Finishing time:2015/10/8 14:42:00 Announcer:TRISEARCHER
1. Definition of Customer Loss
Customer loss investigation refers to survey and research on consumers, who are former users of some brands or services, but due to some reasons discontinued the use of them. Based on the research result, companies are able to generate more targeted strategy so as to prevent the continuous loss of customers, and to win back the already lost ones.
2. What problems can be solved through customer loss investigation?
Customer loss investigation can help us solve the following two problems: how to prevent consumer loss and how to win back the lost ones. The investigation covers the below two aspects:
3. Reasons of customer loss
1. Subjective reasons
In the final analysis, customer dissatisfaction is the primary cause of customer loss, which is mainly reflected in the following aspects:
A. Product factor. This factor refers to low or instable quality, narrow or incomplete varieties, monotony or obsolescence of styles, low added value, price inflexibility, unsmooth product distribution channel, misleading propaganda, lagged after-sale service, inefficient complaint handling and lack of product innovation, etc.
B. Service Factor. This factor refers to poor service environment, disordered process, bad service attitude, incompetent service capability, inefficiency, backwardness of facilities, cumbersome procedure, incomplete varieties, insufficient service quantity, unsmooth service channel, lack of personalization and innovation and unreasonable charges, etc.
C. Employee factor. Such as unprofessionally dressed, inconsistency of words and behavior, lack of sense of responsibility and ambition, insufficient knowledge, incompetency and poor overall quality, etc
D. Company image factor. Such as customers’ dissatisfaction of image of product, employee, service, enterprise living and production environment, company logo, company sprit, culture, responsibility and reputation, etc.
2. Objective reasons
Objective reasons mainly cover the following aspects.
A. Customer factor. For instance, consumers will be unsatisfied when they hold too high expectation towards products or services, but the actual experience is not good enough, which creates unbalanced feelings. Customers will be lost due to dissatisfaction. What’s more, because of the diversity, complexity and irrationality of customer consumption, consumers will spend money on a certain brand, while keep trying the same product or service delivered by other companies. Due to the increase of purchase power, the demand and expectation of customers will also shift, so that they will vote with their money on more valuable products and services.
B. Competitor factor. Competitors form certain competitive advantages through proper or improper means, and take away customers.
C. Social factor. For instance, customer purchasing psychology and behavior is influenced by social, political, economic, legal, technological, educational and cultural factors
D. Other factors. Factors such as war, season and natural disasters will lead customer loss