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Which of these 10 Customer Centricity Steps are you Missing?

Last Saturday was the start of Summer in the Northern hemisphere and the weather certainly confirms this, at least for now! Summer is a great time to reflect on the progress we have made to date on our journey to Customer Centricity.

Organisations need to take a step back occasionally and review how their plans are going. What changes do they need to make to ensure they meet their objectives over the remaining six months of the year? So here are my ten ways to tell if you are well on your way to becoming truly customer centric – and what actions you can take to get further along your journey.

#1. Identify the category in which you are competing

This may sound strange to you, but many br ands are not competing in the category in which they first thought they were. Think soup which is now a meal replacement, or laptops which are now entertainment platforms.

Action: Review how your product or service fits into the customers’ daily life and how they compare and decide between options. This will help you identify your real competitors and the actual category in which you are competing.

#2. Underst and your primary target

Knowing precisely who the customer is for each of your br ands is the first essential step to satisfying them. Use the BCG Matrix to help select the best group. Do you already work with this matrix, or do you have a better system? Please share your own best practice below, so I can learn.

Boston Matrix for improved customer centricity  and segmentation evaluationAction: Review the target audience for each of your br ands and ensure you have information on their “4Ws”. In other words the Who, What, Where and Why: demographics, purchase, usage, media use, places of purchase, consumption, connections to communications, their values, usage motivations and emotions when doing so. If you would like to learn more about targeting, check out this post.

#3. Watch and listen to your customers

Personal experience of your customers is essential to putting them at the heart of your business.

Action: Ensure everyone has regular – ideally monthly – contact with the customer. This can be by listening in at the call centre, watching market research interviews & discussions, or observing customers as they shop and use your product / service.

#4. Know what current trends could mean for your business

Many organisations follow trends, but they don’t provide any competitive advantage. It’s time you started turning them into future scenarios or use future prototyping. (Contact us here to learn more about this)

Action: Identify the most relevant trends for your br and and then project them into the future to develop two axes of uncertainty and four plausible future worlds. These will help prepare the business for future opportunities and challenges. Alternatively, why not try Sci-Fi Future Prototyping? (Contact us here for more information)

#5. Reinvent your innovation

Most organisations innovate based upon their current knowledge or technical skills. This keeps them boxed into a narrow b and of categories.

Action: Take your NPD thinking outside its box, by making use of all relevant innovation levers, including, but not limited to, packaging, channels, sourcing, communications, br anding, services. Check last week’s post for more details about innovation.

#6. Follow your image

It is amazing how many companies don’t follow their br and images on a regular basis. Image trends are a great way to be alerted to possible sales issues before they appear in the numbers.

Action: Identify the major image attributes of both your own and competitor br ands, and measure them regularly (annually for fast moving categories, every two to three years for slower moving ones).

#7. Turn your information into insight

Whilst information and knowledge are essential to gather, it is only when they are turned into underst anding and insight that they become truly customer centric.

Action: Review your insight development process and ensure decisions about customer satisfaction are based on them and not just on information. Insights ensure your communications resonate with your customers and your product / service delights and sometime surprises them.

#8. Share your information and insights

Companies spend a lot of money gathering data and information about the market and customers. However, in most cases they spend far too much money, because the information that is needed is actually already available somewhere in the company.

Action: Review your organisation’s information needs and negotiate contracts and access company-wide rather than by department. Make your information and insights available to everyone in the company through a library or database with appropriately managed access rights.

#9. Evaluate your progress

As the infamous quote from Peter Drucker says:

“What gets measured gets managed” (>>Tweet this<<)

Besides br and image, are you following other KPIs to measure your progress on your journey to customer centricity?

Action: Identify the three to five most important areas you want to improve and then measure them consistently. If the numbers aren’t trending up, act – see #10. below. The actual metrics you follow will depend upon your industry, but may include market comparison (shares), availability (distribution or out-of-stock) communications impact, competitivity, value.

#10. Plan for action

Once you have identified the KPIs to follow, you need to take action to improve those that are trending downwards and perhaps also those which are stable.

Action: Since your KPIs are the most important metrics for your business, plan actions as soon as their trend changes and don’t wait for them to start declining. Once they are, it will be much more difficult to reverse.

These ten steps should ensure your organisation remains focussed on the customer and doesn’t get lost in the day-to-day issues of the business. After all, as I have been quoted many times for saying:

“There may be customers without br ands, but there are no br ands without customers”  (>>Tweet this<<)

Think about it; do you have the right priorities? How do you know? Have I missed an essential step off of my list above? If so, let me know. Please also share which of your actions towards customer centricity you are struggling with the most. Together we’ll find a solution.

If you would like to know how customer centric your organisation really is, then why not complete the C³C Evaluator? Check it out on our website: https://www.c3centricity.com/C3Cmembers

Need help on your journey to customer centricity? Let us help you catalyze your business; contact us here.

C³Centricity uses images from Dreamstime.com and Kozzi.com

This post is based on one that was first published on C³Centricity in July 2013

How to Become a Fan of your Customer

All companies know the importance of being customer centric, but how many of them encourage ALL their employees to think about their customers and to try and serve them better every time? 

What about you? When was the last time you yourself listened to or watched your customers using your product or service, to learn more about them, and to underst and them more deeply? Most people see this as being the responsibility of their colleagues in the Market Research and Insight Department and are happy to wait for them to come and present the findings of a research study.

Your customers are constantly changing, as are their attitudes, needs, desires and how your products and services fit into their lives. This means that everyone should be involved in getting to know them better and being close to customers should be on their annual objectives.

Plan customer closeness sessions

One of the best ways to energize curiosity and excitement around the customer, is to organise customer closeness days or weeks. During these times, several groups in the organisation leave their offices and go out into the world to watch and listen to their customers as they think about, purchase or use your products and services. There are numerous ways of doing this, but to mention just a few:

  • listening in to service centre calls
  • watching group discussions or in-depth interviews organised by market research
  • accompanying demonstrators who are showing or sampling your products in store
  • serving customers behind the counter if you have your own retail outlets
  • accompanying customers as they shop or use your product or service
  • observing your customers as they shop or use your product

Observation is not as simple as it sounds

In order to really underst and what people will be witnessing, it is advisable to run a briefing session before allowing them to go out and observe customers. Your market research and insight people should be able to help with this training and will no doubt be happy to share their expert knowledge.

Ideally each person should go out with a task or question to answer, rather than observing customers with no precise objective in mind. Watching and listening first and asking questions only afterwards, is the best way to gain a maximum amount of underst anding; by listening first you learn what is important to your customers, rather than just finding the answers to the questions you might have. Everyone can meet up at the end of the exercise to share their observations and build greater knowledge and underst anding of the customer.

Try it; you will become a fan of these exercises  and as a result, of your customers as well! If you already run such experiences we would love to hear about your ideas and success stories.

For more ideas on getting closer to your customers please check out our website: https://www.c3centricity.com/home/vision/

This post is adapted from an article which first appeared on C3Centricity Dimensions on July 7th 2011

C³Centricity uses images from Dreamstime.com

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