Capitalizing on the Dissatisfaction Economy

摘要

Companies may refer to losing customers as "churn rate," but for customers it's simply the end of the relationship. They switch with a few clicks and often for reasons that the company could have avoided by evolving their customer service around the needs of today's always-connected consumers. This can have significant implications on the bottom line: 1. Accenture estimates that this "Switching Economy" puts up to $5.9 trillion of global revenue up for grabs; $1.3 trillion in the U.S. alone. 2. Harvard Business Review reports that acquiring a new customer is from five to 25 times more expensive than retaining an existing customer. 3. Research from Bain & Company indicates that increasing customer retention rates by just 5% can increase profits from 25% to 95%.