Customer relationships in a beta world

January 26, 2006

Random thought in process, would love outside perspective…

I may be late to the game here, but I’ve noticed recently an increase in applications processes for participation in beta programs. For example, to join AdSense for feeds, you have to apply. To join the Tivo ipod/PSP download beta, you have to apply. To become a beta tester for SlingBox, you had to apply (before they launched).

I understand the need to find qualified people to be your beta testers. And there is nothing new about the practice of beta testing: Consumer product companies regular launch products in test markets. Films often open in “limited release”. But the difference is that the restrictions in those cases are not personal – you are not turning down someone who is paying you $12.95 a month, for example.

It seems that with these programs, companies are taking their customer base for granted. It sounds like a great idea to build buzz by having a limited, hard to get into program – the “I wouldn’t want to be a member of a club that wanted me as a member” school of marketing. But, when you say no to a current or future customer, you inevitably, I think, hurt that customer relationship and risk an “if you don’t want me, I don’t want you” backlash. Maybe not a big one to start. But when customers are your biggest asset, it is worth asking if you want any damage at all.

Entry Filed under: Random musings. .


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