Tag Archives: business retention

Mar 27 2013

BRE a Matchmaker for Your Customers

employeeIf your customer is a business, remember that that business wants customers. But just as importantly, that business wants high quality employees to serve those customers. This is a key that any Business Retention & Expansion (BRE) executive knows – if you want to keep your local businesses, their local life blood is often their employees.

The article NKY Boost promotes employee retention notes how the local BRE personnel worked with a large food processing firm to improve the transportation options for staff to get to/from work. But later on in the article, a broader and equally important point is made – Sales are growing, “but it doesn’t do much good if the employers – manufacturers, in particular – can’t find qualified people to hire. More than 40 percent of companies told Tri-ED they face recruiting issues, and 57 percent said they have workforce training needs.”

I’ve heard these stories and related statistics from other BRE professionals as well, so it begs several questions:

  • How are you identifying employee needs and job openings at your local businesses?
  • How are you identifying high-demand skill sets at your local businesses?
  • How are you identifying people with those skills in your community?

And maybe – most importantly – What are you doing to be a matchmaker between local employers and prospective employees?

Is there a jobs clearinghouse, a web portal for exchange of job listings and resumes, or training partners in community colleges and elsewhere tailoring programs to meet those high-demand skill sets?

Your businesses need high performing employees to ensure efficiency, quality, customer service, and growth.

Make sure you’re being a matchmaker.

Interested in a site just for BRE professionals? Check out http://brebuzz.com/ 

Mar 5 2013

Compete for Businesses by Making Them Competitive

1st Place RunnerIn the article Lakeshore and Crossroads chambers collaborate on economic development, it’s stated that “The LCEA’s short-term objectives of the business retention and expansion surveys are: 1) to demonstrate community support for local businesses by conducting personal interviews, and 2) to assist with any immediate business concerns. Long-term objectives include: 1) build capacity to sustain business growth, 2) increase competitiveness of local businesses, and 3) establish and implement a strategic plan for economic development.”

To interpret these objectives, in the short-term get to know your businesses well, get them to know you, and help them resolve problems. Be the group that breaks down barriers to local success. In the long-term, there has to be a little of a “build it and they will come” mentality, where there has to be community capacity of people and facilities for expansion. At the same time, local communities need to help local companies be competitive. And that’s where we dig deeper…

What can you control? What can you impact that makes your businesses more competitive?

Keep in mind that Business Retention & Expansion (BRE) executives can’t personally make their local businesses’ equipment, man their call center, or work on their assembly lines. When companies try to be more competitive, they want to manage costs, improve productivity, reduce throughput time, improve the work environment for their employees (since they compete for personnel), become more nimble when expansion opportunities arise, and be able to more easily work with suppliers. So how can your BRE program impact your businesses?

  • Manage costs? Think about taxes and fees, roads and infrastructure, technology needs.
  • Improve productivity? Consider workforce training resources, job postings, etc.
  • Reduce throughput time? Streamline permitting functions or – again – look at the infrastructure.
  • Improve the work environment? Improve the quality of life in the community, schools, parks, etc. Share best practices from other employers.
  • Become more nimble? Identify facilities that are currently vacant or are soon-to-be, and create strategies to match them to employer needs quickly.
  • More easily work with suppliers? Identify needs for suppliers, and develop a local business environment (and local businesses) that can provide those needed materials, products, and services.

To keep local businesses, you have to compete for those businesses. Compete for businesses by making them competitive.

Interested in gaining intelligence on your local businesses? Check out http://brebuzz.com/

Aug 8 2012

Determine Who is Retainable

I was reading this article on How to Project Customer Retention for a Subscription Business, and it reminded me of a project we worked on about 10-12 years ago for a local Chamber of Commerce.

Essentially, the Chamber was disappointed in their retention rate, and they wanted to improve it, and they had very aggressive goals. So aggressive were the goals that we started questioning whether the goals were based in reality or whether they were the proverbial BHAG (Big Hairy Audacious Goal) that some executive pulled from thin air. The goal was a BHAG, and once that was determined, we proceeded to get the client focused on what percentage of members are truly retainable.

We’ve used this same approach in helping pro sports teams target a renewal rate, and we created a Retainable Rating system for helping Economic Development organizations prioritize their Touch Point Plans through their Business Retention & Expansion programs. In other words, understanding what percentage of customers/members/businesses are NOT retainable as well as who is more retainable than others helps in prioritization of retention efforts. It helps in work allocation. It helps in goal-setting.

