In my recent thoughts on the decline of customer service I have been thinking about the deals and promotions setup to acquire new customers. Since we have reached a saturation point on many hardware devices, services, and relationships I have been wondering where are the old customer deals!
Every cell phone company has deals for new customers. None have deals with promotions for old customers.
This is actually a concept I came up with when thinking about the amount of time some companies have been around.
What about deals for customers who have been with AT&T for 10 years?
What about using a utility for the last 5 years at your home?
Still using the same Internet provider?
How long have you had that washing machine in your home?
In most cases, longevity of usage can be because of brand loyalty, lack of competition, laziness, price, or other options. Since the deregulation of many industries more competition has led to people switching brands or products on a much more regular basis.
I originally expected companies to start offering longevity deals to those that have stayed with a company – but I have yet to see this play out. Something as simple as a coupon or discount for staying loyal to a brand would be in order.
What is the downside to offering coupons to those customers that have been around for 10 years?
Special programs and business intelligence research into your CURRENT customers vs. your potential customers could yield results that far outperform acquiring new customers.
This may be another vision of the 80/20 principle – but one that I think would work well.