Success in recurring revenue is all about the relationship with your customer. The longer the relationship lasts, the more profit for your business. Today’s tech-savvy customers expect a consistent high quality and personalized experience. They want you to be there for them. From the customer’s point of view, that means:
- Your product/service works, every time
- It’s easy to access and use
- It’s personalized based on my preferences
- I can interact with the service when I want
- My information can be updated in real time
- My charges make sense
- It’s easy to pay for services and upgrades
- When I have a problem, there is a single source that I know will help me
If you want to realize the full value of recurring revenue, you need to create personal connections with your customers. You need to exceed their expectations. You need to become a trusted friend, anticipating their wants and needs. It’s all about nurturing and growing the relationship. If you don’t, someone else will.
Creating this personal connection starts with understanding that the customer relationship is defined by a series of events. How you handle each event plays a role in building trust and confidence in your service. What are these events?
A customer enrolls in your service. They receive charges and invoices. They set up payments. They visit your web site and log on to their account. They use your service. They order upgrades. They chat with customer service. They experience service interruptions. They ask for refunds or credits. They might even cancel at some point.
These are some examples, and the key to success is how you manage and respond to each of these events.