There are 3 core ways to determine retainability (which are best used in conjunction with each other):

- Conduct research with existing customers/members/businesses and ask retention-focused questions.

- Review history in your own databases, comparing characteristics of past customers/members/businesses lost v. those retained and applying that data to existing clients.

- Talk to the employees and account representatives who best know those customers/members/businesses.

Add some realism to your retention goals. Add some prioritization and focus to your strategies. Add some reasonableness to what you expect of staff in managing relationships and retaining business.

Determine who is retainable.

Interested in improving your company’s customer service? See more at: http://www.cssamerica.com/

Jun 20 2012

Linked at the Hip – Business Retention and Long-term Thinking

If you care about winning a battle, focus on today. If you care about winning the war, think beyond tomorrow.

In far too many businesses, companies focus too much on today’s battles. They get so immersed in making this one sale, in closing this one transaction, in getting through these operational steps, that they find themselves with the same one sale, one transaction, and one step-orientation the next day.

So what’s the problem with that? The problem is that caring almost exclusively about today doesn’t help you to plan for tomorrow, to think strategically, to think long-term, and to succeed long-term. It doesn’t help you to research, study, and anticipate what you customers will do, how the environment will change, and what your competitors will do.

This conundrum is no different in the world of economic development. Too many communities are too focused on new business acquisition and don’t invest enough resources or planning on how to retain and grow the companies already located in their jurisdiction. This is where effective Business Retention & Expansion programs come into play.

Communities that care about the long-term, realize it’s not all about the hunt, the new business, the relocation. It’s about keeping what you have and growing them. It’s about having strategies to ward off other jurisdictions recruiting their businesses. It’s about becoming as vital to the businesses as the businesses are to the community.

Mooresville, NC economic development groups created ‘Moving Mooresville Forward 2017′. According to a recent article, the strategy has 5 key initiatives:

  • Business retention/expansion/acquisition
  • Creating an environment for small business growth
  • Workforce development
  • Transportation planning
  • Creating a business environment and quality of life that fosters individuals’ and businesses’ desire to stay.

Note how these initiatives are focused mostly on what you currently have – your businesses, your environment, your employees, your infrastructure, your quality of life. Mooresville realizes that it must create an environment that fosters retention and expansion, and that same environment would be of interest to companies seeking relocation options from elsewhere to Mooresville.

When you want to succeed for the long-term, plan how to enhance, retain, and grow what you have instead just focusing on today’s sale, today’s transaction, and today’s task.

Check out our BRE News Research Services: http://cssamerica.com/cssbrenews.htm

Listen to our latest podcast episode on “Delivering the WOW Experience!”

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

May 10 2012

Mind (and Mine) Your Own Business

When an Iowa City economic development group won an award for how it takes care of its current customers (i.e., local businesses), it noted that its Business Retention and Expansion (BRE) program’s name is “Minding Our Own Businesses” – great name!

In the article ICAD recognized for business retention and expansion efforts, the BRE program noted how it targets about 90 businesses per year, but the interesting point is that “65 to 70 of [the businesses] consistently provide data for its annual existing industry report.” That means that about 70-80% of local companies are providing information/intelligence that will help Iowa City to best retain them and grow with them. That’s a significant level of involvement from what are essentially the City’s customers.

So think about your BRE business or your company’s customers. If you target certain customers for retention, don’t just view them as a group you should “Mind” (i.e., take care of and build relationships with), but also look at them as customers from whom you should “Mine” data. Customers are your greatest suppliers of the information you need to retain and sell to them, so developing relationships, targeting what information to obtain, and having simple but effective methods of gathering intelligence (either through surveys or even more passive means) are all vital to retention.

Don’t just view retention and growth efforts as initiatives that involve providing great one-on-one customer service. While that’s a part of it, realize that having an intelligence-building research strategy is vital to any retention and growth strategy.

Mine your own businesses.

Check out our BRE Survey Approach: http://cssamerica.com/cssbresurvey.htm

See what CSS can do to build your existing industry intelligence through BRE News Research: http://cssamerica.com/cssbrenews.htm

Mar 29 2012

BRE and Beyond…Act on What You Know Makes Customers Happy

Fix what customers don’t like, but also give customers more of what they do like.

