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Lost Customers Win-back Strategies Reaserch Based on Perceived Switch-back Values

Author: ZhaoJuXiang
Tutor: ZhaoNing
School: Dongbei University of Finance
Course: Business management
Keywords: Lost Customer Perceived Switch-Back Value Win-Back Strategy
CLC: F224
Type: Master's thesis
Year: 2011
Downloads: 9
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Abstract


Business process reengineering (BPR) founder Michael Hammer have a famous saying:"the so-called new economy is our customer economy." It serves to show customers play an important role in today’s society in the process of economic development, the competition between enterprises is the essence of customer competition. But in many businesses,many batches of customers leave from company every day,which prevents enterprises to absorb new customer, and to damp down the morale of the employees, which will ultimately affect the profits of the enterprise. Therefore solving customer loss problems and how to win back lost customers are the key problem for enterprise to obtain a long-term and stable development. With the improvement of living standards, the parents pay more and more attention to children, the development space of youth training market is large,but because of the short-term of its goal,the sense of trust of parents to enterprise is difficult to set up,which make its customer turnover rate is bigger, the customer drains phenomenon becomes more serious, therefore youth training industry is chosen as the research object,in the basis of the theory of relationship and customer perceptive values,in order to reaserch the perceived switch-back values and win-back strategies of lost customer,thus to make customers reselect the training industry.With the development of society, the only children become more and more,they play more and more important role in the family decision. So for youth training industry, its customer is not only parents, but also including children. Through the interview of parents and children, the point is proved. Therefore in the basis of the theory of customer relationship and perceptive values and the previous academic research, the perceived switch-back values of lost customer that applies to the industry:economic value, relationship value, trust value,which are put forward,and interest value for teenagers,the lost-win-back strategies in the basis of these values: economic compensation, preferential treatment and interpersonal communication,at last using the empirical to proof the relationship between the return values and win back strategy.After the study, three conclusions are discoverd:First,the influence between economic compensation and different lost customers perceived switch-back values are summarized as follows:(1) the economic compensation strategy has significant positive influence on the economic perceived switch-back value of parents; (2) the economic compensation strategy doesn’t have positive influence on the relationship and trust perceived switch-back values of parents and the interest values of children. This shows that the enterprise implement economic compensation,which plays more important role in winning back the losts who pay attention to economic value,but doesn’t work in those who pay attention to relationship value, trust value and interest value.Second, the influence between preferential treatment and different lost customers perceived switch-back values are summarized as follows:(1) the preferential treatment strategy has significant positive influence on the economic perceived switch-back value of parents and the interest value of children; (2) the preferential treatment strategy doesn’t have positive influence on the relationship and trust perceived switch-back values of parents. This shows that the enterprise implement preferential treatment, which plays an important role in winning back the losts who pay attention to economic value and interest value,especially economic value.but doesn’t work in those who pay attention to the relationship and trust perceived switch-back values of parents.Third, the influence between interpersonal communication and different lost customers perceived switch-back values are summarized as follows:(1) the interpersonal communication strategy has significant positive influence on the relationship and trust perceived switch-back values of parents and the interest value of children; (2) the interpersonal communication strategy doesn’t have positive influence on the economic perceived switch-back value of parents. This shows that the enterprise implement interpersonal communication,which plays more important role in winning back the losts who pay attention to the relationship value, trust value and interest value,but doesn’t work in those who pay attention to the economic value. That lost customer win-back strategies systerm based on the lost customer perceived switch-back value of youth training industry will be constructed,which will expand the theory of lost customer win-back management,and provide certain reference value for the research to lost customer win-back management.

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CLC: > Economic > Economic planning and management > Economic calculation, economic and mathematical methods > Economic and mathematical methods
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