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Mountain View, Califorina - (Cheap Web Hosting Directory) - June 21, 2007 - According to a new e-commerce study, buyers have reported that only 25% of dismissed suppliers, offered apologies, and only 14% of buyers maintained that dismissed suppliers adopted a keep-in-touch strategy with them.

The findings were gleaned from an in-depth Jill Griffin/Customer Sat survey of over 500 sales, marketing and corporate buying executives performed in the last 60 days. Executives surveyed represented a cross-section of industries including insurance, banking and other financial services, manufacturing, electronics, technology, professional services, healthcare, telecommunications and pharmaceuticals. ”Customer Winback” co-author Jill Griffin, in her newest customer loss study, fielded with research firm, CustomerSat, uncovers fresh evidence why a customer win-back strategy should be part of every firm’s arsenal of loyalty tools.

Ms. Griffin remarked, ”A massive 62% of buyers surveyed who recently dismissed a key supplier reported choosing another supplier that offered basically the same product or service. This finding indicates that the lost account’s needs have not changed and can still be filled by the dismissed supplier. This spells win-back opportunity. These two actions—making an apology and staying in touch - are essential steps to recovering lost business,” offers Griffin. Yet, the data clearly shows that once an account is lost, most fired firms do not pursue the win-back opportunity.”

The reasons for customer loss must always be factored into the win-back strategy. Ms. Griffin continued, ”Our research found that non-competitive pricing was referenced as the key factor contributing to customer loss for 44% of buyers and 46% of sellers. Losing a customer on price often signals that the dismissed supplier’s value proposition has grown stale and needs a boost. To win back the customer without caving on price, value issues must be carefully addressed.”

Proactive companies, concerned about loss, monitor customer satisfaction on an ongoing basis. Annette Gleneicki, CustomerSat Director of Professional Services added, ”Utilizing CustomerSat’s Enterprise system to collect feedback in real-time from your prospects during the sales cycle (win/loss), as well as from customers at the end of the lifecycle (churn), allows you to respond to the marketplace’s changing needs and emerging trends, and to ultimately learn how to win, or to win back, any lost business. In Enterprise, you can tie customer responses back to what you know about your customers (e.g., whether or not it is a key account), so that you can then focus win-back efforts on your most-profitable customers or segments.”

The actions a firm should take when a high value account is lost, include:

1. Forgive yourself and your team mates.
2. Apologize to the lost customer.
3. Ask, ”What can we do to win back your business?” Listen carefully to all grievances.
4. Fully address the customer’s requirements. In addition, investigate what the customer will pay a premium for. Communicate the changes you have made. Ask again for the customer’s business.
5. Be patient with the customer. Be open. Remember, some wounds heal slowly.
6. Stay in touch with the lost customer.
7. Make it easy for customers to come back to you.
8. When the customer does return, earn the business (and justify the trust) every day.

Ms. Griffin added, ”When you are dismissed, it’s very important to walk away gracefully. Burnt bridges are hard to re-cross. Good ’sportsmanship statements’ like ”I completely understand your decision. We should have performed better,” helps take your customer off the hook. Such statements can also help to position you for re-entry.”

CustomerSat is the leading provider of enterprise solutions for measuring, analyzing, and managing enterprise-wide action based on customer satisfaction and loyalty feedback. With advanced technologies and proven market research techniques, CustomerSat delivers feedback solutions for service and support, sales and marketing, HR, channel and partner management, IT, website operations and e-commerce, supply chain management and investor relations. CustomerSat is headquartered in Mountain View, California, with offices in Europe.

Jill Griffin is an internationally published business author and speaker, and corporate board director of a NYSE company. Her book, Customer Loyalty, has been published in six languages, and was named to Harvard Business School’s ”Working Knowledge” list. Her co-authored book, ”Customer Winback” earned Soundview’s ”Best Books” annual publishing award. Since 1988 she has led Austin-based Griffin Group, serving Fortune 500 companies including Microsoft, Dell, Hewlett Packard, Ford Motor Company, Wells Fargo and Western Union.

To learn more about Griffin Group, please visit: www.loyaltysolutions.com.

For more information about CustomerSat, please visit: www.customersat.com.

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