Staying Ahead of Customer Defection Is a B2B Imperative
A unique aspect of B2B customers is that they are always buying — day in and day out — to keep their own businesses operating. Large B2B customers can, of course, buy millions from you in a single year. Less obvious is the fact that even small B2B customers can be worth millions when their purchases over 3 to 5 years are considered. Simply put, loyal B2B customers are like annuities that keep on paying over time – if they continue to buy from you, that is.
Customer Satisfaction Just Isn’t Enough Anymore
Recognizing the critical importance of customer retention, many B2B companies have tried to monitor the health of their customer relationships with tools like satisfaction surveys. But with competition for your customers’ business at an all-time high, self-reported satisfaction isn’t enough. Here’s a sobering fact: research shows that 60% to 80% of lost customers reported on a survey just prior to defecting that they were satisfied or very satisfied.
Your Customers’ Actions Speak Louder Than Words
In order to truly understand the health of your customer relationships on an ongoing basis, you simply cannot rely on words alone. The fact is, B2B customers ultimately vote with their wallets. Therefore, the most reliable method to identify at-risk customers — early enough to do something about it — is analyzing their actual purchasing behaviors.
The Early Signs of customer Defection Are Difficult to Identify
Even with an army of analysts, the early signs of customer defection are extremely difficult to spot. Defection might start with a customer giving a just a little more share in a particular category to a competitor. Little by little, category by category, the competitor gains more traction and by the time it becomes obvious, the customer is well out the door.
Zilliant SalesMax Is Your Early Warning System
SalesMax automatically analyzes each and every customer in your business. Through sophisticated Purchase Pattern Profiling and Customer Defection Detection, SalesMax can identify even the most subtle signs of customer defection. With SalesMax, you and your salespeople are alerted to competitive intrusions well before they have a chance to gain a foothold and put substantial revenues and profits at risk.