Court Your Repeat Business-Over The Illusive New Customer

leadership tips, Team Building Tips

Connie Timpson
Connie Timpson is Vice President of Instruction for the Southeast Region. She is based in Jacksonville, Florida, but she also facilitates team building events in Orlando, Tampa, Miami, Ft Lauderdale, Atlanta, and other Southeastern cities.

The illusive new customer is sexy, cagey, manipulative, and down right costly.  Repeat business does not need to be wined and dined, convinced and promised, he already likes you.

The customer to whom you have previously given a star performance knows you are a company of rock stars.  He can trust you to deliver, again and again.  A loyal customer will seek you out, so you are not pressed to stalk the “new possibility.”  They are the built-in cha-ching in business.

In fact, Dr Tim Mazzarol, executive director of Curtin University’s Small Business Unit, says it is three to five times more expensive to get a new customer to buy, than an existing customer.  Mining your database, and treating existing customers like gold will keep more money in the till.

Yes, of course you have to look for new possibilities, but retaining loyal customers is like a savings account.  It continues to accrue interest.  Plus it is far less costly to keep, than find the new client.   If the person delivering the program is not the sales person, working hand-in-hand delivers great results.

 

This is the kind of phone call any sales person likes:  “I just got a call from XXXXX, They want to do another program and said people have been talking about how great you and the workshop was ever since.  LOVE those kind of phone calls!”  For the presenter of the program – the email equaled the sweetest music in the world.

According to Malcolm Bristow, chairman of Bristow & Prentice Advertising, “creating customer loyalty doesn’t always require large corporate dollars.  It can, in fact, be fostered from a single phone call or some other form of communication.  Your goal should be to keep in touch with existing customers so they want to purchase from you again.”   A quick follow-up email, in the spirit of “thanks for trusting us to present another top performance for you” can go a long way towards another contract, another successful event, and recommendations.

 

 

 

Three simple principles to put more money into your bottom line:

  1. Recognize the value of loyal customers – and continue to treat them like gold.
  2. Be the company that always delivers – nothing says commitment like a well crafted, and enthusiastically delivered program.
  3. Look for the new client – but keep costs in perspective.  What is your return on investment?  What are your ad dollars doing for you?  Where can you spend the least and get the most eyeballs?

 

The new client is, well, a first date.  How many of those can go wrong?  The established, relationship may not be as intriguing as the “new girl in town” but you can count on her, trust her, and keep her.

 

Ad dollars are worth their weight in gold “if” they bring in new customers, to add to your success roster.  But when does the investment outweigh the return?  How much should be spent on existing relationships?  Take a close look at your rate of return on investment.

 

A good client is five to seven times more valuable than acquiring “the new girl” who may dump you after one date.  Instead, court the one who is most likely to call you the next time they need a date for your service.

 

If you like this Team Building Tip, Check Out More Below:

  • Add Fun to Your Meetings Leading a good meeting and keeping the schedule moving is difficult enough, but making the entire meeting and event fun and interesting is even more difficult. Whether you are leading a weekly staff meeting, a teleconference, or a big convention, it is important to make the gathering fun. Below are a few quick ...
  • Leadership Quality: CURIOSITY “Curiosity is one of the most permanent and certain characteristics of a vigorous intellect.” –Samuel Johnson Showing genuine curiosity about other people is hands-down the best way to strengthen relationships. It leads us to ask questions and listen to the stories that are shared. It makes us wonder about possibilities and connections. It helps us think ...
  • Five Ways to Add Fun and Energy to Your Meeting or Convention Are you staring another boring convention in the face? Below are five ways to add fun and energy to your meeting or annual convention. Have you been drafted to organize your next team meeting or convention? As the event organizer, you have both a fantastic opportunity and a potential mine field. So, we organized these ...
  • Identifying the System Players On Your Team In the sports world, people often refer to System Players – people that may not be athletic superstars, but that perform well in the context of the team. These players have skills that complement their team members well, and that makes them valuable assets. The best coaches realize the potential of these players, helping them ...
  • How You Can Tell If Your Team Thinks that You Are a Great Leader How can you tell if your team thinks that you are a great leader? Leadership comes in all different shapes and styles. There is no one prescribed method. When it comes to leading a team, it largely comes down to supporting and bringing the best out of the team members. That involves creating the ...