1. What type of ROI can we get from the Customer Relationship Auditing process?

This is always a difficult question to quantify. The Customer Relationship Auditing process focuses on our clients' most important customers - customers who theoretically should be receiving the best possible service. Yet, on average, we have found 46% of our clients' top customers are dissatisfied with our client (below the Zone of Tolerance). The indicator is that if a better supplier exists, it is easy to switch. By focusing on upset customers we reduce the probability of customer churn or defections to the competition. Measure the cost of one lost customer because you do not give them what they want and you will find the Customer Relationship Auditing process is a fraction of that cost.

2. How will the Customer Relationship Auditing process affect the bottom line?

There is a direct relationship between customer satisfaction, customer retention, and customer profitability. If a customer is happy with you, they will be more profitable than a customer that is not happy. The costs associated with managing an unhappy customer are generally much greater.

3. How would the Customer Relationship Auditing process help with our key accounts?

This depends on many factors; how much change occurs in your industry, your company and/or your customer base, or in your current client customer satisfaction level. If there are substantial changes then you would need to conduct interviews often to ascertain client perceptions within the changing environment. Most companies use Customer Relationship Auditing at least on an annual basis.

4. We have just bought another company, how will the Customer Relationship Auditing process benefit us?

Many companies buy other companies for one of their greatest assets - their customer base. This asset needs to be protected. By conducting a Customer Relationship Auditing survey you are sending a strong message that customers and their attitudes are very important.

5. How would a survey of this type affect the value of our company?

It will add value in two ways. First, the relationship between your account manager and your customers is documented and progress can be measured. Second, this vital information becomes your intellectual capital, that you retain regardless of personnel changes.

6. We are about to sell our company, why should we use the Customer Relationship Auditing process?

To show the value of one of your greatest assets - your customers. When selling your company, you justify your price by showing your tangible assets, etc. But what about your intangible assets like your customers and their goodwill? By doing an audit on their perceptions of your company you are showing which customers are most likely to continue doing business with you.

7. Would we use the Customer Relationship Auditing process on all our customers?

No, only the most important ones. All the decision makers or deal influencers in those companies must be interviewed to ensure that you understand exactly what it is about your company that excites or disappoints them. These facts enable you to act immediately to enhance the relationship.

8. Other than our most important customers, which other customers should we survey?

Those that are the most dissatisfied with you and you don't know why; companies whose revenue is declining (they most likely have alternate suppliers); or companies where you don't have majority market share and you want to increase it at the expense of a competitor.

9. Can we conduct a survey on only one customer?

Most certainly, depending on the size of that customer. We have conducted a few surveys in which we have interviewed everyone within only one company. Your key account manager is then able to orchestrate a solution that satisfies the individuals and management levels within that account. This is extremely powerful at another level because that customer understands you are serious about the relationship and are more open to you than they were before.

10. What if we have just lost a customer?

Those must be immediately interviewed for two reasons. First, to discover the reason they left. Second, to determine if there is a possibility of getting them back. A saved customer becomes your most loyal customer as they know you are willing to go to extreme limits for them.

11. We sell consumer goods - would we need the Customer Relationship Auditing process?

Even if your market is a mass audience, chances are you have a channel strategy - different vendors that distribute your products to the public. These channel partners are sought out by your competition as well. You need to ensure you understand them and their exact needs so they sell your product, not the competitor's.

12. We only deal with end consumers - would the Customer Relationship Auditing process be worthwhile?

If you have many consumers and they don't have specific accounts with you, then Customer Relationship Auditing would not be the ideal client intelligence service.

13. We are distributors for a lot of different companies. How could we benefit?

The Customer Relationship Auditing process works both ways in the value chain. You can interview your suppliers to find out how you could be a better customer to them. By understanding what they are looking for, you can choose to change the relationship.

14. Can we use the Customer Relationship Auditing process internally within our company?

Customer Relationship Auditing is not a staff attitude survey. However, it is helpful when used between units that want to improve interdepartmental dialogue.

15. Are the final report and the individual reports different?

Yes, an individual report contains information about every specific person interviewed. The final report is a summary of all the interviews. The final report allows you to drill down by market segment to the actual individual surveyed.

