- They’re in charge of the sale.
- They’re free agents, beholden to no one.
- Their definition of 'good service' is highly individualized.
- They’ll leave, rather than complain.
- They don’t give all of their business to anyone.
Because it takes much more savvy to stay in business today than it did even a few years ago, companies need a competitive advantage. Every customer counts. Lost customers mean lost business; their dollars are going somewhere else. The big job is to keep pulling customers closer so they want to do more business with us while still satisfying our existing customers. Here are eight essential tools for growing a business today:
1. No customer knows everything you sell. The worst assumption you can make is to believe that everyone knows everything you sell. They don’t, and that includes your best customers. How many times do people say, 'I’ve been coming here for 15 years, and I didn’t know you carried that.' That’s a wake-up call. It means that those customers are going elsewhere to buy what you sell.
The goal is to get customers to look to you for more of their purchases. This can happen only if they know what you sell. A bank conducted a series of customer focus groups and discovered that customers only know the products that they use. This leaves the bank vulnerable to competitors who are making offers for other products. It’s no different in other businesses. What can be done to remedy this situation?
- Check your company’s sales records. Identify customer purchasing patterns and begin to educate customers on the products or services they aren’t using.
- Develop an information campaign. Along with newsletters, include advertising. Current customers see ads as well as other people.
2. Make it interesting for the customer. An automotive journalist who’d just driven several new Pontiac models wrote, 'Pontiac still builds excitement.' That motto (in marketing it’s called a positioning statement) has served the company well for a number of years. When customers visit a Pontiac dealer, they expect to see exciting products.
All customers expect excitement today. They run away from anything that’s dull. What can you do to add some zest to your business? How about serving popcorn on Saturdays? Bob Curry at Curry Ace Hardware in Quincy, MA, has been doing it for years. By noon the floors are covered with popcorn — and the cash registers are full! Bob discovered that customers come for what he sells, but also to have fun.
What about in-store demonstrations? Or baking cookies on certain days? The aroma would create lots of excitement. Don’t forget about the power of free samples. Have a weekly drawing to create interest and fun for your customers.
These are retailing suggestions, but the concepts apply to other businesses as well, including service companies. The things that pull customers into a retail environment can have the same effect with commercial clients.
If you create a positive experience for them, customers will look forward to doing business with you.
3. Publish a newsletter. Good newsletters require time and effort, and they cost money. But they’re worth the investment because they can touch customers and prospects. Here are some topics you can cover in a newsletter:
- Provide helpful information for your readers. If you want your newsletter to be read, focus on your customers’ interests. What are their problems? What do they want help with? A newsletter should be aimed at the reader.
- Share your knowledge and experience. There are other places where your customers can buy what you sell.
- Answer your customers’ questions. Have a question-and-answer column or a frequently asked questions (FAQ) page. How can you be sure you’re answering questions of concern to customers? Ask your customer service representatives. They’ll tell you the questions that come up day after day. If your FAQ page answers the right questions, customers will know you’re listening.
- Describe the way several products or services work. You can’t demonstrate the actual product, but you can let customers know why they should use them. A few days after they receive the newsletter, they’ll be asking for these particular products.
- Highlight an employee. Tell a little about the person, and include their photo. There’s something interesting about everyone.
- Focus on problem/solution stories. Readers relate to case histories, particularly those that tell how you solved a problem for a customer. This is one of the most effective ways to communicate what you do and how you do it.
Don’t make your newsletter look and read like an advertisement. If it’s self-serving, your customers won’t value the publication. After the first time, they’ll toss it without even seeing what’s on the inside.
4. Let your customers have a good time. Pick one day a week to serve free hot dogs and sodas in the summer. In the winter, you might offer morning coffee and doughnuts. Bring in a clown on a Saturday. Have your people dress up for special days — Halloween, St. Patrick’s Day, and so on.
These are all suggestions for retailers, of course. What can you do if you’re not in retail? Make sure you present an upbeat, positive, interesting picture of your company for customers and prospects. Remember: Dull doesn’t do it for customers today.
5. Build your customer and prospect database. The only customer name many companies know is 'Accounts Payable' or 'Attn: Sally.' Drill down into the organization and find the names and titles of those who should know about you and what you do. Make all of them part of your customer and prospect database. Your customer file should also contain e-mail addresses. However, there’s one caution. While e-mail is essential today, it shouldn’t become a substitute for other types of communication. Demonstrate that you’ve taken the time and effort to create an impressive message.
Assign responsibility for the database to one person in your company. It’s the lifeblood of the business. Without it, you can’t communicate your message.
6. Recognize your top customers. If your business is true to form, about 80% of your sales comes from 20% of your customers. Be sure to send them a personal letter thanking them for their business. Invite them to a special event at the store occasionally, or send them a periodic 'thank-you' discount card for certain items. In other words, give them special attention. You can think of what’s most appropriate for your customers. The main point is simply to do it.
7. Distribute press releases. You don’t need to be a reporter to write a basic press release. Customers like to read about people with whom they do business. Just remember to give this information: who, when, where, why and how. It’s that simple.
What is news? New employees, employee promotions, a new product line, changes to your business, special events, your attendance at seminars, conventions, or meetings. It doesn’t need to be big to be newsworthy. Try doing it a few times, and you’ll get the feel for what you should send to the newspaper and radio station.
8. Use the magic word every chance you get. What is the magic word? It’s 'sure.' When the customer asks, 'Could you get me a ____?' That’s your chance to use 'Sure.' Or when someone says, 'Do you think you could help me with how to fix my ____?' There’s only one answer: 'Sure.' It’s a wonderfully friendly and reassuring word. Train your employees to use it. The next time someone asks whether you have the time, you’ll say, 'Sure. It’s 1:15.' 'Sure' is a feel-good word that customers like to hear.
These are eight suggestions to grow a business. Most require more commitment than money. All of them demand effort and the one quality that’s often missing in business — persistence. It isn’t what you start that makes a difference. It’s the follow-through that makes winners.