Relationship Selling

Most have a strategy for attracting new customers. But what is your strategy for keeping the customers you already have? Customer retention strategy is rooted in the relationship selling process. It is based on loyalty. Loyalty is developed by knowing your customers needs and how you respond to those needs. To outshine your competition you need to focus on understanding the real needs. There is intrinsic value the customer derives with doing business with their company. 

In the olden days loyalty was taken for granted. Not any more. Today you must demonstrate value and appreciation for your customers. It is so easy for them to fall off the radar; but if they do so will the sales. Time to rethink customer engagement to boost satisfaction and ultimately, retention.

Get to know your customers. Gather information about  your customers with the mindset that you will act on it. Ask what’s important to them. There are several ways to do this: online surveys, a few questions on the phone after the sale. This may seem like common sense but my experience is that common sense isn’t so common anymore.  Follow up immediately after a sale to handle any complaints right away.  A 2-way dialogue will make them feel part of the process and they will feel respected.  

Getting to know your customer is about personal attention and recognition. These are the key ingredients for strengthening retention. Listen to feedback and apply their recommendations to everyone. Make them feel part of a community or tribe as Seth Godin writes about. Keep track of past purchases and preferences; this is valuable information. Have special offers and incentives that are for current customers only.  Communicate these via newsletter, e-newsletter or other forums. Customer retention strategies only work if the customer benefits from them. Give them what they expect and then give them more.

It’s no longer location, location, location. It’s communicate, communicate, communicate. It is important to have a follow up system in place. Incorporate the use of thank you calls, emails, cards in the mail. Stay in touch with your top 20% customers. This means picking up the phone at least quarterly to personally touch base with the top 10 to 25. Remember it is that 20% that makes up 80 percent of your sales. These satisfied customers are the most likley to give you referrals; especially if you give them an incentive for both the new and existing customer. 

Ask them about their customer experience and what would make it better. Then be willing to implement the changes. If their experience hasn’t been good you want to turn it around immediately. You will only find out if they are happy with their purchase if you follow up a few days to a week after the initial purchase. When you are accessible the relationship will only get stronger. 

Applying the relationship selling process is part of your unique selling proposition. This is how you stand out from the crowd. The personal touch is what is missing in today’s online world. This is how you can get your foot in the door for your market. This is how you can compete with the big guns who no longer have time.

Loyalty comes from applying the relationship selling process and customer retention is based on this loyalty. Remember there is intrinsic value the customer derives with doing business with their company.

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