Creating and Managing Customer Advocacy: A Comprehensive Guide

Customer advocacy is an essential aspect of modern business strategy. This blog post will walk you through the key concepts, benefits, and steps to effectively create and manage customer advocacy based on the "Creating and Managing Customer Advocacy" workbook.

Understanding Customer Advocacy

Customer advocacy is a powerful force that can propel a brand, unlike any other paid or unpaid media form. It leverages the networking power of one-to-one relationships built on trust. The most important person selling your products or services is often your customer. These advocates are genuinely passionate about your company and products, and they will go out of their way to support and promote you.

Types of Advocates:

1. The Vocal Majority: Actively participates and provides feedback. 2. The Silent Majority - Supports the brand but may not be as vocal.

How to Identify Advocates:

1. Look at recent sales references. 2. Check customer case studies. 3. Consult your support and success teams. 4. Monitor activity in forums or communities. 5. Consider investing in an advocate management platform.

The Benefits of Customer Advocacy

Happy customers who advocate for you can significantly fuel growth by generating warm leads and improving conversion rates. Advocacy can reduce the cost of acquisition and increase the lifetime value of a customer.

Key Benefits:

1. Reduced Time to Close - Advocacy leads can shorten sales cycles. 2. Improved Pipeline Conversion - Higher conversion rates due to trusted referrals. 3. Lower Cost of Acquisition - Advocacy reduces marketing spend.

Statistics:

● 84% of B2B buyers start the purchasing process with a referral. ● 70% of B2B companies report that referrals convert better and close faster.

How to Mobilise Your Advocates

Customer Success Managers play a crucial role in engaging and mobilising advocates. Most advocates are motivated by a desire to see the company succeed rather than by rewards or incentives. Transparency with your needs and goals is key to driving the right actions.

Steps to Mobilise Advocates:

1. Identify the right individuals within organisations. 2. Provide context and support. 3. Avoid pressuring them into specific actions. 4. Foster realistic expectations. 5. Understand customer problems and define customer success. 6. Offer growth opportunities.

Five Ways to Leverage Advocates:

1. Encourage them to share stories. 2. Get them to create and post product reviews. 3. Encourage referrals. 4. Have them answer prospects' questions. 5. Plan field events around customer advocacy.

The Advocacy Canvas

The Advocacy Canvas is a model to understand where your customers sit from an advocacy perspective. There are four levels of advocates:

1. The Content Customer - Satisfied with the product and receives expected benefits. 2. The Assured Customer - Exceeds expectations and is a vocal product supporter. 3. The Backer Customer - Highly speaks of the product and provides strong references. 4. The Promoter Customer - Actively promotes the product publicly and at events.

Assessment and Planning

To effectively manage customer advocacy, it's important to assess and plan your strategies. Begin by placing your top accounts into the appropriate advocacy quadrants. For those not ready for advocacy, prioritise and categorise them based on readiness.

Planning Steps:

1. Decide if you want to move existing advocates between quadrants. 2. Identify target advocates to move onto the canvas. 3. Set SMART goals for moving advocates.

Conclusion

Customer advocacy is a dynamic and impactful strategy for growing your business. By understanding, mobilising, and leveraging your customer advocates, you can unlock significant benefits and drive long-term success. Use the Advocacy Canvas to map out your advocates and create a strategic plan to enhance your advocacy efforts.