Today’s businesses must build value for customers if they hope to be successful. Yet, value is a moving target. All customers do not have the same measuring stick for sellers to apply a cookie-cut approach. In fact, globalization has created all types of problems for businesses. One of the issues is how to stay ahead of the competition by exploring new markets while keeping the same customer base. Doing this action is not easy. Many businesses build their profitability on this simple equation. Companies seek to reduce their inputs (i.e., outsourcing labor, using better technologies) to obtain greater profitability. Still, the process is often self-serving with little regard to the customer and lesser value on employees. Therefore, many people might insist that some businesses simply stumble on what customer value is and how it affects their business. In this article, we examine how businesses can enhance their positioning in the marketplace by understanding how to create value for their customers.
First, creating value for customers isn’t easy. Some businesses seek to take shortcuts in building relationships with customers with marketing smoke and mirrors. Some organizations simply believe that hiring a large sales force is enough. Jeb Blount, author of Fanatical Prospecting: The Ultimate Guide for Starting Sales Conversations and Filing the Pipeline by Leveraging Social Selling, Telephone, E-Mail, and Cold Calling explains, “Lots of salespeople have the intelligence, talent, skills, and education to be top performers. Lots of salespeople are competitive, understand the sales process, and know how to ask for the business. Yet they consistently underperform the superstars… Superstars are relentless, unstoppable prospectors. They are obsessed about keeping their pipeline full of qualified prospects.” Thus, knowing your customers intimately will serve small businesses in creating value for customers.
Second, creating value does generate winning customers. Value is defined as “the total benefit that the seller’s products and services provide to the buyer.” Stephen Castleberry and John Tanner, Jr., authors of Selling: Building Partnerships, argued the critical need for value creation. Sadly, some business owners do not comprehend how value creation works. John Jantsch, the author of Duct Tape Marketing, also maintains that building value for customers is no accident: “You can choose to attract clients that value what you offer, view working with you as a partnership, and want you to succeed…” For example, Shawnee’s Chick-fil-A Owner Jeff Madison understands the merit of this concept. Retired U.S. Army Colonel with 26 years of leading U.S. and multinational soldiers and civilians from cavalry scout platoon to the Pentagon, Jeff recognizes the essential of deploying a combat-proven, critically reflective, innovative and decisive strategy in ever-changing conditions. Despite all the MBA type strategies, success starts with building value for customers. Jeff explains, “We create value for our guests by connecting with our guests beyond the transaction (taking their money at the cash registers). We offer genuine hospitality and Matthew 5:41 Second-Mile Service. We carry trays to the table for guests who need assistance.” Madison seeks to build an emotional connection with customers. Given that most businesses want to distinguish themselves from their competition, creating value is a clear distinction.
Finally, local businesses need to consider changing what has not worked with the economic crisis,. This article demonstrated how businesses can benefit themselves by understanding how to create more value for their customers. Being strategically conscious of these business relationships is stress-free. This process takes everyone’s total involvement. When small businesses place value creation as a high priority, prospecting for winning customers is a lot easier and more beneficial in the long run. Let’s pray that it is not too late.
© 2019 by D. D. Green
About Dr. Daryl Green:
Dr. Daryl Green provides consulting, guidance, and management training for today’s small businesses. He is the Dickinson Chair at Oklahoma Baptist University. He and his students have assisted more than 20 businesses in the region with marketing and management expertise. If you would like more information about this article or business assistance, please contact Dr. Green at firstname.lastname@example.org or visit www.drdarylgreen.com.