Continuous improvement in customer service is not all about root cause analysis and process improvement. Much of it is about doing more of what already satisfies the customer.

In the article Survey: Oshkosh good for business as CEOs cite better economic outlook, the local economic development organization reports results of a survey of local businesses. When economic development organizations have a Business Retention & Expansion (BRE) component, it’s because they want to retain those industries and those jobs (and those fees and taxes, etc.) locally. So surveys are conducted on businesses just like retailers conduct surveys with customers.

The Oshkosh article notes changes made as a result of the survey to help businesses become more accessible to customers and to plan for infrastructure changes. But one of the great things about BRE surveys or any surveys for that matter is that the survey organization also learns what the customer (or in the case, the business) likes – they like talking about their facilities or products, oftentimes they like the personal relationship with BRE organizations, they like help with facilitation of difficult permitting processes, they like the access to qualified technical personnel locally. And BRE organizations that are great at what they do, use the information on what makes customers happy to their benefit.

If the industry likes to share information about their facilities and products, find forums to allow them to present about themselves. If they like the relationships with the BRE staff, create Touch Point Plans for ongoing relationship-building. If the business likes help with permitting processes, create an issue-resolution process in partnership with the local code enforcement agency. If they like the access to qualified technical personnel, ensure businesses are establishing relationships with local providers of technical staff, with community colleges, and even some high schools.

Whether it’s for a BRE organization or a private business, research to uncover customer likes is important. Sometimes capitalizing on what already makes them happy is as important as fixing those things that bring frustration.

Act on what makes customers happy.

Interested in CSS’ Government Services? Check out:

http://cssamerica.com/cssgovt.htm

http://cssamerica.com/cssbrenews.htm

http://cssamerica.com/cssbresurvey.htm

Mar 8 2012

Make Your Existing Clients Your New Star

In the article NuStar Energy Plans $365-Million Expansion in Louisiana, Louisiana Governor Bobby Jindal hailed growth of an existing company in Southeast Louisiana. According to Gov. Jindal, “When I entered office, I said business retention and expansion (BRE) would be our top economic development priorities. Today’s announcement shows our strong commitment to retaining and growing existing Louisiana companies so we can create more opportunities for our people here at home.”

When local communities focus on keeping their existing businesses, they’re doing it to keep fees, taxes, jobs locally. If a State is focusing on business retention and expansion such as Louisiana, they are it doing it to keep fees, taxes, and jobs statewide. There’s no altruism involved in a BRE focus; it’s business…and that’s absolutely fine.

According to the article, “Louisiana Economic Development’s Business Expansion and Retention Group, or BERG, began working with NuStar more than a year ago to cultivate the expansion project.”

So what can any business learn from this example? If you want to sustain a business, you want to grow a business, you have to focus on retaining and growing with who you already have; learn these lessons:

· Get buy-in from the top, with leadership being an outward, visible champion of retention and growth.

· Create structures in your organization that exist to support the effort.

· Dedicate staffing/financial/research-driven resources to retention initiatives.

· Partner with clients by planning together how to succeed/grow.

To be a big success in retaining and growing with existing clients, buy into these BRE lessons.

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

Jan 26 2012

Google This…Then Think Differently About Retention

Go to Google News and search on “business retention.” When I did this recently, there were 102 items of business news for the last week alone, and they are from close to 100 different locations.

Why is this term becoming so ubiquitous (never used that word in a blog post before…very exciting!)? “Business retention” programs are proliferating, and it’s because communities are realizing the value of a company and its jobs and its fees and its taxes and its construction projects and the salaries it pays. Communities are realizing the value of a customer, and their customer is a business.

When the economy tanks (as it did around 2008 and earlier this century as well), businesses in general start talking a lot more about customer service and customer retention. Whereas it’s sexy to talk about new sales, new clients, and new businesses coming to town, all of that “new” stuff is an addition to what already exists – your current customers.

What we tell our economic development clients is the same thing I’d tell most any other business – don’t limit your retention strategy to “delivering great customer service” or to “having lots of face-to-face meetings with your customers.”

Your strategy needs to be based on data, facts, intelligence – some of which you acquire by asking your customers questions, and some of which you acquire by conducting ongoing research on your clients (via Facebook, Twitter, LinkedIn, Google News, MarketWatch, etc.). Your strategy needs to involve a mix of pre-planned Touch Points that occur throughout the year to pull information from customers via surveys/research/meetings/calls/e-mails or push information of value to them or marketing information for them. But the Touch Points also have to include those (as we say with our healthcare customers) PRN touches – those provided as needed based on that intelligence we just noted.

