Steve Walker sits down with colleagues Mark Walker and Sonya McAllister to discuss the importance of customer segmentation. They discuss the value of segmenting by loyalty, and explain the value of the Three P's - payoff, potential, and partnership.
We know we should value our customers. They pay our salaries, support our companies, and help create our futures. The best business leaders take on the responsibility for building an appreciation for customers throughout their organizations. But how do we measure customer value and manage by it?
For many people, old habits die hard. And because American businesses are managed by some of these same people, it's inherently easy for companies to hang on to outdated, less effective business practices and ways of thinking simply because "that's the way we've always done it" or "we've always looked at it this way.
Is your business focusing the best resources on the most profitable customers to earn the highest loyalty? As anyone doing sales or marketing planning knows, not all customers are equal and the majority of corporate profits tend to come from a minority of your accounts.
