Profit Advantage Group – “One Minute Coach”
Don’t spend all your hard-earned profits chasing new customers when your best source of additional sales are right under your nose. If it now costs you $100 to find each new customer, it should only cost you $20 to retain an existing one:
» In order to bring your existing customers back to your business more often you must first know who they are
» This is the absolute minimum you should know about your customers – their names, addresses, phone numbers and buying preferences
» If yours is predominantly a cash transaction business, then run a small competition that requires customers to fill out an entry form with this information
» Transpose these details on to your computer database
» Then use the computer generated customer list to drive your future targeted marketing activity
» Concurrently, conduct an audit of how many customers you have, how often they buy from you and how much they spend on average each time they shop
» Once you know these numbers, you can then decide what percentage increase you will target with your next promotion
» Then issue each customer with a Customer Loyalty Card, similar to a “Fly Buys” card, so you can record the frequency and quantity of their purchases and reward them when they achieve your pre-determined target figures
» Always ensure that your point of sale records are linked to your database so that you can keep records of individual buying preferences
» Then when you want to move slow moving or aged stock, you can run promotions that target customers known to you who have purchased similar products from you in the past
» Learn more about their preferences in relation to travel, dining etc
» Then, you can target ad-hoc promotions that reward extra purchases by providing prizes that you know will appeal to them
» Run these promotions to ensure trading is buoyant at times of the year when otherwise it has been traditionally slow
» If your products are seasonal by nature, you can use your database once again to invite selected customers to an exclusive pre-season closed door launch where they will have the pick of the new season’s products, perhaps even at a small discount
» Even at those times when you may not be running any promotions, keep in touch with customers – whether it be in person, by phone or by newsletter. Get known, be seen and move ahead!
» Know that the time to market and promote your business is when things are going well, not when you are already in a slump. You must promote persistently and consistently.
6 King Street Campbelltown NSW 2560, PO Box 69 Macarthur Square NSW 2560.
Phone: (02) 4625 9534 • Fax: (02) 4625 9544 www.profitadvantage.com.au