How to Keep Customers Forever
Scenario: "Dude, it's all in the pitching. It's how you present yourself. Wear sexy suits. You'll keep them, forever. F-o-r-e-v-e-r. Yay!"
Oh-no-izzle.
To keep customers forever, just do this:
Provide them value.
That's it.
Sweet, simple, and much sexier.
How Most Companies Go Wrong with Customers
Yes, customer retention rocks because it provides a much greater bang for your buck. Yet, when companies from sea-to-shining-sea try to retain their customers, what do they do?- "Let's pitch this product!"
- "Dude, you gotta buy this shizzle!"
- "You cannot live properly without purchasing!"
- "Even your mama wants it!"
How to Provide Johnny Value
Say Johnny runs a potato warehouse. You're selling his company your sweet-mutha-good-gosh tea. Your company's purpose: to make the world freakishly healthy.So, if some incompetent CEO ran your business, what would he/she do?
- Sell tea.
- End transaction.
But since you're the bigger badass who's driven to make the world healthy, what do you do?
- Sell tea.
- Give him yoga/meditation/health books.
- Provide him deliciously healthy recipes.
- Send articles about keeping his employees healthy.
- Look for other ways to provide more value.
How Providing Value Rocks
Give first. Receive second. That's how the human interaction cycle fundamentally works -- and according to famed psychologist Robert Cialdini, makes relationships beneficial. Cialdini calls it the "reciprocity" factor. Unless your mama dropped you on your head when you were a baby: We as freakishly awesome humans want to repay acts of kindness. So, if you're providing amazingly awesome value to their lives, they'll provide amazingly awesome value to yours."It seems time-consuming! So, I just provide value to every single customer?!"
Not quite. Here's what we'd do: Take your top 20% most profitable customers, then focus squarely on them. Now, "profitable" could mean past transactions -- but, we'd rather focus on future profit potential. Now, "profit potential" could mean:- They have a vast network of personal/business connections.
- They're aiming for freakishly gigantic goals.
- They have a filthy big budget.
- They're around people who absolutely, irresistibly love them.
Provide freakishly good-and-juicy value.
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Posted on December 13