There are three ways to grow a business:
- Customers buy more frequently
- Customer pay more
- Customers buy for the first time
Businesses need to work on all three if they are to prosper.
The first way is actually the easiest and often overlooked. Keeping in touch with existing customers promotes a long and healthy business relationship. Existing customers have already taken the long road to becoming a customer. Now they want to be valued, understood and made to feel special.
I know that sometimes customers can be a pain. Can’t we all?! But customers keep us in business. The least we can do is be nice to them. Keeping them informed is sometimes all it takes.
The second way is probably the most difficult. This is because there can be a psychological barrier about money. Some of us hate talking about money. We often assume customers will walk if we increase our prices. Yet, if we believe in the value of our products and services, our customer will too.
The third way to grow our business is costly and hard work. You have probably heard that it costs 10 times as much to get a new customer than to keep an existing customer.
Yet, we all need new customers. Even in the best circumstances customers fall away naturally. They find new suppliers, they re-invent themselves, they no longer need us, and they go out of business…
We need to keep the customer base topped up. It takes time to create a new customer, so we need to keep working at it.
Working at finding new customers and keeping in touch with existing customers is a big part of what marketing is all about.