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How to get rid of problem customers: Was Sprint justified?

Michael Lowenstein EXPERT RESPONSE FROM: Michael Lowenstein

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QUESTION POSED ON: 09 August 2007
What's your take on Sprint's decision to get rid of some of its "problem" customers? If we are trying to build customer loyalty, how can we justify getting rid of paying customers?

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EXPERT RESPONSE
Actually, given the number of customers who are, one way or another, BZs (Below Zero financial contribution) I'm very much in favor of dropping or getting rid of bad customers. This is an effective way of handling problem customers -- those who undermine, and/or endlessly disrupt, the ability of the organization to serve good customers.

With that said, Sprint could definitely have handled this firing of customers in a far more sensitive, less visible manner.


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