How to Lose a Customer

Recently, I attempted to purchase a dress from a maternity store. Before I could give them my money, they required my due date, e-mail, mailing address, phone number and wanted to know if I had other children. I laughed out loud, but the woman’s puckered face quickly showed she wasn’t joking. I explained that I didn’t want to be put on a mailing list and thought it was beyond invasive. She “patiently” explained it was necessary in case of returns.

They lost me forever at that moment. Not only did I give them fake information, but I was extremely offended that the store I was paying would require all this information. I would never go back in there, nor will I ever purchase anything for any of my friends/family again. I also spread the word about this outrageous privacy invasion, which turned off other mothers to be (a.k.a. their customers).

Requiring information from customers only works if they see an overt benefit—something that will make them want to hand over those treasured nuggets of marketing gold. Not only did they ask about my children, but I was in essence paying to be harassed. The only benefits I got were a cute, but probably over-priced, dress and a red face from anger.

That’s the key lesson for marketers and businesses. People are willing to let you into their lives and buying habits, but you need to reward them and slowly dip your toes into that pool. Plus, the bigger the prize, the more you will get from them. No one will give you their life story for a throwaway trinket like a pen or key chain. And the more the customer feels forced to give information, the less likely it will be valid or worth the sales you just lost.

What do customers expect from you as a business owner?

The simple answer is everyone wants to be your number one client. Customers expect to receive quick, accurate attention no matter what else you may have going on. They also expect to get the best deals and inside scoop on specials.

So how do you make everyone feel like the number one client? That is a mystery I don’t think anyone can ever fully answer. The best you can do is take steps to ensure timely and personal responses.

First, prioritize your customers into A, B, C categories. While you should try to make everyone feel acknowledged, don’t let C customers suck up all your time. You can’t get blood from a stone, and there are some people who will never buy more than a certain level. Secondly, delegate as much as you can. Split up the categories amongst employees to ensure no one has all good or bad customers. Or, if you are the employee base, try to devote specific days to check in with clients.

Tier your communications. You can create a VIP e-mail or direct mail database that gives them advance notice of new products/services, sales, or blow-out specials. Keep others just in loop about new products. Also, use free resources that are available—like Gold Medal’s profit-making guides—as a thank you or an added bonus to customers who make large purchases.

Another way to make them feel special and want to come back to your business is to recommend something that will make them money and is geared specifically to their business. Plus, sometimes you just need to pick up the phone and see how they are doing. Don’t start out with a sales pitch. Just check in, then softly remind them that you look forward to talking with them soon and are there to help. Work in any facts you remember from a previous conversation like a child’s graduation, a promotion, or talk about their favorite sports team.

In the end, some customers will want more time than you can give. You may need to follow the 80/20 rule, but you should always strive to make them feel satisfied and get as much as possible from every interaction.