The media industry is where we started out and today we can benchmark your answers with more than 25 000 responses.
Using our Monetized Net Promotor System, we categorized the customer base by spending and loyalty (below). The hypothesis was that customer that spend less then 20% of their relevant media budget (print, print-on-line and radio) with the company were probably not very happy, in other words - detractors.
The numbers shown in the figure above is no of customers and average revenue per customer per year.
Problems identified in the analysis
The Key Accounts (Category A+B) had a survey response rate of less than 10% and a Reach (Coverage x Response Rate) of less than 2%.
It is highly unusual to find that the largest customers did not take the time to give feedback when asked for it. This is a major “RED-FLAG” indicating that something is seriously wrong
It was also very disturbing that the majority of the Key Accounts were not surveyed by their key account managers. This was another “RED-FLAG” that needed looking into.
The E category customers were almost as many in total as the A and B category combined but generated less than 1,5% of the total revenue.
The time allocated by the sales organization to the E category customers was however more than twice the time allocated to the A & B category.
Actions – Objectives - Results
A special KAM-training program was launched to address category A & B customers and a special KAM CX- unit was established to contact all the 100 Category A Critics and handle the problem before moving on to the Category B critics
KAM Objective 1: 50 category A critics (100’ average) moved to (at least) passives (600’ average)
= 10 000 000 kr growth
KAM Objective 2: 50 category B critics (40’ average) moved to (at least) passives (200’ average)
= 8 000 000 kr growth
“Operation Save”: Each of the 20 regional sales teams were tasked with identifying 10 critics to approach and turn around to prevent churn next period. The CX-team supported with industry-based success cases.
Objective: 200 category C critics (20tkr average) moved to (at least) passives (90 tkr average)
= 14 000 000 kr growth instead of 4 000 000 kr churn
A specialized telemarketing team and a new sales process for Category E customers (media spending below 50tkr) relieved the field salesforce of some 500 customers.
A CX team was tasked with looking into how to fully automate the order process for customers with media budgets below 50k.
Objectives:
Double the meeting frequency on category C & D customers from an average of 3 to 6 pre-booked meetings/week/salesrep (F2F or Virtual). The focus of these incremental meetings was to change category C & D customers buying cycle from a weekly to a monthly or quarterly basis.