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Coulee Courier - eNews for Coulee Bank Customers
Business eNews - Volume #3 - Issue #3
March 2010

Good for the Environment, Good for Business

Cost-effective strategies for greening your business


 In April, many Americans will celebrate the 40th anniversary of Earth Day, a day designed to inspire awareness and appreciation for our environment and teach its citizens how they can live a “greener" existence. Amid the escalating costs of doing business, going green is not only good for the environment, it’s smart business.

Adopting environmentally friendly business practices can provide benefits to the business owner looking to control costs, attract customers and become socially responsible. It can help boost efficiency, productivity, innovation and your business’s bottom line. The good news is that taking the steps toward environmental sustainability is easier than you might think.

To help you get started, consider partnering with an organization committed to helping businesses “
go green.” Climate Leaders, a U.S. Environmental Protection Agency industry-government partnership, works with companies to develop comprehensive climate change strategies. The partner companies commit to reducing their impact on the environment by completing a corporatewide inventory of their greenhouse gas emissions, measuring their baseline, setting reduction goals, and then annually reporting progress to the EPA. There is no cost to join Climate Leaders, and partner companies may receive up to 60 hours of free technical assistance.

In addition to partnering with one or more organizations committed to helping the environment, you can also contact your local utility company to assess your business’s energy usage and inquire about incentives for reducing energy. Southern California Edison, for example, offers energy efficiency programs and incentives geared to help businesses reduce energy consumption. By completing a free online energy survey to assess your business
energy use, you can receive suggestions on ways your business can save energy and reduce energy costs.

Here are a few additional steps you can take toward making your business greener:

Reduce energy costs. Consider turning off your business’s lights and equipment when not in use, using motion sensors or automatic timers for lighting, and adjusting your thermostat settings. Your business may also reduce energy costs by using high-efficiency light bulbs, purchasing energy-efficient products with the ENERGY STAR label, and installing a high-efficiency heating, ventilation and air conditioning (HVAC) system.         

  • Use green products. Seek to eliminate the use of toxic and nonenvironmentally friendly products and replace them with environmentally sustainable products. These may include items such as biodegradable drinking cups or food containers, furniture created from recycled materials, and even earth-friendly hand soap and cleaning products.       
  • Increase virtual communication. Consider reducing paper usage by supporting the increased use of virtual communications such as e-mail for the delivery of reports and documents. Promote the use of mobile computing sources, web meetings and other virtual collaborations to save on travel costs and the impact of greenhouse gas emissions on the environment. Consider utilizing electronic archiving and e-filing systems to help reduce excessive paper trails.       
  • Recycle. Consider instituting a recycling program for general refuse and electronic waste such as old or broken electrical devices. Also, consider purchasing recycled products and supplies for your business. Introducing eco-friendly practices to your business can save money while creating happier customers and a healthier planet.


Customer Loyalty Brings Long-Term Sales

The newest insights into loyalty programs reveal the best ways to engage customers


Great companies don't just win new customers, they bring them back for more. Right now, building relationships with current customers is of the utmost importance, since belt-tightening consumers choose to buy from businesses they know and trust.

What's a loyal customer worth to you in a year? How about two years, or five, or even longer? Loyalty marketing campaigns are the norm for businesses large and small nationwide. Nearly 80 percent of marketers are committed to maintaining or growing their loyalty programs as primary customer retention and relationship building tactics, according to a recent report from the Chief Marketing Officer Council. And loyalty program members constitute the best and most profitable customers.Americans hold 1.8 million loyalty club memberships, and the report shows the average US household is enrolled in more than 14 loyalty and rewards programs. But while they may be enrolled in many programs, Americans are active in fewer than half of them. So to keep your customers coming back to you for additional purchases, it's vital to create a loyalty program they'll actively use and rely on long-term.Follow these tips to build a successful program for your business:

1.     Don't Abandon Service for Savings Alone
Discounts and savings are on the minds of most consumers, yet don't overlook other major customer-pleasing enhancements, such as quick or better service or improved customer handling. New research from Genesys and analysts at Datamonitor/Ovum shows nearly two-thirds of consumers have ended a relationship with a company due to customer service alone, and the majority of them take their business to a competitor. Your best customers want personalized service and support that's accessible instantly--often by phone. This is where your
small business can excel over larger competitors whose customers may feel lost in a maze of automated self-service.

