Fred Reichheld was the first to prove the enormous impact retention — or customer loss — can have on the bottom line. His ground-breaking 1996 book, “The Loyalty Effect,” demonstrated conclusively that a 5% increase in customer retention can, depending on the industry, result in an increase in profits of up to 95%. Reichheld’s more recent title, “Loyalty Rules,” describes the key role played by employees in customer retention. Both are recommended.
At the site you can download the “Loyalty Acid Test” survey questions to assess the loyalty of your own customers and employees, compare the results with industry benchmarks, read excerpts from the books, study the “Six Principles of Loyalty” and visit the Loyalty Library. [WDFM Annotation]
Author: Frederick F. Reichheld
Source: Bain & Company
Subjects: Management, Marketing / Sales