- The economic crunch is here
- Company revenues decline
- You get told to reduce service levels
- You reduce staff and/or cut the hours of cover
- There's a dilution in the customer experience
- This causes an erosion in customer loyalty
But this need-not be the outcome, as a recent McKinsey article highlights. This report covers the possibility of finding your customer 'Break Points' and carefully tracking this to avoid a complete drop in customer satisfaction.
One alternative to this is managing your customers down to lower cost-to-serve channels such as online, without a drop in quality of service. As I mentioned in a previous post, this can also be difficulty to pull-off correctly, but then this is a recesssion... and you don't just judge the person during the good times do you?