Common Reasons Companies Lose Customers?

[Holicent]

Demand
Some companies are not able to keep up with the demand that their customers and clients are placing on them.

Mismanagement
It may be a result of apathy from management or a lack of resources to keep up with the pace of change in the market.

Complex Products
It may be because of a complex product that is too difficult for consumers to understand, or perhaps it's due to the company's inability to communicate what their product does and how it benefits the user.
Whatever the reason, some companies are losing their customers, and these companies need to do something about it before their business crumbles.

 

[Bard Racheal]

Most companies has been pulled down as a result of mismanagement.

Before erecting a company, we have to consider those things that can aid to growing that company.

RESPONSIBLE EMPLOYEES:
If those you employ to work with you are not having the growth of your company at heart,it is liable to getting collapse.
If they only work half-hazardly, with the mind of having their monthly payment, it won't be fair at all for you and your customers.

WHO IS YOUR MANAGER?
In a company,there must be a manager, managing it's affairs. You may be the manager and aswell be the director, but if you are not,and you choose to place a manager, you should try to know if the person you're making the manager is fit for that position, and will have your company's interest in mind.

---

Because,not every body you employ have good intentions about your company.

In addition to what I'm saying;let your smile and the smile of your employees drag customers to your company.

If you or your workers tends to carry this straight demeanor everyday,you will be driving those customers away.

Further more;ensure that your employees learn to concentrate on every given task, even when customers are pumping in and they need the friendly attention of those employees:they shouldn't stand in strategic points just to engage in one gossip meeting or the other.

 

[Suba]

As far as I know, there are many common reasons companies lose customers, than what you mentioned are only three points, and I will try to add a brief explanation. Lots of business people try hard to attract new customers but unfortunately they don't pay attention to old customers. also often occurs because as a result of Poor Service/Ignoring customers, Poor Complaint Handling, Competitors Successfully Attracting New Customers

 

[btaliat]

There are many reasons why some companies do lose their customers. Many have been discussed above but the fact is that we can not even exhaust the list. I will like to reiterate on some of the reasons why companies may lose their customers.

Poor customer's relationship is the first on my list. There are some companies that do not take into consideration the feeling of their customers. Most times, customers do give their candid opinions about how they are feeling about a particular product but instead of the companies to take care of the complaint.

Another cogent reason for failure of businesses is the fact that they sell less quality products. When companies start dealing in less quality things. The next thing is for the people to start leaving them. Everybody deserves quality products and some may even go at any length to get it. The more people don't get it, they leave such a company.

People will also leave a company that has management tussle. There are many companies that always have mismanagement issue. Some companies that are into partnership are always fond of this issue. And when customers discover that they are into crises, they do leave them.

 

[sincerem]

Your points are few reasons why companies lose value due to customers decline. When you aren't meeting the demands of customers, maybe, due to lack of quality products or services, or services being too expensive, what do you expect from your customers? decline of course. Customers needs the best, they go for the best at an affordable rate too, when you add your life to a given product, surely your customers will feel disappointed indeed. It is better to operate in a medium way, and offer your customers the best at an affordable price tag, and not increasing your products and services due to greed. Being greed has made many companies, business enterprises to gold up. And again, when a given company or business enterprise aren't making the old customers happy, it will lead to decline of customers for sure. Because the old ones will leave, which will discourage any new customer coming in, because they'll feel very unsafe. That's to say, you should always maintain customers satisfaction, because they're the top priority and not just your profit by the end of the day. If the customers aren't there, surely your business will definitely crumble, which is to say, they're the most important aspect of business.

 

[TOZZIBLINKZ]

It is never the vision of a business owner or a manager of a company to see his business crumble thereby losing its customers and clients . Every business strive harder so as to satisfy the numerous human wants and needs of its clients and customers , but some businesses fail to do this and other than that is fine they want and needs of their clients and customers they lose them possibly to other business competitors and business rivals . The ability for a business to accommodate or accumulate huge amount of customers and clients totally determines the success rate of such business , because a business that does not accommodate and accumulate huge amount of customers and clients is said to be unhealthy and prone to fail and crumble some day .