16. What is the advantage of an individual report?

Most surveys compile results, thus making it very difficult to identify specific, dissatisfied customers. A 95% satisfied customer base sounds great, but what if you lose the 5% that are dissatisfied? What if that small group includes your biggest client? By having an individual report around each and every person interviewed, you can determine exactly who is happy and who is not. You can determine to what degree the customer is happy or unhappy with you and why and come up with appropriate strategies.

17. What is the advantage of a 48-hour turnaround from interview to report?

If a customer is dissatisfied, you need to know immediately. By acting promptly (two days after an interview is prompt for any survey), the customer will be impressed that you are listening and willing to take action. Loyalty is enhanced. And, possibly even more business could result. Also, the things they said in the interview are fresh in their minds. When you visit your customer to discuss their concerns, they will remember what they said and will be impressed with your desire to quickly and accurately remedy the deficiencies.

18. Does the Customer Relationship Auditing process give information about different customer groups?

Yes, it does. We segment the summary information around your existing customer segments (e.g., geographical location, type of product used, and account managers). A profile for each sub-segment is created. By looking at the different profiles one can determine, for example, whether some segments should be merged. The profiles also disclose those who are dissatisfied. Strategic intervention can take place immediately.

19. Why should we use the Customer Relationship Auditing process?

The Customer Relationship Auditing process reveals exactly what a customer wants from you in terms of service and measures how well you are meeting their needs. The process is a face-to-face interview series using skilled and trained professionals. Customers interact with an unbiased interviewer to precisely define their wants and needs from suppliers.

20. What type of company would benefit the most from the Customer Relationship Auditing process?

Any company that deals in the B2B environment and has customers they deal with often. Also, companies that have significant competition, or that have a select, valuable customer base that provides them with the majority of their business.

21. How often should we use the Customer Relationship Auditing process?

This depends on many factors; how much change occurs in your industry, your company and/or your customer base, or in your current client customer satisfaction level. If there are substantial changes then you would need to conduct interviews often to ascertain client perceptions within the changing environment. Most companies use Customer Relationship Auditing at least on an annual basis.

22. What is important about a Customer Satisfaction Index (CSI) and why should we measure it?

As they are often beyond your control, it is very important that your customers are pleased with your service. By using the Customer Relationship Auditing process you can identify your strengths and weaknesses from the customer's perspective. You can rectify problem areas ensuring existing customers remain - while at the same time attracting new customers.

23. What are the dangers of simply having a Customer Satisfaction Index?

Just having one measurement like a CSI means nothing on its own. A CSI without a benchmark or a goal lets management define that benchmark or goal with the associated risks - if the survey results are bad, they will lower the benchmark to make themselves look good.

24. How does Customer Relationship Auditing get around the dangers of only getting a CSI?

The Customer Relationship Auditing process gets around that specific problem by asking customers what their "desired" service level is (that which they would like to have), and then immediately asks what their "adequate" service level is (the lowest level they are willing to put up with before looking for an alternate supplier). We then ask what our client's (their supplier's) performance level is.

25. What are the advantages of a face-to-face versus a telephone or Internet survey?

The interviewers are specially chosen and trained to be able to professionally handle face-to-face interaction and pick up any nuances and subtleties that would be missed in a telephone interview. Phone interviews and Internet-based questionnaires are usually highly structured. This limits what the customer can talk about, which is often risky and results in misleading errors.

26. Will the Customer Relationship Auditing process help me with my sales force?

Yes. You will receive a report for each person interviewed so you can quickly discern client-service trends from many different members of your sales force. Some of your account managers may be good on the relationship side while others may be better at helping clients with problems. In the Customer Relationship Auditing Final Report we can segment the customers around your account managers or business units, depending on your company structure.

27. Our staff morale is bad - should we do a customer satisfaction survey?

Yes, often staff morale will affect customer satisfaction, as they are not willing to go the extra mile. This can be upsetting to your customer. The interviews would identify areas from the customer's perspective that need attention, enabling management to prioritise staff intervention.

28. How would the Customer Relationship Auditing survey affect our company structure?

Often company structures are created to ensure the most efficient workflow and utilization of resources, all intended to keep costs down. This structure could alienate customers if they feel they have to fit into their supplier's structure with no consideration given to their business needs.