April 3, 2009 Leave a comment
A great article by Martha Rogers related to the great opportunity that exists for those who are willing to take measured, calculated risks in the current marketplace. I know of several companies who are seizing the opportunity of a marketplace frozen in uncertainty to grab market share, retrench their infrastructure, and realign processes to thrive in the current market, and explode when things turn around. The key takeaways from the article are below:
RISK Is the New Four-Letter Word – Think customers: The 1to1 Blog
During this period of quiet belt-tightening, some companies and governments are developing agoraphobia – fear of venturing forth – afraid to take any chance at all. While it’s good that we’ve learned some painful lessons from Bernie Madoff and AIG and Ameriquest, we need to watch for signs that some companies will emerge from the Bear Period stronger than their competitors for several key reasons:
They will take this opportunity to build stronger relationships with customers by deliberately understanding and helping their own customers through the downturn.
They will build trust by doing the exact best thing for customers. We’d like to see a cell phone company that sends notices to all their customers telling each one which of the company’s subscription plans would be best for each, and offering to switch them.
They understand that no business has a 100 percent guarantee, but use careful predictive modeling to minimize risk by focusing on customers who are the most valuable now and in the future high actual and potential value customers and meeting each of their needs better and better.
They balance the short-term revenue that provides cash flow with the long-term equity creation that ensures future success for shareholders, customers, and employees – and they build that balance into the metrics and management of the organization.
Ultimately, these are the companies that will proactively save lives rather than retreat behind the safety of preventing death, and will emerge from the current downturn outshining their competitors. I want to invest in them. I want to be their customer.
Read the full article here: RISK Is the New Four-Letter Word