Business And Finance Plan Advice Blog

Customer loyalty is to make the customer back to buy and become a frequent or regular customer.

Let’s look at a technique for customer loyalty, which consists of the execution of six steps:

1. Designing a good quality product

First we design a product or service quality that meets the needs, preferences and desires of the consumer.
This first step is essential if we get the customer to opt for repeat purchase.

2. To note our existence and make us buy

Second, we must inform the consumer that we maintain a quality product that can meet your needs, preferences or desires. To do this we make use of advertising.
And so that consumers will decide to purchase our products, we can make use of sales promotions such as special offers, discounts, sweepstakes, etc…

3. Provide good customer service

Not enough to offer a quality product that meets needs, preferences and desires for existing customers is also vital to provide customer service quality, i.e. good service, friendly staff, good atmosphere, treatment personalized, prompt attention, and so on.

4. Get customer data

Once the client has decided on the purchase and we have adequately addressed, we must try to achieve their personal information such as your name, address, telephone and e-mail and enter them in a database.
To do so, saying that we’ll call to see if the product arrived in good condition, to know how you’re doing with their use, or to send you our new developments.
Or in any case, we can try methods are not as straightforward as, for example, invite them to participate in promotions that allow us to obtain their data, for example, invite them to participate in sweepstakes in which to participate must provide us with your data.

5. Maintain customer contact

Once we have obtained customer data, we use them to maintain contact with him, for example, we can call to see if the product arrived on the agreed conditions, call to find out how you’re doing with the product during its first week of use , send letters of thanks for your purchase, send postcard greetings or congratulations for your birthday or a holiday, etc.
The idea is to feel important and special to the customer and let them know that we care and are interested in him.

6. Send promotions

And once we have had some contact with the client, we must use to let you know about our new products or promotions.
For this we make use of phone calls, posting fliers, sending e-newsletters, etc., through which they communicate about the launch of our new products on our new promotions, new offers and new discounts.
In this last step we need to avoid inconvenience to customers and not overuse these promotions, we must be nice to him and, for example, by calling by phone, kindly inform that we are launching a promotion that could possibly be to your liking.
Also, if possible, we offer promotions that fence according to their specific needs or preferences, for example, if we notice that a customer always buys a certain type of product; we can offer special discounts just for this type of product, or offer new products that may be complementary with those who always used.

We next three tips related to human resource management in times of crisis.

1. Avoid downsizing

The staff reduction is usually the first thing companies do to address the crisis; however, this measure should be the last to take.

Reducing workers can be a short term solution, but ultimately ends up affecting business productivity and generating a large cost due to the search, selection and training of new staff have to hire once the situation improved.

Before downsizing, it is advisable to take other measures such as, for example, reducing hours of work, reduced working hours, lower wages, reduce production costs, reduce administrative costs, and even business opportunities that can be present as a result of the crisis.

2. Communication-based Leadership

In times of crisis where they must improve leadership skills.

Through good leadership should be kept motivated workers, to avoid potential problems or disputes that may arise, and especially to maintain good communication with them.

Must be maintained constant communication with the workers, thereby avoiding the uncertainty and rumors or speculation that may arise, and capable of generating an unfavorable work environment and therefore a decrease in productivity.

Communication should be formal, preferably given by the heads or supervisors, who should inform their subordinates everything I can help you maintain a good working environment, and resolving any questions that may arise in the workers.

3. Honest with workers

Good communication involves being honest with employees and inform them how the crisis is affecting the company.

The workers know that the crisis affects everyone, and if we deny that affects us also, create doubt, which will lead to uncertainty, which leads to a fear of a possible dismissal, and finally to an already tense atmosphere a decrease in productivity. Only honest with workers, we can create a better working environment.

If it is necessary to reduce work hours or wages, the worker must inform the reasons for this, and try to reach some agreement with him. We do understand that the measures taken will be a way out of the crisis, and bear in mind that many workers will be willing to make some concessions in order not to lose their jobs.

In the event of downsizing, we must also communicate the reasons for this, both workers to be disengaged and those who will still be with us. In the latter we must inform you that the company was forced to take the decision to reduce certain staff, but still asking for the cooperation of everyone else. It’s only the way to avoid suspicions or rumors leading to a tense atmosphere that could affect business productivity.

There are many ways to expand or grow a business, for example, can make it through the opening of new stores, create new sales channels or outlets, direct our products to new market segments, making the decision to export, etc…

But the problem arises when there has been no proper planning, and suddenly the employer is without the resources or capacity needed to sustain this growth.

For example, suddenly no longer has the funding necessary to purchase the goods requested, does not have the capacity to meet the new demand, there is no supply to meet new customers, has no knowledge or experience to meet the new requirements, etc.

Therefore, before deciding to expand or grow a business, it needed a good plan that allows us, among other things, whether we have the resources and capacity needed to maintain this growth.

The expansion plan must identify growth strategies that we will use the investment required to implement these strategies, projected sales and expenses that will be generated with the extension or expansion of business and the products or services we will need to produce and offer.

The first thing that will allow the expansion plan is to verify that the project really is profitable, i.e. that the profits will outweigh the costs to be generated as a result of the implementation of the plan.

The second thing that will allow the expansion plan, will know the resources (financial, human, technological, material) and capacity (production, distribution, knowledge, experience) that we will need to give effect to any extension or expansion of business and thereby assessing whether we have those resources and capacity, or in any case, if we are able to obtain them.

If you do not have the resources and capacity, before implementing the expansion plan, we get, for example:

* We may need to obtain external funding (always making sure that we will be able to repay the loan with the profits generated).
* We may need to hire or train new staff we already have (for that could previously need to develop our ability to hire, evaluate and train staff).
* We may need to delegate more responsibility and authority, for example, if we have to climb or promote workers.
* Ourselves might need more training on specific management issues that have not mastered very well.
* We may need more experience in some or all aspects of our business, for example, if we will open a new branch, knowing that the delegate tasks, workers cannot deceive us about the operation or the possible results.
* Might need to perform an internal analysis of the business, for example, to ensure that the business is functioning properly and have no weaknesses, before opening a new branch or business unit.
* We may need to install new information systems, security or control, for example, if we’re going to open new branches or business units, and no longer have direct control over operations, it is necessary to have systems allow us to control each unit, measure their performance, get regular reports, etc.

In this expansion plan must be said about what the next steps to implement growth strategies, as well as those responsible for this, the scheduling of tasks and timeframes required to implement the plan. This will give us a better organization and coordination, and be more efficient in implementing the strategies.

The key to good growth does not hurry, be cautious, carefully assess the problems, obstacles or difficulties that could arise, and, above all, make a good plan for growth. We should not assume, for example, if a business was successful, a branch thereof shall have the same success in another geographical area.

Finally, note that in business there is always a gap when passing, everything else becomes much easier, for example, the most significant expansion for most businesses is growing of the first unit to the second, and once taken that first step, it makes it easy to become a chain. Once this first challenge, the business can grow exponentially, and is no longer limits.