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SBA Study Determines Why Customers Leave - 1/10/2005 - Real Estate Education Training Schools Conferences

SBA Study Determines Why Customers Leave

When it comes to the question of why businesses lose customers, the perception that members of the sales staff don’t care ranks as the leading factor, according to a study of all types of small businesses by the Small Business Administration (SBA).

 

Nearly 70% of those polled in the SBA study indicated that the perception of a non-caring staffer led customers to leave and buy from other businesses — by far the strongest response of six factors.

Product dissatisfaction ranked second, with 14% of those polled. Price ranked third and was the reason that 9% of customers changed businesses. Recommendations of friends ranked fourth, ahead of moving away and death.

The SBA study reinforces the need to pay attention to your customers. Paying attention is more than courtesy and common sense — it also contributes to keeping customers from leaving and taking their business to your competitors.

 
 

Why Customers Leave

 

Rank of Importance

 Percentage (Customers)

Reasons Why Customers Leave 

68% 

Perception of Non-Caring 

14%

Product Dissatisfaction 

9% 

Price 

5% 

Friends' Recommendation 

3% 

Move 

1% 

Death 
 

'Making the Sale: Getting Great Clients to Choose You' Available at BuilderBooks.com

Read “Making the Sale: Getting Great Clients to Choose You,” available at BuilderBooks.com, for some more tips on developing good systems and procedures to serve your customers. The book includes a CD of forms and documents you can customize for your business. To order it online, click here, or call 800-223-2665 to order.

To read, "Strategies for Keeping Customers," from the SBA's Online Women's Business Center, click here.


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