom do you do business with in Manila? | [as adj. ] the business community | [with adj. ] the jewelry business.
• trade considered in terms of its volume or profitability : how’s business?

The purpose of a business is to create and keep a customer. If a business successfully creates and keeps customers in a cost-effective way, it will make a profit while continuing to survive and thrive. If, for any reason, a business fails to attract or sustain a sufficient number of customers, it will experience losses. Too many losses will lead to the demise of the enterprise.

“The ultimate objective of a business is profit. The primary purpose of a business is to create customers. Profitability without customers is an impossibility.” Mark Sanborn

In  today’s competitive business world and challenging economy, retaining your customer base is critical to your success. If you don’t give your customers some good reasons to stay, your competitors will give them a reason to leave. Customer retention and  satisfaction drive profits.  It’s far less expensive to cultivate your existing customer base and sell more services to them than it is to seek new, single-transaction customers.  Most surveys across industries show that keeping one existing customer is five to seven times more profitable than attracting one new one.

Measuring Customer Satisfaction: Getting Loyal Customers

Customer loyalty is the ultimate measure of customer satisfaction. Delighted and loyal customers will return for follow-on business without considering alternatives of comparing the competition.

True loyalty is based on your company’s continuous delivery of superior value. Customer loyalty is a major contributor to sustainable profit growth – and to win customer loyalty, the business must first satisfy the customer repeatedly.

“The best way to hold your customers is to constantly figure how to give more for less.” –  Jack Welch

Here is to customer service!

Party Plan Pat