Marketing Mistake #4: Not Having a Customer Follow-Up Plan
This is article is from our FREE report "13 Deadly Marketing Mistakes".
Mistake #4: "Most business owners do not have a consistent follow-up plan with their past, current and potential customers"
Let me ask you a question which may seem odd. Are your customers or customers that expressed an interest in your business in the past important to you? No doubt your customers are very important to your business. In fact, without customers it is impossible for any business to survive. They are the life blood of any organization or business.
A typical pattern I see in many business owners is they fail to realize that once they acquire a new customer, or someone has expressed an interest in their company, how important it is to strengthen that relationship. The common way you can strengthen this relationship is by simply following up with them. Following-up is equally important to both new and existing customers (and doing it right) can help you boost your bottom line very quickly.
Follow Up With Prospective Customers
Most of my clients find that it is not easy to close a sale on the very first attempt. In fact, even the statistics in direct mail marketing show that response rates increase dramatically the more direct mail pieces you send to people. More contact means more sales.
Although your customer may not buy into your sales team’s first attempt to close, this does not mean that the prospective client is not interested in buying your product or service. Could it be that they just require more time in order to make the purchasing decision? Could it be that they just require more time or just have some more questions regarding your product or service? In fact, you should contact them after your initial meeting because it will show that you are genuinely interested in serving their interests and satisfying their needs and not just wanting to gain access to their wallet.
During the follow-up process, you can take advantage of the opportunity and explain to your customers in depth how your product or service can prove to be beneficial to them. An effective follow-up strategy provides you with a second opportunity to make the sale.
Follow Up With Existing Customers
It is not uncommon for businesses to neglect follow up with the customers they already have. A colleague of mine told me about a time he was talking to a business owner and asked the simple question: “What marketing are you doing to your past and loyal customers?” The response was enlightening, “What do you mean marketing to my existing customers?” You see, most businesses do not have a system in place to market to their existing clientele.
Acquiring a new customer is definitely more difficult and expensive than retaining existing ones. Think about it. An existing customer has already said (through their actions) that they want and like your product. So when it comes to your current customers, you should definitely treat them as pure gold and put a strong emphasis on marketing to them. In fact, I would recommend you start a VIP program for your long time customers. This will show that you value their consistent business. The hard truth is, if you don’t value your existing customers and do what’s necessary to keep them, your competitors will be only too happy to relieve you of the responsibility.
By following up with your past customers, it only proves to them their business is important to you. Let me ask you another question: Do you like when people take time out of their day to recognize and appreciate you for the things you have done for them? If you are like the average person….the answer to this is “of course you do”. When following up with your customers, make sure they know you want them to be satisfied with the service they receive from you. By doing this, you not only increase your chances of retaining them, but the probability they will refer your business to others also increases as well.
Reasons prospects or customers may not buy from you:
- They may not be ready to make a decision
- They may have more pressing things on their minds
- They may have more questions about your product/service
- Two or three of your competitors are actively trying to sway your customer to purchase from them
By following up repeatedly, you will have a "dramatic advantage" over your competitors, since few of them will follow up more than once. When your prospects are ready to buy, which could be one week from now, or nine months from now, you will have a better chance of getting the sale if you are uppermost in their minds. You can only do that by consistently following up.
Include THIS for a Successful Marketing Campaign
Your business’ Unique Selling Proposition:
It is the one distinct engaging idea that sets you and your company apart from your competition. It makes your business stand above your competition.
To identify your USP, you want to start by building a statement of benefits for your company. The statement of benefits lists of all the strengths that your product or service possesses. Select 3 to 5 of the most significant strengths and build them into a unified USP (Unique Selling Proposition). This should be based on characteristics that inspire prospects to become customers of your business.
It should focus on the operations and quality that your company brings to the table. It can focus on price, location, value, surroundings, the buying experience or even your product knowledge. It just has to be something that makes your company stand out from the others in your market.
The USP is the single, unique benefit your business makes to your potential customers. It is the one thing your competition does not offer.
99% of businesses can’t articulate in just 1 to 2 concise paragraphs the USP of their business. Without a USP, they are just trying, unsuccessfully, to be all things to all customers.
You need to have a sharp, specific USP. It should the unique, seductive selling advantage that are the best suited to deliver to your potential customer.
Depending on your strengths or the biggest marketing voids in your market, your USP could be one of the below:
PRICE:
Depending on the type of service or product you offer, one option could be to offer yours for less. Be careful when going down this path, as you may find that the perception of your brand is diminished with a lowed price. .
PRICE GUARANTEES:
You could offer guarantees on price or two times the level of assurance protection/warranty than your competitors offer.
OFFERS:
You could provide gift certificates/coupons, special bonuses, premiums, or services that other businesses do not offer.
NICHE SERVED:
If you service a specific age group, such as Baby Boomers, then let your prospects know you provide preferential treatment to them.
QUALITY:
You could sell a higher quality service or than your competition. You could charge more for this, and show them you provide a lot more value. (NOTE: This is preferable to competing on price)
CUSTOMER SERVICE or EDUCATION:
You could provide more customer service or education before, during and after the sale than anyone else does at a comparable or lower price.
SELECTION:
You could offer more choices, options or a larger selection than anyone else.
The possibilities are truly endless. Additionally, you can have multiple USPs and market to several groups.
Just decide on your main USP, what it was or what it should be before you start a new marketing campaign. Then you can merge that USP into everything piece of marketing you have created.
Be certain you can fulfill the promise withing your USP. It will not do your business any good to promote a fabulous selection of products if you only have a couple of versions of an item.
Before I go into my recommendations for USPs, I should touch on something that is common in most businesses.
When asked to clearly articulate the USP of their business, most business owners do not have an answer.
It is not a surprise that many businesses lack a strong USP. It is also no surprise that many of those without a USP barely get by. The failure rate is high and their business only grabs a small share of the potential business it could.
Other than the cliche "location, location, location", what is it that they offer to get customers to come to their business? Without a unique feature, appealing promise or special service the business will face an uphill battle.
EXAMPLES:
In case you are finding it difficult to come up with a USP, here are some examples to get your creative juices flowing. Your USP should be written as if you were writing a headline for an advertisment or ariticle. You might have a USP that says:
- “We always have in-stock 25 different styles of jeans in no less than 15 sizes and 5 colors and in price ranges from $25-$175.”
- “We have 3 times the selections that the warehouse stores have"
- "Get help from our live, local customer service representatives 24 hours a day."
You can take the USP and embed it into your marketing campaigns, such as:
“Most local transmission repair companies will only fix domestic and common transmissions. ABC Transmission handles all of these AND every transmission ever made. Plus, we are an authorized service center and installer for all major automotive companies. Why should you accept anything less than the best.”.
Here are some specific examples of USPs that, depending on your offer, you can use.
DISCOUNTED PRICE USP:
“Our competitors on average mark-up is 27%, ours is only 15%.”
SERVICE ORIENTED USP:
“When you buy from other stereos companies in in town, you get a limited warranty. When you buy from our company you get a life-time unlimited warranty with service guaranteed within 4 hours.”
SCARCITY BASED USP (IMPLIED QUALITY):
“We only make 1,700 each year.”
"Only available in Spring of each year"
“900 of are made in Italy, of those only 250 are available in the US. They can only e offered as long as they last.”
The Unique Selling Proposition is they key to your marketing efforts. You must be able to clearly articlulate your USP. Once it is incorporated into those efforts, you will see results begin to manifest themselves in ways that were previously unimaginable.