CLIENT CASE STUDY 5: Delivering Products & Services Based on Customer Needs
Client felt that they led their industry at providing the basic products and services expected by their customers. Also much of their developmental and sales focus was on creating and selling extra services over and above the basic expectations of customers.
Actual customer feedback though clearly indicated that the purchase decision was usually driven by a core set of requirements such as having the right inventory on hand, being able to deliver it when needed, and competitive prices. Furthermore their customers felt they were less effective than their primary competition in several of these critical areas.
Under the guidance of KIMA Consulting, the client launched a program focusing on their customer’s needs. First, new inventory was added for each local market based on actual customer requirements. Secondly, prices were modified where necessary so as to be competitive locally. Next, since most customer communication was directly through the sales force, training workshops were conducted in each service center to ensure the company’s new focus was being effectively delivered. Finally, revised external communications were implemented: a logo and tag line for the new initiative, use of national advertising for the first time in five years, and a public relations program.
Sales and profits increased by 11% and 14% respectively and the first six months.
Over 95% of customers approved of the new direction.
Sales force was energized, contributing to sales increases for the company and commission increases for them.s program that was implemented increased the number of new accounts acquired by 400%.