It’s no trade secret that customer retention is a major player in keeping a business growing. However, business is largely about keeping up with (or, preferably, ahead of) the game. The effect of this, is our sights set themselves so far in the future that we forget to see what’s right under our nose. In the case of business, our existing customers are what’s right under our nose.
Sometimes we need a reminder of something’s importance in order to spur us to action, so what are the reasons your existing customers can boost overall sales?
Less acquisition costs. Keeping an existing customer is more cost effective for most businesses because the sales cycle for an existing customer is shorter and easier. You have already put in the initial sales cost, and hard work of gaining their trust.
Cross-selling and up-selling. Your customer has already made a purchasing decision around your services or products. It’s easier to encourage repeat and renewal of purchases when a customer has already experienced the quality of your product or service.
Referrals. Word of mouth has long remained of one the most effective advertising mediums. And who has control over this?- only your existing customers. Essentially, it’s free advertising. Plus, the internet made word of mouth so simple with the advent of “share”, “like”, “forward” and “viral”.
Reinforcing their decision to invest. Your customer has made a choice to invest in your business, and nurturing your relationship with them will only strengthen their conviction. If you ensure your customer feels valued, they are more likely to reinvest.
With an existing customer you’ve already laid the foundations, and the next job is to build on top of this. As with a pyramid, each time you build upon the foundation (by engaging with an existing customer) the next layer is smaller. If each layer represents cost to your business, it is easy to see how it is cost-effective to nurture your existing customers.
Nurturing existing customers, encouraging repeat sales, and boosting overall business sales are the reasons our customers choose our Personalised Newsletter product. It’s a way to regulate your contact with customers, to maintain relationship and ensure that they feel valued. And the best part? You can focus on keeping your business forward-focused because we facilitate the newsletter send-outs for you.