I think it’s designed that way because Sales VP’s get bonuses based on new sales, not retention.
So there is an unspoken market force that causes service companies to churn customers. Senior executives want you to leave because the competition is doing the same thing.
All competing companies sales teams benefit from churn as long as all companies work to alienate their customers and make them switch services.
When I ran an isp I had a customer complaint about new sales being cheaper than loyal customers get forwarded to me. I realized my mistake and cut prices across the board so loyal customers paid the same as new promotions. But very large companies are an old boys club. The CEO isn’t going to piss off his VP of sales so the game goes on.
I think it’s designed that way because Sales VP’s get bonuses based on new sales, not retention.
So there is an unspoken market force that causes service companies to churn customers. Senior executives want you to leave because the competition is doing the same thing.
All competing companies sales teams benefit from churn as long as all companies work to alienate their customers and make them switch services.
When I ran an isp I had a customer complaint about new sales being cheaper than loyal customers get forwarded to me. I realized my mistake and cut prices across the board so loyal customers paid the same as new promotions. But very large companies are an old boys club. The CEO isn’t going to piss off his VP of sales so the game goes on.
That makes way too much sense.
The infinite growth mindset is the root of all evil