2.     Make Communication a Two-Way Street
With the cost efficiency of e-mail, it's no wonder it's the workhorse for the vast majority of loyalty campaigns. Printed mailings and statements are also used by many marketers to remind customers of benefits and rewards. And corporate websites are becoming increasingly important components in loyalty campaigns. For many types of businesses, it's smart to build interactivity into your
company's site with customer generated content, online customer service, or live chat with a representative. You can also create a site specifically to enhance customer relationships and build loyalty. Just look at the way Starbucks has created a relationship-building environment at MyStarbucksIdea.com, with a reported 180,000 registered users who have played an instrumental role in helping revitalize the company.

3.     Avoid Loyalty Turnoffs
Too much spam and junk e-mail top the list of what consumers don't like about loyalty and rewards program membership. While most member communication is monthly according to the CMO Council report, 20 percent of loyalty marketers interact with members on a daily, weekly or biweekly basis. How often do you communicate with your best customers? Daily or even weekly e-mails may be too frequent for many members, particularly if the offers or other communications are perceived as not relevant to their business or personal needs. Other turnoffs include programs that have too many conditions and restrictions, and rewards that lack real value.

4.     Personalize Contact with Individual Customers
What customers really want are more discounts and savings based on relevant offers or individualized deals, and rewards that are easy to redeem from companies with which they have positive relationships. They want you to learn their buying preferences and offer rewards they truly value. As you expand your customer loyalty program, focus on deeper engagement with customers and personalized contact to build repeat sales. If you and your best customers value the relationship, you'll both be rewarded.



Connect With Your Customers

Keep them happy-or someone else will make sure they are


It's important for any business to be alert to changing customer needs and to be as proactive as possible in anticipating them. It's also imperative for businesses to handle negative situations with alacrity if and when they do arise. Even a single unhappy customer can do real damage to your reputation. Here are a few ways to keep relationships on track and increase customer satisfaction:

Watch for warning signs
If clients ask for a copy of their contract, chances are they are not happy. If they stop communicating or are not engaged, problems could be lurkingDon't let tough times catch you off guard. Some companies establish building relationships with the customer at multiple levels in addition to primary contacts. This strategy helps identify potential issues and address them before they become problems.

Survey says: Be accountable
One tool many companies use to gain insight into customer attitudes is
customer satisfaction surveys. It's laudable to conduct the survey, but it's laughable that many companies don't follow through and implement an action plan to address issues uncovered by the survey. When you create your customer satisfaction survey, it's important to put a consistent system in place to build accountability for follow-up and problem resolution.

Build relationships
Our philosophy for staying ahead of problems is to worry less about the terms of the contracts and more about building relationships. By reaching out to customers throughout your
partnership, you can learn what they want. If you deliver consistently, you'll build a relationship of trust that extends beyond the contract.This can pay dividends in tough times. If you've earned your customers' loyalty, they will be more forgiving of your errors, especially if you bring them to their attention with a plan to course correct.Be responsive
It's easy to be responsive when things are moving according to plan. The challenge, however, is how you respond when things get tough. Your employees have to be empowered to resolve issues and address client concerns. Customers who feel they have your team's full support will work with you--not against you--and will be more receptive to your solutions.

Prove your value
When customers don't properly gauge the value you are providing, they will seek to find an appropriate level of value somewhere else. The only way to ensure that you retain your customers is to prove your value on an ongoing basis and be true to how you differentiate your brand from the competition. My company differentiates itself on superior
customer service, not a low price, which means our business is always at risk, given that customers are tempted to respond to price appeals by our competitors. The only way we can combat that appeal is to prove that our customer service levels are worth every penny.

Four Rules to Remember
Want to ensure that your customers are truly satisfied? Here are four steps to make it happen:

1.     Develop a true partnership. Establish an open dialogue with clients. Engaging in an open dialogue promotes teamwork and collaboration and ensures everyone is working to help accomplish the customer's goals.

