Most of the companies in India have adopted a variety of approaches when it comes to hiring IT services. They hire the services from the lowest bidder to the highest bidder and then reap the benefits. The problem is that the bidder who has the lowest bid should be the one who gets the services.
How does the other side know whether the high bidder will get the services or not? By looking at the amount of services they are offering? The answer is that these methods don’t work, but the solution to this problem is a technology known as customer-directed marketing.
It was first used in the marketing industry to get huge customers. In fact, the idea was originally developed to get the largest possible client list. Since that time, it has evolved to have other uses.
For instance, the first way of getting a client list was by asking them to purchase a monthly package. The client decided that he would get the service for a year at the lowest price possible.
Different methods and tactics for selling
Another way was by taking the client’s word for it and getting the lowest possible reasonable price. However, the customer realized that he was being taken advantage of and no longer wanted to buy anything. Therefore, he gave his money to another vendor.
When the customer realized that his customer’s dollar wasn’t going to be spent in the manner he expected, he informed the other company that he was not happy with the service that they were providing and they were refusing to give him the services that he had ordered. Therefore, the first company was now competing with another company who was offering the same product and service at a better price.
Each company knew that the other company was happy with their decision and didn’t feel any need to change. This led to an unstable business environment where one company got a large percentage of the total business. So, the company began to approach the customers that they still had in order to convince them to get the services from them.
The term customer-driven marketing was coined because the two companies would think of ways to get the clients back to them instead of getting the customers to get back to them. The client then was not truly making a decision to either continue with the service provider or not. The company still took away their services, so the client did not have any true choice.
Increasing IT service sales
Customer-driven marketing can also be used in the IT Services Industry. The services are already purchased and they have an idea about how they will be receiving the services. In this case, all the client has to do is tell the vendor exactly what they want and in a concise manner.
- Now, the technical support services offered by each company are similar. However, the process of going from the customer to the vendor is different for each company.
- Therefore, they must come up with a way to bring the customer-driven marketing concept into the process.
- A person at a U.S. based organization realized that the online U.S. distribution of the company’s products was effective in growing its client base.
- All the companies sold the same products and services but there was something about the method used by each company that led to the growth of the client base.
They decided to start distributing the same items in the U.S. that they did in India, only at a lower price. This lead to a successful increase in sales and an increase in their client base.