Customer satisfaction/customer success functions are fairly common now. Novell had a customer satisfaction unit (separate from customer service) in the CEO’s office back in 1989 when Excelan first merged with Novell. Ray Noorda, Novell CEO, was obsessed with the customer satisfaction. I, as a part of the my responsbilities, managed that function. It was very interesting experience. As a rule no complain was too minor to be ignored.

Customers are what businesses exist to serve. Repeat customers define the success for businesses. It is very expensive to acquire a new customer and in most of the consumer businesses, it takes several transactions before a customer becomes becomes a profitable customer. Customer churn can be disasterous for the bottom line. CAC (Customer Acquisition Cost), LTV ( Long Term Value of a customer) and Customer Churn are three metrics that a CEO must pay close attention to.

Business need employees to take care of the customers. Happy employees normally leads to happy customers.

A CEO must have a good handle on customer sentiment and must spend time first hand to have a feel for it. Happy customers and happy employees normally lead to happy investors.

Comments

comments

Author

Comments are closed.

Shares