Increasing Revenue Through Customer Retention
Adam Kirk • 7 January 2021
If you’re looking to grow your business, the answer may be as simple as putting a little effort into caring for your existing customers.
We all love to be loved, and your customers are no different.
Many small businesses focus on increasing their bottom line by various sales and marketing efforts, which aren’t bad, but can get pretty costly pretty quick. Gaining new business can cost a small business a lot in time and money.
Imagine putting that time and money into gaining more business through existing customers. Your energy in finding new customers just disappeared. And your marketing budget? It is statistically 5-7 times more expensive to gain new customers than keeping a current one. So let’s take a look at some ways to increase your revenue through customer retention.
The Power of Thank You
I recently read a story of a directory of an organization who personally thanked half of staff for their contribution to the company. What was the result? The following week there was a 50% increase in sales calls from the half who he had thanked.
Wanna get more people talking about your business? Try doing something small to thank new customers. They’ll notice, and be more ready to bring up your business in a positive way to others.
Ideas for saying thank you:
- Offer a discount on their next purchase
- Send a small gift
- Sent a thank you card in the mail
Out of Site - Out of Mind
That’s not only true in personal relationships, but true in business relationships as well. If you don’t keep in touch with customers they will be more easily swayed to a competitor when in need of your services again.
Regular communication can be done through the following ways;
- Regular email updates
- Quarterly touch points
- Interaction on social media
How to Send Gifts
We have a partner in business who went out of their way to serve us recently and to say thank you I sent them a small gift basket. When they received it a few days later I got an email that said, “Wow! Who does that anymore?!” Sad but true; giving gifts has actually become easier than ever, but far to few businesses experience the potential benefits.
At Oostas we use
Send Out Cards to say thank you to our customers. It’s simple, quick and incredibly affordable. We definitely thank new customers right away, but on their 1-year anniversary of being a client we send them brownies in the mail with a thank you card.
That small investment has turned into one of our largest streams of new revenue being referrals from existing clients. Wanna get people talking positively about your business? Just say thank you.
