Recently, I read Amp It Up by former ServiceNow CEO Frank Slootman, who presents a powerful case for building a customer-first culture over depending solely on a customer success team. Slootman argues that while a dedicated team for customer success can provide important support, a truly impactful approach involves embedding customer-centric behaviors and accountability across every level of the organization. By fostering a culture where each team member is focused on delivering value to customers, organizations can create a more cohesive and enduring commitment to customer satisfaction. This broader, customer-first mentality can drive more significant results, shaping not only how companies operate but also how they retain loyalty in a competitive market.
At EXCELR8, we have the opportunity to partner with organizations is a vast array of industries in a constant state of innovative change. In the competitive world of streaming services for example, companies – and their leaders at every level – must adopt a deeply ingrained, customer-obsessed culture to stand out and cultivate loyalty. This approach requires more than a customer service team; it demands a company-wide commitment to understanding and meeting customer needs, from the user experience to content quality and accessibility. Streaming platforms that prioritize a seamless, viewer-centric experience can foster loyalty in an industry where options are abundant and viewer expectations are high. In fact, Gallup reports that loyal customers are 23% more likely to spend more with a company they trust, underscoring the critical link between trust and customer-centric practices.
Yet, while a customer-focused culture is critical, building a standalone customer success department can sometimes inadvertently lead to siloed accountability. Recent studies reveal that when organizations establish dedicated customer success departments, overall customer-focused behaviors across other teams may decrease, as employees in other roles may rely too heavily on customer success teams to handle all customer-related needs. This can weaken the customer-obsessed culture organizations strive for, as the accountability for customer satisfaction doesn’t permeate the entire organization. In contrast, successful customer-centric companies, such as Netflix, distribute the responsibility for customer satisfaction across all roles, empowering employees at every level to influence the customer experience positively.
Understanding Customer-Centricity
Customer-centricity is more than just a buzzword; it’s a comprehensive business strategy that aligns products, services, and internal culture around the customer’s needs. This concept is championed by a leader we recently connected with, Neil Gruninger, President and CEO of A Parent Media Co. Inc. (APMC), who states, “As a company dedicated to how our services connect with families, we prioritize the customer experience at every touchpoint, striving to understand, anticipate, and meet their expectations.” Gruninger emphasizes that the competitive edge lies in knowing precisely what the customer values—whether accessibility, fair pricing, or user-friendly navigation—and meeting those expectations consistently.
Every brand will have a unique take on customer-centricity, but some key principles tend to apply universally.
1. Deep Customer Understanding
The cornerstone of any customer-centric approach is a profound understanding of the customer’s motivations and preferences. Gruninger highlights APMC’s commitment to data analytics, customer feedback, and market research to gain insight into diverse audiences’ needs. For instance, by analyzing Kidoodle.TV® user data, APMC identifies top content brands that shape its content strategy, while insights from Dude Perfect’s fans allow the platform to tailor experiences that resonate deeply. If you have kids you’ll understand this. This dedication to customer insights ensures that every product decision aligns with the audience’s evolving expectations, helping to cultivate a loyal and engaged user base.
2. Personalized Experiences
Today’s customers demand experiences tailored to their unique preferences. This applies equally to consumer goods and retail as it does to tech and software products. As Gene Cornfield points out in a HBR article, “If the company has done a good job of understanding a customer’s purpose and is making it easy for them to achieve it, customers will experience something like excitement, anticipation, joy, confidence, peace of mind, or satisfaction. If the company is not making it easy for customers to achieve their purpose, they’ll experience something like confusion, frustration, exasperation, or anger.”
3. Building a Customer-Centric Culture
A customer-obsessed culture goes beyond individual teams or departments; it must be woven into the very fabric of the organization. Netflix exemplifies this by empowering employees at every level to make decisions that enhance the customer experience. With a corporate ethos that combines autonomy with accountability, Netflix ensures that its team members, regardless of their role, feel responsible for improving the platform’s content, delivery, and overall service. Netflix’s internal culture, famously documented in its Culture Deck, emphasizes freedom and responsibility. It gives employees the autonomy to make decisions that improve the platform’s content, delivery, and overall service quality. As a result, Netflix has become a leader in personalization and customer satisfaction, continuously adapting to its audience’s evolving preferences.
Driving Growth Through Customer-Centricity
A focus on customer-centricity isn’t just beneficial; it’s essential for growth in the any industry. SurveySparrow reports that even a 1% increase in customer satisfaction can lead to a 5% boost in retention, translating to sustainable revenue growth and lower customer acquisition costs. In an increasingly crowded market, APMC exemplifies how a customer-obsessed approach can set a brand apart. Through user-friendly interfaces, personalized content recommendations, and responsive customer support, APMC has cultivated a loyal audience.
Gruninger highlights the power of this approach through APMC’s recent partnership with the Dallas Stars (my home town hockey team – so I can appreciate this) & Anaheim Ducks, offering free, direct-to-consumer streaming of live games via Victory+. As Gruninger puts it, “Our goal is to expand the Stars’ fan base while celebrating the sport and unlocking potential for similar partnerships across the NHL and beyond.” This fan-first approach underscores APMC’s commitment to building a loyal user base by prioritizing accessibility and fan engagement. Go Stars!
Avoiding Pitfalls in Customer-Centric Strategy
Here’s the thing. Although a dedicated customer success team can be valuable, an over-reliance on such departments can dilute customer-centricity across the organization. In a study by the Harvard Business Review, companies with centralized customer success teams reported a decline in customer-focused behavior in other departments, as employees outside customer success often felt less directly accountable for customer satisfaction. This shift in accountability can hinder an organization’s ability to maintain a truly customer-obsessed culture. Successful companies ensure that all employees, not just those in customer success roles, are actively engaged in creating positive customer outcomes.
In an age of high customer expectations, fostering a customer-centric culture is critical for growth. Companies that focus on understanding their customers, personalizing their experiences, and embedding customer-focused behaviors across all teams can cultivate loyalty, elevate brand reputation, and drive sustainable growth. While streaming platforms like APMC and Netflix demonstrate the power of customer obsession, the real challenge lies in ensuring that every team member—not just those in customer success—is invested in the customer experience. Embracing this holistic approach positions companies to thrive in a competitive landscape, securing long-term success and loyalty by putting the customer at the heart of every decision.