Like most business owners, you probably are looking for new customers. Adding to the customer database can take up the lion’s share of your ad budget, promotional brainpower, and time. Here’s a secret: facts prove that sales can be increased by 50 percent without winning over even one new prospect. All you have to do is sell more to your existing customers.
To truly appreciate the customers you already have, mull over these important statistics:
• Repeat customers spend 33 percent more than new customers.
• Referrals among repeat customers are 107 percent greater than among non-customer referrals.
• It costs six times more to sell something to a prospect than to sell that same thing to a customer.
As you can see, you can make more sales and more money by being good to the customers you already have than by enticing additional customers into your shop. Focus your efforts on selling more to the top 20 percent of your customers and you can double your profit. Seriously.
Building relationships with current customers means showing them you care about them and that they’re important. Don’t make the mistake of thinking that your present customers will continue to trade with you without you having to make an effort to maintain and grow your relationship with them. They chose your shop at one time because they liked you, your products and services, or because people they know recommended your shop. However, they can be lured away.
How many inactive customers occupy your database and why did they leave? Studies show that 68 percent of the time customers quit trading with a business because they felt a sense of indifference from the shop owner and/or staff. Customers can easily detect indifference and insincerity and those feelings are the most important reasons for lost customers.
Therefore, your primary objective should be to please your existing customers. Put your marketing energy into satisfying them and you will be virtually guaranteed happy returns.
All The Best,