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New customer relationship strength measure to help companies allocate scarce resources to drive revenue


Johannesburg, 20 Oct 2020
Read time 2min 10sec
Dr Sonja Fourie, founder and CEO of Customer Science Lab.
Dr Sonja Fourie, founder and CEO of Customer Science Lab.

When COVID-19 restrictions were enforced, many companies found themselves either unable to communicate with their customers on services cancelled or alternatives available to them. This is the result of using traditional supply-driven strategies pushing products and services that result in short-term benefits, rather than utilising demand-driven strategies where customer needs are understood.


The current environment has forced many companies to focus on what they perceive as cost drivers – marketing and specifically loyalty programmes – without considering the important role these perform as drivers of revenue for the organisation. Often this is because the company does not have access to the metrics it needs to critically evaluate their customer strategies and decision-making is compromised.

In order to address this problem, Customer Science Lab has developed a new, unique and critical metric, the Customer Relationship Strength Score (CRS-SCORE), which enables companies to measure customer relationship strength, and then use that measure to determine the effect of various strategies on customer asset value, where the focus is on driving sustainable future revenue for the company as well as value to the customer.

“Marketing spend and specifically loyalty programme design should develop, strengthen and deepen customer relationships,” says Dr Sonja Fourie, CEO and Founder of Customer Science Lab. “Having a score to measure the effectiveness of customer relationship strategies enables companies to be more strategic in the allocation of their scarce resources and make informed decisions on revenue drivers for the business. This is a fundamental differentiating capability in the new digital economy,” adds Dr Fourie.

The tool has already been used in South Africa’s food and clothing retailer industry to calculate its CRS-SCORE. The measure has provided an independent view of the average strength of relationships with customers for the industry. Whereas in this case, it has been conducted for the industry as a whole, the score can also be calculated per consumer and per retailer. It can be used to identify major accelerators and detractors in the consumer relationship building process as well as for benchmarking against the industry. As the nature of customer relationships differs between industries, this research will be extended to other industries such as the financial services sector, telecommunications, the health industry and others.

For more information about these metrics and associated lead-indicators, please visit www.customersciencelab.com.

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