Do you know how much it costs to retain an existing client? Whatever the amount is, I guarantee you it’s less than what it costs to acquire a new client. So why do people focus on acquisition and ignore retention?
On one side, marketing acquisition campaigns seem to get all the love and budget from mass media (when it makes sense) all the way down to hyper-targeted outreach. Picture it, you woo prospects with special offers, added value, entertainment, swag, etc. You put your best foot forward, leveraging the brand to help sway the fence sitters. You win the business….huzzah…and then start all over again?
A winning marketing plan has ongoing communications and touch points for both potential clients and current ones. With current clients, you’ve gotten over the “will they/won’t they” decision to work with you. Once in the door, that’s when the real work begins. It’s now all about cultivating the relationship. Unless you are truly the only game in town, you need to continue providing value or your hard-won client may walk, because you know they’re being chased by your competitors.
How do you provide value? One way is to use your database as a force for good. Segment your customers. Provide them with opportunities based on their preferences, shying away from ones you know they won’t want.
Knowledge is power. Share articles and white papers containing important updates related to your client’s industry that may impact their business. All the better if you have authored them yourself.
Show you care. You’re a human being, not a chatbot. Check in with your clients to see how they are. Let them lead the conversation.
When was the last time you received a hand-written thank you that wasn’t from newlyweds? Using your valuable time to show your appreciation without expecting anything in return is so rare these days that when it happens it stops people in their tracks. What was once so common has become precious.
People will always crave the human touch and it’s those genuine interactions that keep people coming back for more. This isn’t a one-size-fits-all situation but elements of the above work across industry, company size, and type of audience. Where would colleges and universities be if they only focused on the incoming first-year class? Does Amazon only want you buying from them once? Doesn’t your manufacturing partner want you to renew your contract year after year?
And one more important aspect to client retention includes consistency. Depending on the size of your company/organization, you may not control all the departments that are involved with client acquisition and retention. Marketing, business development, sales, customer relations, and front-line employees all need to be using the same language. Verbal, written, and unspoken communications (i.e. body language) must be on-brand and all actions in tune with the brand’s personality. When all are working in sync, no matter how you flip the coin, your chance of landing a satisfied customer increases exponentially.
