A3 Benefits of Building Customer Relationships
Enhanced reputation of business refers to the positive perception held by the public of that business. Customers who have had a good experience will share that with others. This may be through word of mouth which means sharing stories of their experiences. It could also be through reviews. It is very common now for customers to read customer reviews online about businesses and their products. However, if a customer has a negative experience, word of mouth and reviews are going to be negative.
Repeat business. Businesses are more likely to make a sale to an existing customer than a new one. It is therefore important that customer needs are met to ensure they return. Good customer relationships can ensure staff fully understand customer needs and deal with any issues quickly. Repeat customers have the benefit of being more profitable. This is due to the reduced marketing needs with existing customers.
Customer confidence in business refers to the trust customers have that a business’s products and services are going to deliver high quality. Strong customer relationships can establish customer needs and gather genuine feedback on customer satisfaction levels When customers consistently have their needs met and feel that they are receiving high-quality products, they will become confident that business will continue to deliver in the future.
Job satisfaction for employees. Customer satisfaction can have a very positive impact on the morale of staff within an organisation. Higher morale amongst staff can in turn lead to better customer service and as a result further improved customer satisfaction. Managers can communicate sales figures and customer reviews to staff as part of their recruitment strategy. This can be further motivating when feedback includes the staff member’s name.
