Monday, July 09, 2007

Firing bad customers

We know about the cost of obtaining good customers, but what about the cost of keeping bad ones? Sometimes the best thing for business is (perish the thought!) firing customers that cost you more than they're worth. Awhile back I heard about how FedEx would send notices to costly customers that they were no longer going to be doing business with them, and (going one step further) pointed them to the nearest UPS store location. So they got rid of people who were drains on their business and dumped them on the competition. Brilliant!

Today I read in ComputerWorld where Sprint is firing customers.

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