All small businesses aspire to grow. But where is the source of that growth? The common answer is “attracting new customers.” But this could come at a massive cost. Competition is stronger than ever. Moreover, marketing is harder now with the proliferation of Internet advertising and social media offering. Virtually all small businesses are online trying to lure in new customers. Alternatively, there is word-of-mouth – if you are prepared to take it slow.
Successful businesses have one thing in common – repeat customers. The first thing you need to do to ensure customers keep coming back is cultivate relationships. Here are tips for how you can gain repeat customers:
1. Identify the worth of your customers
Know how much your customers spend on average with your business and how much your most valuable customer spends with you. Identifying who your most valuable customers are is the first thing you need to do before devising a plan to keep them. On the other hand, identifying your least valuable customers will help you determine why they are not coming back to your business.
Looking at your transaction report will help you easily do a quick analysis.
2. Create a basic, but strong communication strategy
Reach out to your customers regularly. Put a structure around your communication strategy by creating guidelines for your communication. Here are some sample guidelines that you can use:
- Don’t forget to ask your customers for information such as email address and phone number.
- Send notes saying thank you to all your customers.
- Send emails notifying customers of new offers and promos every month.
- Give your most valuable customers hand-written holiday cards.
These are basic tips that are effective enough to sustain your communication plan and gain you repeat customers.
3. Reach your targets using technology
Familiarise yourself with the etiquette to follow when communicating with your customers. Instead of conducting research and creating a strategy from scratch, make use of technology. A number of tools, many of them free, are available to assist you in managing your customer lists, communications calendar, and teaching you on basic etiquette.
4. Re-evaluate your products or services
Is your business offering just a few products or a one or two services? Have you considered increasing your products or services? You can ask your customers what other offerings they would like to see on your “menu.” There may be an opportunity for you to add a new offering that would not require you to invest so much.
5. Deliver excellent service
Probably the most effective means to turn a customer into an advocate is by providing exceptional service. Even if your product or service is one-of-a-kind, there would always be a competing offering in the market. Your level of service is what would distinguish you from your competitors.
Take for example a local coffee shop where the barista remembers exactly how their most valuable customers take their coffee and begin to make it as soon as they enter the store. With so many stores offering similar coffee, this local coffee shop would win loyal customers because of its excellent level of service.
Do you need help in analysing your business transaction reports to determine how much your customers are spending on your business, and identify who your most valuable and least valuable customers are? Talk with your accountant or call PJS Accountants. We offer accounting and other booking services to individuals and companies, big and small. Allow our team to evaluate your financial situation and advise you on the right measures to gain repeat business. Contact PJS Accountants for enquiries.