The adage “Customer is the king” is now more true than ever. The abundance of information available at just a click through the digital technology, has incredibly transformed the way we communicate with each other, how we shop, how we share all types of experiences with family and friends. Because of this radical shift, delivering memorable customer experience and managing relationships is more important than ever for any organisation. The experience that the company gives them across services and touch-points can create powerful relationships that drive profitability. Understanding the complex customer behaviour and the true dynamics of a customer relationship therefore is the key ingredient for creating a memorable customer experience.
At the heart of every customer relationship lies a unique code. It identifies and matches up what customers expect from a company and what makes them prefer that particular company. At TNS, this is called ‘Customer Code’.
Mostly, successful companies have similar approaches to performances and generally are not differentiated much in product or service delivery or quality. The decisive criterion is the preference by the customers in making choices or a judgment about particular company. Successful companies know the difference between performing well and winning customer’s preference to stay with them.
Some companies can attain immediate preference but failing to showcase performance hampers their future in the market. We have seen several examples of such bubbles created by companies in the world and in India too. This is true for non-commercial organisations also. A new political party in India burnt its fingers by focusing only on developing preference and neglecting performance.
Analysing this gap between performance and preference in quantifiable terms can help a company to measure the strength of their customer relationships vis-a-vis competition and further help keep a track of this gap across markets, segments, etc.
To ensure both immediate and long-term success, a company needs to optimise its performance and preference. These two indicators together tell us the actual strength of relationship between the company and its customers. At TNS, we call it ‘TRI*M Index’. Successful companies have lower gaps between performance and preference and thus have these two indicators and the TRI*M Index in close proximity. Best ones have the lowest gap in their market and thus exhibit highest level of authenticity. So, mind the gap!
When we talk about cracking customer codes and assessing the strength of relationships, there is a