I recently was able to persuade one of my customers to make a change in their fuel gas. Due to the acetylene problems we have been incurring, I decided to demo an alternative fuel. After some hesitation, they decided to give it a try. Even with their increased work load, their fuel gas usage since the change has decreased. It makes me feel better as a distributor to know that I can help my customers save money and time with simple suggestions. Some might call it a naïve move, because I am selling that customer less gas. I look at it differently. I might not sell that customer more gas volume in the short run, but I believe the suggestion helps to create customer loyalty and in the long run, that’s what counts. That’s what we push, customer service and our relationship with our customers. So, instead of worrying how I can make more money, I find it more beneficial to go outside the box and think, how can I strengthen my relationship with my customers.
All About The Customer
Published: August 17, 2011
It’s good see that you and your company are looking at the big picture, Ryan. I have seen cases where distributors are blind to your long-term and overall ethical thought process.
For example, the wholesale supply company that I worked for in Mexico had distributor clients that were complaining because a product we were selling wasn’t being consumed enough by end users (specifically I’m talking about chromium zirconium style MIG nozzles vs. just plain copper nozzles).
In this case end users would save by using the CrZr nozzles but all our distributor client cared about was maximizing overall sales of nozzles in the short run by boosting volume. This, however, is shortsighted.
You will maximize overall lifetime customer value by establishing trust. In mature markets such as the gases welding industry in the US you must do this in order to differentiate yourself other than just lowering the price (until you have no margin and are out of business).
Interesting to see how different markets (US and Mexico) operate. Your strategy, I think, is the winning one in the US.
Good thinking and good luck