As we prepare for the new year of 2007 this might be a good time to consider the worth of your customers. This exercise is a great way to remind yourself and your team members of the importance of keeping every customer happy, every time!

Consider this: a business person who travels twice a month for 3 nights at a time spends 72 nights in hotel rooms each year. At an average of $150 a night , that equates to $10,800 worth of business a year (not including restaurant and other services used). Over a twenty year period, this customer is worth $216,000. And this number is only a base number.

Here’s what I mean by base. If that customer refers two people a year with similar travel schedules, then that customer has generated $32,400 worth of business that year and for an undetermined number of future years.

Work with your team members and together calculate the possible value of your average customer. Don’t forget to expand the calculation to include the lifetime value. And then ask this question: “How would you treat a $216,000 (or whatever number you come up with for your company) customer?” And: “Are you treating your average customer that way?”

Building a customer service culture takes planning and continuous commitment. Your motivation should be easy once you have determined the value of your average customer.

• Start by clearly communicating to all team members your expectations for superior service.
• Ensure that training is provided so that all team members have the tools and skill set required. (Don’t assume they know how to do things like handle an irate customer or negotiate to achieve service recovery.)
• Set the example by using the customer service skill set taught with both your internal and external customers. If team members are taught the importance of listening and letting a customer vent, then be sure the leadership team demonstrates that behavior.
• Offer recognition for the desired behaviors. (Remember that recognition does not cost anything.) When undesired behaviors surface, address them immediately and from a coaching standpoint. Make it your goal to help the person self-assess their ability and encourage them to create an action plan for improvement.
• And don’t forget to celebrate team successes!

Click this link to learn more about the little book, Building Customer Loyalty... The 21 Essential Elements... In Action. It will help you and your team focus on the important issue of customer retention!