- Greg Daines
Stop Studying Failure!
You can't learn to make customers SUCCESSFUL by studying FAILED customers
Think about it -->
The most popular method for analyzing churn is the Exit Survey. But it's a trap! Why?
It seems obvious that if we…
• Ask customers why they churned,
• Identify the most common reasons, and
• Fix the big problems
...then surely fewer customers will churn!
But that's not what happens.
It doesn't work.
Churn never goes down.
This drove me crazy. I couldn’t understand why this doesn't work.
I eventually discovered the answer which is based on this one simple truth:
**Customers don't leave because they have a reason to leave. They leave when they no longer have a compelling reason to stay.**
As long as we focus on our FAILED customers, we will never understand why customers SUCCEED.
What we need to understand is not why customers leave. We need to know...
--- WHY DO CUSTOMERS STAY? ---
That's why we need to STOP STUDYING FAILURE --> and start STUDYING SUCCESS!
So, how can you do that?
Begin by focusing on your most successful customers. These are the customers who are getting results - NOT necessarily the "happy" customers.
Get them on a call and explore with them:
- What results are important to them?
- How do they measure success?
- What did they DO to get results?
I think you'll find that, although your customers are very different in many ways, there are just a few behaviors they share in common that are essential to getting good results with your product.
This is powerful knowledge: understanding how customers achieve results. I call it: CUSTOMER EXPERTISE.
And this expertise is your most valuable asset because it's what drives customer results. And customer results drive retention!
The Second Law of Customer Retention says that:
Customers achieve results because they change their behavior.
Armed with this powerful expertise, you're now in a position to help all your customers get results by teaching them what they need to DO to win!