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Secret 6: Maximise the Value of Every Single Customer

Home » Secret 6: Maximise the Value of Every Single Customer

No doubt you’ve heard the saying:

“It costs 5 times more to get a new customer than it does to keep an existing one.”

So why is it that the majority of businesses forget about a client as soon as they have bought
something from them.
Let me give you an example:
How many times have you received a thank you card from a company after you purchased
from them? Let’s say you have your carpets cleaned, house sprayed for pests, a haircut, etc. How many times do you receive a call to make sure you enjoyed your service, and it was up to your satisfaction? How many times have you received a call to book you back in? Have you ever bought a mobile phone? Did you receive a call, or a recommendation at any time to buy an extra battery, headset, or any other accessories? My guess is no? How much are these companies losing by not doing this?

Am I getting my message across here? Good, because this is one issue I am extremely passionate about. I have seen a customer service system with nothing more than a gift and a thank you letter spike a 78% increase in word of mouth inquiries. I have worked with million dollar businesses where 1/3 of their business came from a team of 5 telemarketers that called their existing clients each night to book them in for a service. Your existing customers are the easiest way to generate new business. Look after them and they’ll tell all your friends about you.

And besides that … your customers pay you. If you cared enough that they actually paid you for your services, and actually gave you the money to put food on the table for your family, don’t you think that’s worth sending them a token of appreciation.

You just have to make sure your customers remember you.
So how do you do this?

1. Give Awesome Service:

Go the extra mile. Make sure you give your customers magic moments. That little something extra. Give them a packet of chocolates to say thanks. Send them a card. Call them to see how they found your service. Call them just to see how they are going. Develop a bond with your customers.

2. Use Fridge Magnets:

Depending on what business you are in, for as little as 35 cents you can pass fridge magnets out to your existing clients. Now if they keep that magnet it will be seen every time they go to the fridge, which is approximately 20 times a day in the average household. That’s 7,300 times a year. Much better than business cards! One good supplier of fridge magnets is Mister Magnets. They can be found at http://www.mistermagnets.com.au.

3. Send Out Regular Newsletters:

After 90 days your customers soon forget about you. What? You mean I spend $20,000 in advertising every year to make my phone ring, and then I do a good job for them and they forget about me. Yes … In the majority of cases, that’s right! But what happens if you keep in touch with them with useful information that is valuable to them. Educate them about your product and service. WARNING: Don’t make your newsletters a blatant sales pitch, as this will more than likely turn them off, than encourage them to buy from you.

4. Maximise the Value of a Sale when customers do call up:

For example, what would happen if you owned a chemist and you mentioned to everybody that they could buy a medicine cup for only $1. Or what if a mechanic actually spent a few extra minutes looking at what else was wrong with your car, and told you? What would that do to your sales? What would happen if you sold something over the phone and you finished with something like this:

John, Thanks for your order, because you ordered 250 business cards, you qualify for 250 fridge magnets, that are available for today only at a 50% discount. That means rather than invest the normal $150, you can get them for only $75. Can I add that to your order?

Now let’s say you received 100 orders a day and you converted 30% into additional sales. That works out to 30 sales a day or $2250 in additional sales – at 0 marketing cost. Not a bad return on investment!

The examples are endless. What about if at a paint shop you had a checklist for all the different things one needed to paint their home. Do you think you’d gain additional sales. Of course you would!

5) Set up a VIP Customers List:

Ever heard of the 80 / 20 rule. Well, it basically states that 20% of your customers will supply you with 80% of your business, and 80% will supply you with 20%. No … All customers were not created equal! So with this in mind how can you take this knowledge and bank it? Firstly, you have to keep track of your business, and measure everything – or you can’t!

If you’ve got a database, this is what you need to do:

a) Make a list of all your customers, and work out the total turnover those customers have generated for you over the last 12 months.
b) Work out what 80% of the total turnover figure is.
c) Segment your database from those who have spent the most, to those who have spent the least.
d) Add the figures of all your customers until you reach the 80% figure.
e) The top customers who make up 80% of the turnover of your business are the ones you take special care of.
f) Hold exclusive evenings for them, invite them out for lunch, and buy them a hamper. Get an account manager to look after these customers alone. Basically, make these customers feel special, and give better service to them than any other company possibly could. After all, they are the lifeblood of your business!


© Copywriting That SELLS 2005 – sbywater@copywritingthatsells.com.au


Scott Bywater is a professional direct response copywriter and the author of Cash-Flow Advertising. To get access to his highly prized complimentary copy of his special report ‘7 Ways To Boost Your Turnover… No Matter What The Economy’ (valued at $29.95) and a free subscription to his “Copywriting Selling Secrets” newsletter where you’ll discover how to write ads and sales letters to get people lining up and almost begging you to take their money, jump onto his web site at http://www.copywritingthatsells.com.au