Customer And Employee Retention
Posted on Sat, Jan 21, 2012 @ 11:48 AM
Why Worry About Customer and Employee Retention?
What is the cost of employee turnover? A number of research studies have calculated this, and it is expensive. We all know that.
But what is the cost of customer turnover? How do we calculate the amount of revenue we lose from this customer over the next year? 2 Years? 5 years. Incalculable, but very costly!
It is no wonder that the best companies spend tremendous time, energy, and resources on retaining both employees and customers. There are arguably no better dollars spent than these.
Organizational Culture. One of the critical factors that we look at when we begin working with a client is how the organizational culture contributes to employee and customer retention. An office that is welcoming and helpful makes customers feel wanted and valued. Employees who go out of their way to help each other and their customers provide an atmosphere of shared experience.
Intentional Value. Spending the time and energy to honestly understand our company’s culture is worth more than we can imagine. Look around at the world-class companies in any industry. They generally have a culture that puts their customers and their employees at the top of the value list. This is no accident. They intentionally commit to this because they have discovered that there is no better value available.
Focusing time and attention to retention of your employees AND your customers will contribute significantly to an increase in your bottom line.