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Customer advocacy

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Key concepts

Product • Pricing • Promotion
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Customer advocacy is a specialized form of customer service in which companies focus on what is best for the customer. It is a change in a company's culture that is supported by customer-focused customer service and marketing techniques.

Customer advocacy business model

A customer advocacy policy encompasses all aspects of customer contact, including products, services, sales and complaints. Some examples of a customer advocacy approach are suggesting a product even if the profit margin is less for the company, setting service call appointments based on the customer's, not the company's preferred hours, or recommending a competitor's product because it better meets the customer's needs.

Role of the customer advocate

Customer advocates are facilitators between customers and the company. They are trained in cross-functional roles and empowered to provide customers with assistance in all areas of the business. The role of the customer advocate is three-fold:

  • To be the main contact for the customer in handling a question or problem and keeping the customer updated with timely and frequent updates as to the progress of resolving the issue.
  • To facilitate a resolution by bringing together the appropriate department heads.
  • To implement a procedure that ensures the problem does not occur again or recommends products or services to better meet customers' needs.

Measuring customer advocacy

Customer advocacy can be integrated into a company’s strategic goals and measured through customer satisfaction, retention, and profitability.

References