Collaboration for maximizing customer retention and customer lifetime value
The travel, tourism and leisure industry is massive and provides about 10% off the total global economy. This means that for a majority of municipalities around the world, it is a substantial and highly diversified industry. The industry is also fiercely competitive, locally, regionally, nationally, and internationally. Which makes it difficult for local, regional, or national public marketing agencies to develop a marketing strategy to every member’s satisfaction, because of conflicting interests.
We wanted to develop a collaborative program where local, regional, and national governmental agencies could focus 100% on attracting customers to their region. Not having to interfere and mediate between local competitors. And attracting every local company and institution making money on the industry to join up as paying members.
The major challenge we faced was not in developing a collaborative program, we have a joint interest with the agencies trough and trough while we have different goals. It is a perfect match both ways. We have aligned our commercialization 360 model with the governmental agency’s marketing plan. Hence if a local operator wants to enlist our services, they have to join the governmental agency as a paying member. The challenge we faced, were related to environmental compliance. Most governmental agencies are required by law to ensure that their partners, suppliers, and others are in compliance with local and international environmental regulations. Today there are about 450 different regulatory standards that we had to comply with.
The solution for our predicament where to find the most comprehensive legislative,
regulatory out there and implement it into every fiber of the LFCG organization Making us the most environmentally friendly consultant agency around in the process. Today LFCG is 100% compliant with ISO 14001.
Implementing ISO 14001 throughout the entire organization was easy, but it was tedious and demanding. We picked our entire organization apart, activities, and processes alike, then we adjusted each detail making sure they were just as effective as before and now in compliance with ISO 14001.
Realizing that ISO 14001 is a continually evolving regulations, threw us off for a short while. Believing we had to redo the process annually, just to stay on top of the regulative requirements. However, we soon realized that this was a positive factor since it forces us to stay on top and thus in the field’s front.
Today we are enjoying a fruitful relationship with several governmental marketing agencies. Where local businesses are achieving growth with our 360 commercialization models, the destinations/municipalities are generating better revenue and the governmental agencies are attracting more members than before.
Related experience; It’s not for us
There is no downside to such a collaboration. We want you to be successful. We want your region to be successful. We want your members to be successful. And we want you to attract more members to your organization.
The most common rebuttals we encounter;
- We don’t know you.
- How can we trust you?
- Are you sure we have a common interest?
No, you don’t know us and we don’t know you. However, that we can do something about. And we won’t have a business engagement until everyone is comfortable with our relation. We will take our time and develop a relationship built on trust before we engage in any business relations. Yes, we have a common interest, business success on separate cash flows.
If we haven’t reached out to you already, please send us an email or something so we can get in touch. We are confident that when you see our proposal you will find it attractive and a good idea.
Related experience – Common roadblocks
We have developed models compliant with environmental regulations, cultural differences, and national legislations. We can make this work, no matter region or country.
The most common rebuttals we encounter are;
- We have all the partners we need.
- Our needs are different.
- Our region is special.
- We are too diversified.
First of all, everyone believes their needs are different. That is logical, but also a consequence of your expertise. Most visitors will not see you as different and consequently, your needs are like everyone else’s. Your region is special, it has unique traits developed throughout centuries. But marketing and selling it is the same.
We know what we can achieve together, all we ask is for an opportunity to share that information with you. There is a 100% chance that you are on our “list” and that we will reach out to you. However, if you would be so kind as to send us an email, we will reach out to you now and present what we believe (know) we can do together.
Related experience – What you actually can achieve
Together we will help you recruit more paying members. Together we will attract more visitors to your region. Together we will better the customer retention for the region. And together we will better the customer lifetime value on the visitors to the region.
We encounter some common rebuttals here as well;
- We don’t believe this.
- We can do this better on our own.
The thing is that we are not asking you to be believers. We have our business models and processes. All we are asking from you is to let us present it. Then you can make a qualified decision whether or not to collaborate. What you do on your own is not in conflict with our collaboration in any way. So it should not factor in your decision.
We will again implore you to reach out to us so we can present you with our proposal. The worst thing that could happen is that you get to see what many regions are doing and that we can have a nice little chat. There is the possibility that we can collaborate and create some amazing results going forward together.