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Focusing on Your Customer
book

Focusing on Your Customer

by Harvard Business School Press
November 2010
Intermediate to advanced
112 pages
1h 21m
English
Harvard Business Review Press
Content preview from Focusing on Your Customer

The “Three Rs” of Customer Loyalty

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Studies show that the longer customers are loyal, the more profitable they become. Why? The answer has to do with what are known as the three Rs of customer loyalty: retention, related sales, and referrals.

Retention

The first R of customer loyalty is retention. An ongoing relationship with a customer creates a steady stream of revenue over time as the customer continues to buy products. The costs associated with marketing decline. In many cases, so do the costs of actually serving the customer, because he or she has become familiar with the company, its product lines, and its procedures.

Various estimates ...

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Publisher Resources

ISBN: 9781422172599