One of the major reasons why some businesses lose their customers and clients is a result of their poor customer service . Some companies and business organisations are so fond of practicing partiality and so they give their attention to only customers and clients that are rich and wealthy in income neglecting those that are among the low-income earners which is absolutely bad and must be discouraged .

 

[Abigael]

Businesses loose customers because of many reasons. Some of them are;

• Poor communication when serving them. Customers will not tolerate where they are not treated well. They prefer to patronize people who treat them with respect. So all businesses should train their employees on how to handle customers.
• Unfair product prices - if your business products are not affordable to your customers anymore, you will likely loose them. Especially if you are selling to low income customers and you have not adjusted prices to suit them. They will stop patronizing you and go where they can afford goods.
• Low quality products - in locations where customers have a higher income, most of them will check on the quality of your goods rather than the price. So if you end up offering low quality products, you will loose the customers.
• Poor reputation and bad reviews from other customers - the feedback that your previous customers have about your business is very crucial in attracting new customers or making the old ones go away. If you have a good reputation, you will attract new customers because old ones will refer them. But a bad reputation will keep the new ones away and you will even loose the existing ones.

 

[eldavis]

Thrre are two common reasons why most companies or business owners loose their customers, one major reason is poor customer service. When it comes to customer satisfaction, customer service should be at the very top. Most companies have very rude employees who do not know how to sweet talk their customers. Though I completely understand that most customers can be really annoying but as an employee, it is your duty to make sure they are comfortable. Another issue is poor good and services. These days most business owners are simply after the profits hence they buy inferior goods at a cheaper price.

 

[Richee84]

There are so many reasons a company losses their customer and some of those reasons can be discuss below.
Poor customer service, there is need for every company to have a robust and strong customer relationship or customer service. This go a loan way in the success of the company and when a company lack good customer service, the company may tend to loss it customers. Customers relationship is very key to a company success.
Availability of products, the availability of the company products is also a very good reason that can affect the behavior of a customer to the company. When there is always availability of good, customer tend to be more constant in there buying habit with that company since they are very sure they will get the product they want in that company whenever they need it, but when customers discover that their product is not always available to them, they may stop patronizing that company and move to where they can easily get the product.
Quality of the product, the quality of a product matter a lot in retaining customers,. Customers will always want to go to the place they will get good quality for their money and run away from company that sell low quality products.

 

[Jasz]

The loss of customers can be a huge blow to your business. Even if you have a big customer base, losing 10 or 20 percent of your customers can really hurt your sales. It’s important to know the reasons why customers leave so you can implement strategies to keep them around.

Here are the most common reasons why companies lose customers:

Poor Customer Service:

Customers don’t just leave companies because of bad products and bad prices. A lot of times it has to do with the customer service they receive. Many companies lose customers because they don’t put enough effort into making sure their customers are satisfied.

Customers want to feel valued and appreciated by businesses, and many times when they don’t, they go somewhere else where they do feel valued.

Poor Communication:

When you communicate regularly with your customers it shows them that you value them and their business. Not staying in contact with your customers is a huge mistake that many companies make. Customers want to know what new products you have and about any special deals or discounts you may be offering. If you don’t keep your customers up-to-date on what’s going on in your business, you will soon find that they are looking elsewhere.

 

[Chibson]

knowing how to maintain your old customers and attract new customers in is very crucial and important for any business venture because that alone can determine if you will really be successful or not. Like someone have stated, a lot of businesses are only focused on attracting new customers but they are not focused on maintaining their old customers which goes a long way to haunt them in the nearest future.

A business that is mismanaged will definitely lose customers in no time. If you want to venture into a business you must make sure that the kind of people you employ are business-minded and they have proper knowledge and understanding of how to run a business successfully. They must be people who are experienced in business because experience is needed for any business to succeed.