2.     Establish a web of influence. Develop multiple relationships throughout your customers' organizations.

3.     Listen and respond. Stop talking and really listen to your customers. When a situation arises, respond quickly and be thorough.

4.     Be accountable. Put a process in place to address issues and ensure accountability for the resolution.We can all agree on the importance of customer service. Yet, even with a great product or service, we can't assume customers are happy. Make it your responsibility to beat their expectations--be proactive instead of reactive. If you don't, another company will, and your customers will become their customers.



Raises or Rebuilding? It's a Tough Call

Some small businesses not yet in a position to reward workers


Business is starting to creep upward at some small companies. And employees who have gone without raises or had their salaries cut over the past two years are hoping that more money coming in will lead to a raise in the near future.

But owners who need to rebuild their businesses may not be able to give those raises. They may need to put the revenue toward equipment purchases they've had to put off. Or they may need to travel to more trade shows to prospect for new customers.

It's not an easy decision, especially in a company whose employees have sacrificed for the good of the company. 

Amos Winbush III, CEO of New York-based CyberSynchs, said of not giving raises, "it's not a decision I take lightly." Not only are the company's 15 employees not getting pay increases, but two went without a salary during the company's first year in 2008, and CyberSynchs, which allows users to copy and store data from devices like cell phones, isn't ready to repay them. Now that the recession is over and money is coming in, the company needs to expand.

Keep Talking
HR professionals say owners need to be sensitive to the fact that employees who have gone without raises are likely to feel some resentment if they see money going toward equipment or a new hire. So before an owner
invests thousands of dollars in, say, a new server, he or she needs to let the staff know that raises won't be forthcoming. And, an owner needs to explain to employees that they stand to ultimately benefit from the purchase.

"If they can tie getting the server to increased productivity or ability to serve customers that will result in a higher level of revenue," employees are likely to accept the boss' decision, said Rick Gibbs, a senior human resources specialist with Administaff, a Houston-based company that provides HR outsourcing.

Likewise, a new employee who can bring in more business will help generate income that can fund those raises.

Gibbs also suggested telling staffers, "we need to get additional business before we loosen up the budget on salaries." In that way, the boss is letting workers know that raises are still a priority, and that as business continues to pick up, they'll be rewarded.

Don Mallo, a vice president at Extensis, a Woodbridge, N.J.-based company that provides HR outsourcing, recommends that owners also explain what other steps the company took before making the wage freeze. For example, what other expenses were cut.

Winbush held such a conversation with his staff, inviting everyone over to his house during the holidays.

"We talked about the growth of the company and where we needed to go and what steps we needed to take," he said. "They didn't take it lightly, but they understood that it was the responsible business thing to do."

Timing is Everything
Owners should try to give employees some lead time before announcing that there won't be any raises. So if you usually give raises in April, "don't do it in the second week in March," Mallo said, explaining that staffers need time, ideally two or three months, to prepare financially for a salary freeze.

And if your company has several locations, hold a conference call so everyone gets the news at once. The last thing you want is to cause hard feelings because some staffers didn't get the news directly from you first.

You may not be able to give staffers more money right now, but there are other benefits that won't cost as much. And maybe they'll cost the company nothing.

Mallo noted that some staffers would rather have time than money. So creating a flex-time policy or allowing them to telecommute on some days is likely to be well received.

He also said that improving benefits like health insurance will also be appreciated. "It's another way of showing concern for the employees," he said.







On October 3, 2008, FDIC deposit insurance temporarily increased from $100,000 to $250,000 per depositor through December 31, 2013. For more information please contact Coulee Bank or visit www.fdic.gov.

Beginning July 1, 2010 Coulee Bank will no longer participate in the FDIC’s Transaction Account Guarantee Program. Thus, after June 30, 2010, funds held in non-interest bearing transaction accounts will no longer be guaranteed in full under the Transaction Account Guarantee Program, but will be insured up to $250,000 under the FDIC’s general deposit insurance rules.

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