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Managing Functional Interests

10 April 2017
 

Recently, we've been working with a large firm, whose market share has plateaued. We're helping them to get clear on their strategy for growth and to bring together different parts of their organisation to think about what they can achieve together that they cannot when they manage themselves separately.

We have seen how what happens in the marketing and product design processes can have huge impacts on sales and servicing; for example, driving in demand from would-be customers who are not eligible for the products on offer or creating complex product portfolios that the organisation is not equipped to service well.

We've also seen how the pressure to sell, can lead to customers being set-up for products in ways that make selling them easier but servicing them all but impossible. And we've seen how poor service at the back end, can have a knock on effect on reputation, brand and future sales.

All of this has exposed some interesting but previously unspoken dynamics in the organisation, where divisions like sales and marketing are seen as profit centres, while others, like servicing, are seen as cost centres.

Since money talks, the organisation has had a tendency to listen to sales and marketing but to tell servicing.

Put in the context of the firm's own data, which tells it that its two most succesful routes to growth have always been growing existing customers and receiving recommendations from them, this has all given considerable pause for thought.

Have they been turning a deaf ear to their best strategy for growth because of how they thought about their performance? Are you?


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