Customer Centricity: benefits of a customer-centric strategy

First, it is important to know that customer focus is not the same as customer centricity.

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To focus on the customer is to operate a business with a strong orientation towards satisfying the customer's current needs.

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To focus on the customer is to look at Customer Lifetime Value (CLV) and direct marketing efforts to deliver a positive experience.

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Placing the customer at the center of everything the company does aims to promote buyer loyalty and drive business growth.

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Today's consumer is demanding, so a customer-centric company must work to understand its customers at a deep level in order to nurture and retain them.

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Customers who have an emotional relationship with a brand have a Customer Lifetime Value (CLV) 306% higher than average.

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To achieve sustainable growth, companies must balance their business objectives between acquiring new customers and developing valuable relationships with existing ones. But resources are often limited and the costs of acquiring and retaining customers are skyrocketing.

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This is where we understand that all customers are important, but some customers are more profitable than others.

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Knowing customer value(CLV) helps companies identify which customers are worth focusing efforts and resources on and which customers could be served with a low-cost strategy.

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The COVID-19 crisis has led to dramatic changes in consumer behavior. Companies will have to work hard to meet evolving customer experience requirements in order to win and remain relevant.

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To win the war for customers in this new battlefield, companies must adopt a customer-centric strategy:

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• Use data to better understand and segment your customer base.
• Use analytics tools to predict future customer behavior based on past behavior.
• Use Customer Lifetime Value (CLV) to identify the best customers.
• Effectively engage them at every stage of their lifecycle, sending them contextualized messages with relevant and personalized content, providing them with valuable, high-quality products and creating memorable experiences at every touch point in their journeys.
• Acquire customers with similar characteristics to your most valuable buyers (Find out how in our article: Meta Ads & Data4Sales: integration that will lower costs and increase conversions).