Another main reason businesses lose their customers is when they are selling their products at a higher price than their competitors. If your competitors are selling their products at a lower price then the possibility of you losing your customers is very high because people will no longer buy from you again.

As a businessman, you must try as much as possible to know the amount your competitors and selling their products and from there, balance your own.

 

[Ramolak19]

There are some different reason why company loose their customers. It may be due to incompetent management while customers don't care about the policy and rules of the company when they are expecting feedbacks after customers complaint

Lack of quality control while customers wants best products from the company

Inconvenient delivered is another way where most company lose there customers, where they received their products lately

Inactive on a website or social media because most of the customers are looking for cheapest way to reach out to the company

Finally, when there is bad customer service feedback to the final user of the products. There is possibility of loosing those clients

 

[Mapule]

A company can lose its customers due to lack of of customer care ,such as being rude and having bad attendance to customers.No only lacking customer care but a company can also loss customers by not being loyal.

 

[Augusta]

Some companies first don't realize how powerful the consumers are in or to their businesses so they treat them shabbily and ofcourse this will come with a negative response from the customers which will mean losing them as they would stop patronizing the business.

it sometimes seems that some businesses don't realize how competitive the business terrain has become some don't pay attention to the complains and suggestions of their customers to make amends and improve. When customers wishes are not granted it becomes a loss to the company or business because such customers would move away.

selling inferior products: This is another area by which a business would lose customers, when once some customers realize that you offer them mostly inferior products and sometimes in the price of the original products then your business is about to be dumped and this might just be you ruining your business because you have soiled your reputation and it will you a lot to redeem your image to get back customers.

high price: When you sell your products at a higher price than what is obtained in most stores and the customers gets to know about this, bet believe that you are driving them away from your business.

 

[blessingc]

Forbes columnist Chad Otar said that, “You can have the greatest product in the industry, an effective pricing structure, and a huge budget, but if no one wants what you’re selling, there’s not much you can do to save what is destined to become a sinking ship.”
Build your organization around your clients, know what they want and deliver it to them, don't do what you think they will like but what they ask you to do. Customers are the bedrock of a businesses' existence, if you treat them wrong you lose, they'll still get what they want else where.


When customers bring a job or are in need of a good and your response isn't satisfying or you are slow to answer their call you are indirectly telling them you aren't a business man and you are not serious with your business, give them your time and attention.

An organization is only as good as the people it hires. In order to increase profit margins. your staff should be competent enough to handle customers with care, respect and not with rudeness.

It’s important to study your competitors and continuously refine your organization, finding new ways to improve your products, pricing, and services.

 

[Setho]

There are some people who do not know how to be able to manage customers and even if they are going to experience a big bloom , after sometime the customers are going to start going back to their competitors .

There are some companies who do not take the simplicity of their products very serious . The customer is definitely going to avoid buying your product if they are going to have to read the manual so many times before they are going to understand how to use it or it is going to require that they should purchase additional requirements before they can be able to understand it . It is very important that you should make your products to be as simple as possible .

You should also create effective customer support and you should always create an avenue whereby customers are going to understand that there are complaints are being heard . There are some things like delivery issues or product packaging details that you are always going to be getting all the time which is not entirely your fault but you should try as much as possible to explain to them and be empathetic towards how they feel .

 

[Rachael]

Although, I am not a company owner, but I think one of the common reasons some companies loose out on customers is inadequacy. Well, I would take out my time to expatiate or throw more light on what inadequacy in this context means. AT the onset of a business or company, they make the products or services rendered to their customers very enticing which tallies with their money but after the company might have succeeded in amassing customers, you would notice that the services rendered to clients suddenly reduces the quality coupled with the products, without any reasonable explanation.

Definitely, there is no individual who would want to buy products that does not worth the money of purchase, as such, the customers would tend to look elsewhere. Some companies, when they have made so many clients, they feel so confident that they do not need to put in more effort in terms of creativity or innovative ideas. Remember, there would always be competitors in any business and as such, customers should like something which would be enticing to their eyes and give them some reason to smile, and not just sticking with the norm all the days of their lives.