Customer is your wife...
"The consumer is not a moron, she is your wife,” said by David Ogilvy couldn’t have gained greater relevance than in the present time. Its the time when production and sales oriented organizations are making a shift to join the league of customer centric organizations. From “selling what we make” to “making what we can sell”, every business has a long way to cover.The consumer is the king with plethora of options thrown open to him. Today’s customer has both, enhanced buying power as well as enhanced bargaining power. So, if you don’t arrive in time or fail to reach upto his expectations, there is a competitor ready to snatch your share. The days of pushing conveniently produced, old fashioned, exorbitantly priced goods down the customer’s throat are over. It’s the age of empowered customer.Recognizing this tremendous influence, Business Week labeled the 90s the “Decade of the Customer”.Gandhi had rightly said: “A customer is the most important visitor on our premises. He is not dependent on us. We are dependent on him. He is not an interruption in our work - he is the purpose of it. We are not doing him a favor by serving him. He is doing us a favor by giving us the opportunity to serve him.”Another movement that brought a sea change in businesses was globalization.Globalisation is the new buzzword that has come to dominate the world since the nineties of the last century with the end of the cold war and the break-up of the former Soviet Union and the global trend towards the rolling ball.Globalization has brought more choices to the platter for the Indian consumer. Gone are the days of watching Doordarshan because with the advent of cable TV we are watching HBO, MTV, BBC , ESPN and the like. . So large is our dominance that these global channels have launched shows Hindi and regional languages. So now the famous Donald duck expresses his love to Daffy duck in Telgu and Malayalam.How customers became the most crucial component in even designing of a product is evident from Mahindra and Mahindra’s designing of Scorpio. The national Award was just one of the major awards that came Scorpio’s way since it was launched in 2002. Within a year of its launch, the vehicle also won the “Car of the Year” award from Business Standard Motoring, the “Best SUV of the year” by BBC Wheels and the “Best Car of the year” also from BBC Wheels. Why? Because the car was not designed and produced in isolation from consumers expectations. It was a car that had Fukui( Japan) for press shop, Fuji( Japan) for the dies, Wooshin( Korea) for body shop, Lear(USA) for seats and interiors, Visteon( USA) for exteriors, Samlip(Korea) for suspension, BEHR (Germany) for air conditioning, Kenwood for audio systems, Meriton(UK) for locking system and Bridgestone(USA) for tyres. Now, all this for a completely Indian Automobile that was made for an Indian customer and yes, the company cannot set exorbitant prices because it has to remember that the customer is not a moron, she is your wife.Every company has to be quick in reading the minds of its customers and acting upon the signals or else it will lose the race. This was well exemplified in case of Emami’s fair and lovely that read the customers minds and growing preference for ayurvedic products. It launched its variant in sync with consumer preference and regained a considerable share. Similarly when the wave of metro sexuality started sweeping the country, fair and handsome came into the market. Hence, the moral of the story is if the company does not understand the consumer, it is a moron.Sourcing, production, new product development have been the few areas that the Indian companies have overhauled themselves in. The next big thing that bears the dictum is Marketing and advertising. Selling fake products or low quality products to today’s customers is a big NO -NO. The companies are trying to forge a relationship with the customer, hence the concept of after sales service and loyalty programs has picked up in a big way. Maruti still remains the most preferred automobile brand because of the largest network of service stations that provide convenience to its customers. The companies efforts to please its consumers makes them sell double the cars than their closest competitors.The biggest benefit comes from an understanding of customer service quality.Service Quality = Service ExperienceConsumers are disappointed if experience does not match expectation. They speak to many people if the experience is way below expectation. If the experience just fulfils expectation, they are satisfied. However, that is no big deal. If the experience exceeds expectation, that is when the real benefit occurs. The customer then enjoys the experience and relives the experience many times over by talking about it to several people.As a result, you reinforce two things: behaviour and closeness to the brand. That is true loyalty.“The consumer is not a moron, she is your wife,” said David Ogilvy. Deals or no deals, customers finally settle for choices where they get maximum value. In addition, they define value in their own terms - and their view of value often differs from what the marketer defines as value.