Customer Centric

Marketing

Why all the fuss?Customer centricity is one of the major buzz words in modern business, but what does it really mean and how does it relate to your marketing strategy? We all know that customers are essential to any business, without them the business just wouldn’t exist, so why all the fuss about customer centricity?

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WHAT IS CUSTOMER CENTRIC MARKETING?

The best way to explain customer centric marketing is to compare it with product centric marketing: Product centric marketing focusses on one product (or service) at a time and markets to as many customers as possible who might need it. Customer centric marketing focusses on one customer at a time and markets as many of your products and services to them as possible.

Product Centric. Customer Centric. What are the differences?

THE AIM OF CUSTOMER CENTRIC MARKETING

01Current Customers

02Lifetime Value

03Forward Looking

Customer centric marketing leverages a business’s most important asset; its current customers. It is built around the idea of the lifetime value of a customer, rather the value of individual orders or purchases. The customer centric approach is more forward looking than the product centric approach, and aims to build up a satisfied and loyal customer base that will ensure future profits through repeat business and personal referrals.

Customer centric marketing and product centric marketing don’t need to be mutually exclusive. Many larger companies use both approaches, one for their existing customers and the other for attracting new customers. However, for a smaller business it is often easier to choose one model to focus on.

It does not have to be mutually exclusive

A FEW TIPS

01There’s a great range of basic

CRM tools now available to help you to collect information about

your customers. Determine your customer

demographic and split customers into segments according to their buying behaviour and value. This

will allow you to target your marketing more effectively.

Get to know your customers

02Make sure your customers’ details are easily accessible

to anyone who will communicate with them, on

the phone, in person, or online.

Ensure that all interactions are personalised to that

customer, taking into account their previous transactions and other information such as their age and location.

Personalise actions

03Remember that you are investing in the lifetime

value of a customer, which includes repeat business

and word of mouth referrals.

Make sure the value you offer in terms of product quality or level of service

meets, and where possible, exceeds their

expectations.

Exceed expectations

04There are many ways you can provide added value to your existing customers. You may want to suggest a product

that complements something they have already bought, or offer a service that meets a

particular need they are likely to have.

You can also offer discounts or promotions that are

relevant to them based on their history with your

business.

Added value

The digital age has provided an array of marketing channels, and it is easy to take the simple low-cost routes of e-mail, text messages, and social media.

However, this won’t necessarily be the best way to engage all your customers, so don’t rule out postal marketing or telephone calls where appropriate.

4. Use multiple channels

The Overall AimThe overall aim of customer centric marketing should be to build up a relationship with your customers, making it easy for them to do business with you over and over again, and providing added value every time they do.

Its goal should be customer loyalty and word of mouth referrals that are worth more than the additional effort you put into each customer. A customer centric approach will not only ensure the health of your business today, it will help you to build a profitable business for tomorrow.

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