Do you know the easiest and quickest way to increase your annual profits by between 25 -95%? Read on, but before I let you into the secret, here’s some recent research:
- Firstly, if you improve your client retention by just 5%, your profits can increase by between 25-95%.
- The average business loses 50% of their clients every 5 years!
- The same study found that it costs 6 or 7 times more to gain a new client than to keep an existing one
- Two thirds of clients surveyed separately said they didn’t feel valued by their supplier.
So by now, you’ve probably guessed my secret to increasing your profits. Keep in touch with your clients. Create a system to follow up with them regularly, so they’ll be more likely to buy from you more often, and as an added bonus you won’t have to spend as much on marketing to replace the clients who’ve decided to go elsewhere. Result: a big increase in your profits for a very low investment
Let’s face it, very few clients will wake up in the morning thinking of you and your business. It’s nothing personal; they’ve undoubtedly got many other things to think about, and actually, it’s not their job to follow up with you, it’s yours. Woody Allen once said that 80% of success is just showing up at the right time, so regular contact shows you’re still around and ready to do business. So don’t be overcautious, be persistent with your message and assume your clients are interested in what you have to tell them unless they tell you otherwise.
So here are a few ideas to get you started:
- How about sending an email to all your existing clients thanking them for their business over the years and telling them of your plans to make your relationship even stronger?
- Or you could ask them to tell you what areas of their business they feel could be improved or changed. Have a look at http://www.surveymonkey.com, you can quickly and easily create an online survey which your clients can complete. Great feedback for you, and your clients will know you really care about improving the service you give them
- And this works equally as well for potential and new clients. After all, people just don’t see you as a great business after the first contact. It takes time for them to get to know you and to be confident you’re going to deliver on your promises. By getting in touch regularly with them, giving them information, case studies and examples of how your business has worked successfully with others, you’re building credibility and making them much more likely to consider you over your opposition when they’re ready to buy.
And finally, ask yourself this: How many of the businesses you buy from keep in touch with you on a regular basis? I’ll bet the big nationals you deal with do, but I’d be equally sure that most of your smaller suppliers don’t. So if you really want your business to stand out from the herd, then you know what to do… Keep in touch!