Over the past decade, I’ve been preached to time and time again by MDs and CEOs about ‘customer-centricity’ and how ‘we know what products and services our customers like and we even know what they want us to improve upon and which of our new products they’ll like’. My response: “I rest my case. Haven’t you’ve just told me all about your ‘stuff’ and nothing about your customer?
Being truly customer-centric isn’t about showing them what you’ve got and asking them if they like it. It’s about looking at the world from their perspective and appreciating the problems and tensions they face and the things they aspire to. Without the right insight it’s more likely that what you do will be more about what’s best for your organisation rather than your customer.
When you really know your customers you’ll go beyond trying to sell them products and start to focus on solving their problems and that’s when you start to fuel innovation and differentiation. In the modern fast-paced commoditised world we operate in, it’s no longer about ‘what you do’ it’s about ‘how you do it’. Your competitors can copy products along with everyone else but they wont be able to do it like you do!
“We have only two sources of competitive advantage. The ability to learn more about our customer faster than the competition and the ability to turn that learning into action faster than the competition."
Jack Welch, former chairman/CEO, GE.
There are two points when customers talk about your business. When you’re pretty ‘Poor’ at what you do your customers will let everyone know about it. In the middle sits ‘Good’ but no one really mentions this as ‘Good’ has become the new ‘Average’. At the other end of my scale is ‘Exceptional’ and people talk here of brand loyalty, recommendation and constant endorsement, even Love!
The customer-centric organisations that sustainably differentiate do so because they understand the symbiotic relationship they have with their customers. The benefits for both are obvious but never the primary focus. In adopting this ‘Strategic Mindset’ you move beyond the traditional lip service or at best superficial attempt at customer focus. However, this means creating a different organisational approach to how you do what you do and involves being what I call ‘People-Centric’. Striking the right balance between customer pleasure and shareholder return will always, always be done through your people.
To do this, everyone in your organisation needs to understand how to collaborate on solving your customers’ problems in order for you to provide an exceptional end-to-end customer experience. So, in the same way your customers aren’t ‘Transactions’ your people aren’t ‘Resources’. Create a true relationship with your people and inspire them to be exceptional. Then passionately forge a relationship with your customers by replacing a ‘product-centric’ model with solutions as the fundamental part of your value proposition. Differentiation, innovation and shareholder return will be your natural by-products.
Good luck!
“We have only two sources of competitive advantage. The ability to learn more about our customer faster than the competition and the ability to turn that learning into action faster than the competition."
Jack Welch, former chairman/CEO, GE.
There are two points when customers talk about your business. When you’re pretty ‘Poor’ at what you do your customers will let everyone know about it. In the middle sits ‘Good’ but no one really mentions this as ‘Good’ has become the new ‘Average’. At the other end of my scale is ‘Exceptional’ and people talk here of brand loyalty, recommendation and constant endorsement, even Love!
The customer-centric organisations that sustainably differentiate do so because they understand the symbiotic relationship they have with their customers. The benefits for both are obvious but never the primary focus. In adopting this ‘Strategic Mindset’ you move beyond the traditional lip service or at best superficial attempt at customer focus. However, this means creating a different organisational approach to how you do what you do and involves being what I call ‘People-Centric’. Striking the right balance between customer pleasure and shareholder return will always, always be done through your people.
To do this, everyone in your organisation needs to understand how to collaborate on solving your customers’ problems in order for you to provide an exceptional end-to-end customer experience. So, in the same way your customers aren’t ‘Transactions’ your people aren’t ‘Resources’. Create a true relationship with your people and inspire them to be exceptional. Then passionately forge a relationship with your customers by replacing a ‘product-centric’ model with solutions as the fundamental part of your value proposition. Differentiation, innovation and shareholder return will be your natural by-products.
Good luck!
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