Make the Most Of Your Customer Relationship

Maybe its my desire to apply my undergraduate economics degree, but when I heard this morning estimates that true improvement in employment according to USA estimates is still at least 3 years away (a number below 6 %), I got to thinking about Canada as well. For my fellow Americans that do not know Canada, while the USA has suffered thru probably one of the worse economic downturns since the depression of the early 1930's, Canada's economy has surged like know other of the economically developed countries. Housing prices are "irrationally exuberant", employment is pretty good, the Canadian stock market has outperformed (gold and mineral based), and the Canadian dollar, as measured against the greenback is above par versus the $ USA! The Canadian dollar value is really hard to believe. And I'm not sure if it is good for Canada or bad, especially since Canada does the majority of its trade with the USA.

When we started SP Data 7 years ago, it was about 3/4's of a $ USA, and before  that it was even as low as $ 0.62 of a Canadian dollar. Oil, gold and potash aside aside, Canada is over heated. I do not mean to be a pessimist as I'm very proud of my Canadian roots, but my gut tells me that things are not as good as they appear. I forecast a downturn for Canada, and an upturn from the worst for the USA. The worse may be over, though new dynamics with similar despair are going to persist. I see huge debt leverage, radio adds pushing refinancing, personal credit improvement, all the same products that hit the USA market. The only difference is Canadian consumers used to be different.

Nonetheless, across the board, we are seeing call volume forecasts, whether sales, tech support  or service miss forecasts to the downside. Oh sure, several clients have closed call centers or other operations, but that is more systematic due to their market position. For example, just take a look at the USA mobile market, where the big 2 have continue to increase their market share. Having said that, aside from customer defection due to inferior service or offering, lies another trend. Volumes are lower across the board, and companies are fighting hard, not just to grow, but to remain whole. One must look closely sometimes inside the numbers to see the whole story. Al large media Company yesterday reported a gain in profit, but that gain came form broadcast and other digital properties. The original "core" cable business, actually lost customers.

My point is the drop in customer volume is not because customers are using social media or other channels. At SP Data we are constantly evolving our service offering, and the social media channel is bursting with opportunity and excitement. The reality is that volume is driving down because customers lack confidence in the future. So do our clients need to accept a decline in business volume? Do they just continue to trim fat when little fat exists to trim? Our answer is that they begin to think of like minded partners and work together. The partners that offer the best benefit to the consumer, the best value will win.

I wake up every day so grateful and lucky that i can work and make a difference. With all the bad things one reads each day, take a look at the best companies in each industry you follow and ask yourself, what are they doing right.? Like the consumer, the gap between those that succeed and those that do not is getting greater and greater. Unlike the consumer, a business (aside from an essential employer such as General Motors), will not receive government help and thus, needs to put together a best in breed strategy for success. Business today is action packed, and moving faster and faster.