Even in this fast-paced, hyper-growth world, there are times when a business can grow too fast.
It’s often asked, “But isn’t increased demand for your services good?”
When a business starts to grow too fast, it’s important to reflect and understand if that growth is actually compromising your business plan. While there is a natural tendency to shift focus towards managing the surge in demand and sales, it’s important to ask, at what expense? A common grave mistake committed by many hyper-growth businesses is postponing focus on customer success. This results in losing grip on the ability to provide timely top-tier services to customers.
Moreover, post the pandemic, it has become prominent that retaining existing customers is just as important as new sales. While 2020 was painful in many ways, for businesses, it became a stark reminder of how important it was to retain their existing customers over gaining new customers. It is pivotal to incorporate customer centricity and customer success into your company culture from the very beginning. With the intention of satisfied customers, organizations should strive to build an environment that supports and promotes Scalable Customer Love. A priority that’s on par with consistent revenue growth.
Did you know that acquiring a new customer can cost five times more than retaining an existing customer? According to research conducted by Bain & Company, it has also been proved that just a 5% increase in customer retention can increase profits by 25-95%. The success rate of selling to an existing customer is 60-70%, whereas the success rate of selling to a new customer is 5-20%. All these statistics just reinforce the fact that customer success should never be ignored and, in many cases, needs to be made a priority.