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Customer Segmentation

Our Viewpoint

The Art of Saying the Word ‘No’

(This is a guest post by Victoria Koval of the Sales Executive Council, our sister program for sales  leaders and their teams. It builds on Jacob’s popular post that discusses ways to eliminate the word ‘no’ from your rep’s vocabulary.)

Think about how many times and ways a customer says “no”… There is the “matter-of-fact no” ( I am not interested in this offer); there is the “no-without-no” (I’ll contact you myself when I am ready to make a decision);   there is the “passing-the-buck no”  (The decision is out of my hands now); there is the “maybe-yes no” (I’ll have to check my calendar) and the “restraining-order no” (For the last time, no).

While searching for more examples (and for my own amusement), I Googled “how to say no.” As I looked through the more than 206,000,000 results, I learned how to say NO in over 520 languages and how to come up with 100 Excuses to Say No (my favorite one: “because my subconscious says no”).

The all-mighty Internet taught me how to say no to bosses, relatives, friends, co-workers and pushy sales people, but it had little to say about how to push back on customers.  Is that because we’ve been brainwashed that the customer is always right?

Maybe…But, unless you’re running a charitable foundation, saying no is a critical skill, especially now. In the current economy, customers feel entitled to more discounts, more customization and less risk, and they don’t hesitate to ask for more.     Read More »

Our Viewpoint

Are You Over-Serving Your Most Valuable Customers?

Niche branding and segmentation—differentiating customers based on distinctive characteristics—are, of course, the bread and butter of the marketing world.  But we’re increasingly seeing a greater focus on this in the service and support world as well.

Segmentation isn’t a new concept for many service and support organizations.  In fact, many organizations use a segmentation structure that often comes directly from the sales and marketing side of the company.  But in an environment where many companies are looking to service and support as a “competitive differentiator,” companies are rethinking their strategies, and in many cases, seeking to expand them.

The problem is that many companies are going about this typically based on visible customer characteristics or behaviors: like where the customer resides or how much the customer spends.

Such segmentation strategies can be helpful for other parts of the business, but they offer limited insight into where the best service and support opportunities lie.  Indeed, using a segmentation strategy based solely on visible customer characteristics can lead companies to misplace service investments specifically.

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