Maintaining and Increasing the Customer Base

Customers will do business with firms that are reputable, provide the products or services they demand at a reasonable cost, and are accommodating and user friendly. In the context of the global marketplace , customers can transact business with virtually any firm in the world. In the past, consumers did not have the same opportunities. Businesses were insulated from global competition by geography, currencies, and languages. The same no longer holds true in today s market.

In order to be reputable, a firm must provide quality products or services and they must have a proven performance record. Failures in these areas spread like wildfire in the Internet Age. At the touch of a button, company records can be obtained. The convenience of the global market also has fostered stiffer competition among firms. Customers can now shop for products from a multitude of firms for the most competitive price. The ease of the buying experience also influences the mindset of a customer. In combination, these criteria can make or break a sale. If a firm fails in any aspect, the likelihood of retaining or attracting business from the customer becomes questionable.

Customers must be reassured that their information is important to the business and will be safeguarded as such. For instance, for an online transaction, it is necessary that the firm have security mechanisms to protect the customer s credit card transaction during transmission over the Internet. Security measures such as secure servers and private Internet sessions can facilitate this objective. Once the information has been obtained from the customer, the information must be protected. Customer confidence is the objective.