The Case for Customer Partnerships

Customer partnership.

Let`s pull this phrase apart into the individual words:

Customer. This can be a person or organization who pays for your products and services. These external Customers are who most of consider when we think about Customers. But Customers can also be the person or group you deliver work to. These internal Customers exist for all of us (even if we are in sales!). Customers, whether internal or external, are the most important people in your work.

Partnership. A partnership is an informal sharing of resources and results for the mutual benefit of both groups.

And now the full phrase:

A "Customer partnership" is an informal alliance or agreement that brings Customers and suppliers together in a more holistic way.

Many have a goal of satisfying or perhaps even delighting Customers, but the concept of a partnership moves beyond satisfaction, past delight and even beyond loyalty.

A Customer partnership is a situation where both parties feel they are working together towards goals that are greater and broader than in a "traditional" Customer/provider relationship.

Creating Customer partnerships, with external Customers and/or with internal Customers, pays great dividends. Here are 6 of those benefits:

Reduced cost. When you are in a closer relationship with your Customers and you understand their needs, you often find ways to cut costs for both of you. At a minimum, if you have developed a Customer partnership, there is no longer a need to invest "marketing" resources to maintain the Customer.

Greater speed. A partnership allows you to understand each other`s needs better, affords the opportunity to build relationships with the people involved better, and deepens the trust between the groups. All of these lead to greater speed. This speed allows you to meet each other`s needs better, create new solutions and, in many cases, can add to further reducing costs.

Higher quality. Better understanding of the needs of your partners, having deeper relationships and better communication all can lead to better quality of products, services and the processes that support the business relationship.

Personalized or customized service. Once you are working more closely with a Customer and really understand their needs, often you can provide services or processes they would never have even considered asking for! This emanates from the deeper understanding and empathy for the Customer`s business and situation.

Less complex, easier work. In a partnership, often there are situations when the lines "Customer" and "supplier" are blurred or removed - maybe work processes can be further streamlined or tasks are shifted in time and location or any number of possibilities. The change in definition of the relationship can lead to new synergies and opportunities that might otherwise not have been considered.

Greater meaning. As a leader, you want employees that are committed to, and deeply care about, their work. When people feel more connected to and engaged in their work, they will be happier, healthier, and more successful. One of the best ways to create engagement is for people to see the purpose or meaning in their work. Customer partnerships can create that deeper purpose or meaning. When people begin to know their Customers not by a Customer or invoice number or just as "those people in manufacturing", but as people; when they have spent time with them, gotten to know their work, and like them, the definition of work changes. No longer are people simply processing the work or creating the campaign; they are helping Tom or Jill or working with their partner to help get the work done easier or more effectively.

In short, when we deepen relationships, we create greater meaning as a result.

This last item on the list is perhaps the least quantifiable but the most valuable reason for building Customer partnerships.

Whether your Customers are across the hall or halfway around the world, the effort to create partnerships is worth it. In fact, even if you don`t realize benefits from any of the more tangible measures (but you will), the ability of partnerships to help create greater meaning for you and your team is reason enough to consider moving in that direction.

Potential Pointer: Customer satisfaction is a fine goal - but it has limitations. Consider the merits of moving far beyond a satisfied Customer to creating a partnership with them. It will take some effort to create these partnerships, but the benefits far outweigh the efforts required to create them.