When you think about how to retain your customers (whether that customer is a business or an individual), you still need to deliver great customer service. But also develop strategies to gather intelligence, and provide strategic Touch Points to develop relationships that grow with your existing customers.

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Listen to our 2012 Customer Service Trends podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/2012/1/12/stepping-up-service-6-customer-service-trends-for-2012.html

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

Oct 20 2011

Why Train to Retain in BRE…

The University of Tennessee has created a course called “Business Retention and Expansion in Tennessee.” While that’s not the most creative course name (kind of like my company, Customer Service Solutions, Inc. isn’t the most creative name…), it clearly indicates what this course addresses – retention and growth of your existing businesses. The course touts statistics such as “79 percent of all new jobs in the state in 2009 resulted from the expansion of existing business and industry.” That stat could apply to most any business – most of your revenue comes from existing clients.

So economic development organizations should have strategies, research, and training to be intentional about that business retention and job growth. Unfortunately, many communities make assumptions about retention such as:

· “We have no control over whether businesses stay or leave, whether they expand here or elsewhere.”

· “Nobody would leave our community.”

· “If there was an issue, the business leader would call me.”

· “I know everybody and everything going on in the community; so I’ll know if there’s something that’s an issue to a local business.”

These are all assumptions – assumptions that can get a community in trouble. And these assumptions apply to anybody who is managing accounts just like BRE representatives manage relationships with multiple local employers.

You have to believe you can make an impact. You have to understand that businesses might leave. You have to be proactive and not assume that businesses are going to contact you in time to help them. And you cannot assume you know all that’s going on in your local businesses.

Local economic development agencies need training and guidance in how to build relationships with local employers, how to proactively reach out to them, how to respond when needs and issues arise, and how to grow their jobs base.

Don’t make assumptions about retention and growth. Get the training, research, and strategy development you need to succeed.

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

Sep 7 2011

The Single Biggest Key to Retention and Expansion

You’re the customer. Do you feel that I care about you?

That’s it…that’s the key to retention. Making that person feel that you care about them. There are many ways to do this, but I’m going to go beyond the obvious discussion of eye contact, body language, tone of voice, and the words you use.

This is about strategy. This is about understanding that when the customer makes the decision to go to a competitor, they’re usually driving down the road, they’re doing a search on Google, they’re reaching for the yellow pages (yes, some people still do that), or they’re at their kitchen table. In other words, when they make that decision to leave, they’re often not in front of you.

So this strategy is about relationship building. As an example, I always like to discuss economic development organizations who are trying to keep local employers through their Business Retention & Expansion (BRE) programs. They’re great examples because these organizations have little direct control over the decisions of the local businesses, and those businesses aren’t going into the “BRE Store” 3 times a week, so the BRE professionals must know how to establish relationships with local businesses by going to the local businesses. They must meet with them, or send surveys, or send information of value, or send “marketing/sales/retention-focused” materials, or e-mail and call the business leaders.

This all needs to be part of a 12-month Touch Point Plan – a strategy you efficiently and systematically design and execute each year. Anybody in any business that depends on retention and growth with existing businesses needs a 12-month Touch Point Plan. You have to develop a plan to proactively “Touch” your clients even when they’re not in front of you. You have to take control over keeping the relationship going, keeping yourself top-of-mind, conveying you care.

We’ve taught many executives in professional basketball and professional soccer how to create these plans because their account representatives are having to manage hundreds of relationships and the resulting millions of dollars in lifetime revenue. Likewise, BRE representatives are maintaining relationships with businesses that employ thousands of staff, invest millions of dollars, and provide a significant tax and fee base for the local economy.

How do you create a plan? Well first determine 3 key types of touches:

· Pull – Information you request of them through surveys.

· Value Push – Information you provide that is simply valuable to the recipient and would address their retention drivers.

· Growth Push – Information you provide that would help them to grow their relationship with your organization.

Then build 3-4 of each touch type into a 12-month Touch Point Plan.

The key to retention is simple to identify, but the plan to retain must be created and executed in a strategic manner. So what’s your plan?

Interested in more information about Touch Point Planning? Go to: http://www.cssamerica.com/csstpp.htm

Listen to our latest episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/