1. Inside the customer’s mind: A framework for building profitable customer relationships NCDM Summer 2003 Intensive Session – July 28, 2003 Dave Harkins VP, Strategic Services The Jackson Group

5. Everything you do is to get or keep customers. -Jack Welch, paraphrased News Flash!

6. Strong customer relationships begin by looking at your organization from the outside-in. -Dave Harkins

10. Building a framework to deliver Profitable Customer Relationships

18. Step 1: Understanding the Customer

21. Aligning NVEs to Corporate Perspective 5 = Excellent 1 = Poor Alignment Variance: 0 = Excellent 1-2 = Good (Caution Areas) 3+ = Poor (Problem Areas) Retail Operation

22. Aligning NVEs to Corporate Perspective

25. Step 2: Developing the Relationship

28. Defining the Purchase Decision Cycle Customer has a need created by internal or external forces Change brings discontent Need becomes firmly established Customers seek to understand options Compare alternatives Identify preference Value and expectations are set Customer determines which products, services and companies best meet his/her needs, values and expectations Makes purchase Customer forms opinion of product, service, company relative to NVE’s Develops relationship (or not) based on that value Repeats the process Concept Source: Getting Into Your Customers Head, by Kevin Davis Need Learn Buy Value

29. Visible internal trigger examples Need Learn Buy Value Automobile Dealership Automobile ages Increase in repair visits Visits a website to look at models Visit dealerships to test drive Asks about specific available features Requests literature Asks about financing options Begins negotiations to buy/trade Purchases a new automobile Expresses intent to buy if NVEs are met Returns to dealer for service Refers friends/family to dealer Purchases ancillary services/warranty

32. Step 3: “Selling” the Relationship

53. Step 4: Fulfilling the Relationship

55. Customer Interaction Map Computer Store (computer purchase)

59. Key points to remember Develop the Relationship Sell through the Relationship Fulfill the Relationship Understand the Customer

60. Questions? Dave Harkins VP, Strategic Services The Jackson Group 1.800.JACKSON x3374 803.548.4172 (direct line) dharkins@jacksongroup.com | www.jacksongroup.com This presentation will be available for download from our website at: www.jacksongroup.com/presentations