Sensitivity of Customer’s Reluctance to Change

Sometimes the biggest resistance to innovation comes from the person who should benefit most from it the customer. Customers can be very conservative. When you come along with an unorthodox new product or service they are often initially unimpressed. Why should the buyer take a risk with your unproven new gismo? He knows that new products often have bugs and he does not want to be the guinea pig on which you experiment. He is familiar with the current method, why should he change?

Who would want to be the first customer for a fax machine or indeed for a telephone? It seems ridiculous now but selling the first few telephones must have been really difficult. And how about laser eye treatment? How would you find the first person to try it when there was a safe alternative in a pair of spectacles?

This is understandable and needs careful handling. Your sales people will doubtless be adept at explaining the benefits of your new products but the customer is right to be sceptical. You need to find ways to reassure him and to mitigate his risk.

At the same time you need early adopters so that you can get some traction in the market, customer feedback and positive references for your innovation. So acknowledge the client’s concerns and put offers in place to allay them. You cannot just use your standard terms and conditions for a radical new product. You have to be innovative in your sales approach too. For example you could:

• Allow them a free trial of the new product
• Continue to provide the old service so that they can go back to it at any time.
• Offer a money back guarantee.
• Provide a special service level that gives them immediate access to your top support experts.
• Agree joint service level agreements.
• Stress the payback and benefits they will receive and even make payment dependent on their being achieved.
• Promise to arrange a positive PR result for them in the trade press if the trial succeeds.

Above all you must choose the right early customers. Some people love new technology and others hate it. Select the best early adopters from among your top clients. Appeal to their sense of pioneering adventure. Stress the prestige that goes with early success for both of you. Make sure that they share in the recognition of a successful launch. If all goes well then ask them for a testimonial. You can help them be seen as an industry leader in trade journal stories and at conferences. You are in it together and it must be a win/win for both parties.

Entrepreneurs and business owners can do to engage customers in the change process, so they feel more like a partner and stakeholder in the changes:

1. Analyze concerns from the customers’ point of view: The buy-in to the change happens in the mind of the other person. While regulatory and legislative changes may seem easy to enforce, most customers aren’t that interested in the reasons why something has to happen a certain way – they just want to have their needs met. Get your customers involved right from the beginning by testing out the changes with them. Walk them through the changes and requirements while discussing benefits.

Most importantly, listen to their concerns. You may not be able to solve all of them, but listening and acknowledging your customers’ concerns will often still move people down the path to accept your changes.

2. Engage your customers in your ecosystem: Quite often, one change within the system will impact other areas of the system. Think of your business as a full ecosystem that is living and breathing. Ask your customers what is their experience at every encounter within this ecosystem.

Also, gather metrics on how, when, where, and why do they use your product. Provide incentives and ask your customers to share their experience online about your new product or service. This helps create a self-sustaining business ecosystem with your customers selling your product for you.

3. Don’t assume connectivity: As technological change increases, those of us in larger urban centres may assume that everyone else has the same level of connectivity. Customers with lower connectivity must be facilitated too.

Be sure to have a technical workaround so consumers who live in an area with lower bandwidth have a great customer experience as well.

4. Build real intelligence: Make sure you are using the right metrics to measure the success of your business. While we might think of sales as a success metric, that alone will not necessarily tell you if your changes are successful. If your customer bought something but never came back, is that a sign of success for your particular business? Tracking continuing customer engagement with your company as well will give you a clearer picture of how successful your change was.

5. Maintain data accuracy: Ask the right questions. Ensure customers have real time access to tracking, shipping information, profile information, and other pieces of information that are relevant to your product or service. Read between the lines of percentages. For example, if 60% of your customers liked the product, but that number only accounts for a small number of people, the data is meaningless.

Also, take both quantitative and qualitative data into account. Anecdotal evidence can be just as strong as hard data and signify trends you should pay attention to.

6. Manage expectations: Be very clear with your customers about what they can expect through every step of their customer journey. Don’t be afraid to make it simple and spell it out for them. People going through all types of changes want to know what the future will hold, what will stay the same, and what will change.

For example, when someone subscribes to your newsletter, tell them what they can expect each month, and express how grateful you are that they are sharing this journey with you. Anticipate and share the challenges. Help the customer predict the future.

7. Develop a strong customer relationship: Remember, buying strategies have changed. Your customers have access to more choices than ever. Develop and maintain a strong relationship with them. Make your customer feel like they are on the same team as you, and not simply a consumer of your products. Tell them what you will be accountable for and what you will provide. Help them create ownership with your product, service, and company.