Losing the Customer

That’s a pretty powerful title, right?

So why would you want to learn how to lose customers? Read on and find out.

Scrolling through the internet the other day I came across this great article on Inc.com. The title “10 Ways to Guarantee Your Customer Stops Using Your Products” caught my eye and I read a bit more. The author, John Rampton, went on to outline ten reasons people stop using products and as I read each one, I realized that these same ideas could hurt your dealership as well.

The ideas described in the article were:

1. Not delivering on what was promised.
2. Making excuses for delays and poor quality.
3. Not knowing what is going on.
4. Stories in the media, or by employees, on how poorly they are treated.
5. Having unfriendly policies that don’t make sense to customers.
6. Taking customers for granted.
7. Business is not competitive.
8. Business fails to innovate.
9. Being inconsistent.
10. Hard to contact when there’s a problem.

Let’s look at these points and how they relate to your business.

1. Not delivering on what was promised. – This one is simple. From parts showing up late or a repair not being ready when promised, the dealership is full of these issues. Sure, sh*t happens, but proper planning and management along with procedures in place should minimize these occurrences. Make sure your staff delivers on their promises, all the time.

2. Making excuses for delays and poor quality.- Another example of planning and procedures. Ensure the way you do business aligns with the timeline necessary to ensure your customer’s needs are met. As for poor quality, there is no excuse. If it’s poor quality from a product, don’t carry it. If it’s poor quality from a staff member, don’t tolerate it. The business is too important to the livelihood of many to be spoiled by one bad apple.

3. Not knowing what is going on. – I don’t know; I just work here. How many times have you heard that in a retail business? It is a failure in training and not acceptable. I’m not saying everyone needs to know everything, but they need to know where to get the answer. How many dealerships do a weekly or bi-weekly full staff meeting? As little as 30 minutes once a week or every other week would yield huge returns. When you understand what other departments are going through, the feeling of a team is established. Teams work WITH each other, not AGAINST each other and when a team is all going in the right direction, just think what you can achieve.

4. Stories in the media, or by employees, on how poorly they are treated.- #1 don’t treat people badly. I understand that you can’t please everyone but try to minimize those encounters. Pay attention to the message boards and how your company appears online. Try a service like Google Alerts or Brand Mentions to see whenever your business looks online.

5. Having unfriendly policies that don’t make sense to customers. – Stop penalizing your good customers for the behavior of a few bad ones. Make sure your policies make sense to the whole rather than those couple of problem ones. And please don’t make spur of the moment snap decisions based upon a single instance. Take the time to think your policies through. You’ll also want to review them from time to time. What worked in 1999 might no longer be valid in 2016.

6. Taking customers for granted. – Don’t do it. Each customer made the decision to support your business. You need to appreciate that and care. I mean really care. I’ll say it again, don’t do it.

7. Business is not competitive. – Pay attention to what others are doing. I’m not just talking about other powersports dealers either. Remember you are competing for your customer’s disposable income. They could easily spend it on a new TV or family vacation. Stay competitive and offer a valuable experience.

8. Business fails to innovate. – You still advertise in the Yellow Pages; you don’t have a website or any social presence. Then your business is dying. I’m not saying you abandon your core beliefs but step it up. How can you innovate? If you don’t, the guy down the block will. ( You found this article, after all, you must have some digital knowledge).

9. Being inconsistent. – Famed entrepreneur Marcus Lemonis speaks about the 3 Ps in business. People, product, and process. Only with a strong process will you deliver consistent results. Figure out what they are, refine them and then work them.

10. Hard to contact when there’s a problem. – Your phone # isn’t on the website; you don’t have an email address, voicemails go unanswered. Stop it! Today’s business is more and more social, make sure you are. Text your customer’s (if that’s what they want) when orders come in, call them back even if you don’t have all of the answers. When a company fails to reply or respond customers seek an alternative. I can’t tell you how many times I bought from a company simply because they called me back. Communication is key.

So there you have it. Ten ways to lose a customer and advice on how to not let that happen.

As always the ideas expressed above are my own, and I make no claims to the success or failure of implementing them. They are suggestions to make you think. Please vet all ideas against your business plan before implementing them.