Seven reasons for customer churn
Customer churn is a problem that many businesses will face, why do customers churn? Customer needs can not be effectively satisfied is often the most critical factor leading to the loss of enterprise customers, yihai software summary, generally have the following 7 reasons:
1. Product quality problems
• Product quality is unstable
• In order to make a profit, some enterprises even lie about false product information, shoddy charging, and false real to make product quality not pass
Because of the damage to the interests of customers, these are the reasons for customer churn. Quality is the most basic part of the service provided by enterprises, if the quality of the product can not be guaranteed, the interests of customers are not guaranteed, then the loyalty of customers to talk about?
2. Weak sense of service within the enterprise
• Customer service staff is not professional enough, customer problems can not be solved in time
• After-sales service is not done well, complaints are not handled, and tracking services are lacking
• The consultation is ignored, and the service staff is arrogant and bad
• Inefficient work efficiency, etc
These are all important factors that directly lead to customer churn.
3. Do not understand the real needs of customers
• If you don\'t contact more customers, you can understand each customer\'s needs 100%. Every customer\'s situation is different, if you do not understand the real needs of the customer, but to take their own ideas for granted on the customer, then the customer\'s problem will not only not be solved, but will also question your work, and turn to look for your competitors.
• Do not understand the potential of customers, such as follow-up product needs, their family\'s product needs, their expansion needs, etc., develop these needs is far easier than the development of new customers.
4. Employees leave and take customers away
Many enterprises are not delicate and standardized enough in customer relationship management, and the bridge role of salesmen between customers and enterprises is played to the fullest, and the impact of enterprises on customers is relatively weak. Once the business people jump ship, the old customers follow.
5. The product lacks innovation
Any product has its own life cycle, with the maturity of the market and the enhancement of product price transparency, the product brings less and less room for benefit to customers. If the company can not innovate in time, customers will look for other products to replace, after all, the interest is the best lever to maintain the relationship between manufacturers.
6. Customers \"Empathize\"
• The market is fiercely competitive, in order to be able to obtain a favorable position in the market, some competitors will attract those resourceful customers at any cost with favorable conditions, and it is not surprising that customers encounter new temptations to \"defect\".
• Price factors are also an important reason for customers to consider.
7. Force majeure factors lead to the loss of customers
• Individual customers have strong self-confidence, in order to get the \"best treatment\" of the company\'s market, they threaten to take the initiative to lose, and the company cannot meet their special needs, so they have to give up.
• In addition, some customers have changed careers, professionalized, etc. are external factors that lead to customer churn.
According to statistics, the cost of developing new customers is often 2-5 times the cost of maintaining old customers, or even higher, so how to reduce customer churn rate? In view of the above countermeasures, enterprises can use CRM to build more meaningful and lasting customer relationships, so that enterprises can better understand customer needs, identify and capture new business opportunities, help customers solve problems faster, and truly customer-centric.
