Small Business Lessons From Netflix: Avoid Breaking Up with Your Fans
Posted by Marie on November 15, 2011
Previously…
1. Price Hikes Are Tricky.
2. Easy Business Is Good Business.
3. Avoid breaking up with your fans.
The marketing experts out there will tell you how benficial it is to have fans. They’ll give you all sorts of ways to turn your customers into advocates for your business.
I completely believe in his endeavor and it is one of the most effective things a small business can do to keep running. The experts, however, will rarely mention the flip side of the company-fan relationship: the messy break up.
Netflix managed to build a very loyal membership of fans. These fans touted the service to their friends and family. They stuck by little indie Netflix through the big challenges of Wal-Mart, Amazon, Blockbuster, and more.
When a long-term fan relationship goes south, it is going to act more like a break-up than just a lost business customer.
The anger and passionate outrage expressed by Neflix users seemed to be heightened by a sense of personal betrayal. The response went over and beyond what a regular price increase or policy change should usually incite.
Postage stamps are about to go up again, and just how many of those slips of tiny print do we get from our credit card companies? Yes, people get mad, but we just don’t see the same levels of reaction in those cases.
Loyalty and personal investment make the difference. Customers who are fans can maintain and propel you. An angry ex can affect your operations and reputation for years to come.
