Have you ever found yourself wondering why we pour so much effort into chasing new leads, while our loyal, existing customers might as well be shouting for attention from the back row?I just shared a new video on the value of retention, and why it should be front and centre in your growth strategy:
April's unexpected downpours in the UAE serve as a perfect metaphor for the hidden potential in nurturing what we already have. Just as the rains promise a bloom of flowers in May, effectively engaging with your existing customers can blossom into increased loyalty and substantial revenue growth.
In fact, it's up to 10 times easier to sell to an existing customer than to win over a new one. And yet, many of us spend a disproportionate amount of resources trying to attract new business. Studies show that focusing on those who already trust your brand could increase your revenue by up to 70%, without the hefty price tag of acquiring new leads.
So, why do we overlook this fertile ground when our existing customer base can yield lush gains? Here are a few stats to consider:
Existing customers are likely to spend 67% more compared to new ones.
The cost of retaining an existing customer is five times less than acquiring a new one.
A modest 5% increase in customer retention can boost your profits by 25% to 95%.
This month, let's shift our focus from seeking new lands to cultivating our existing gardens. I'm not suggesting a complete strategy overhaul, but rather, subtly integrating existing customers into our existing plans. Here are some low-cost, high-impact ways to do just that:
Custom Emailers: Send tailored communications to your existing customer database to keep them engaged and informed. No time to do a custom one? Then at least make sure they’re on your active mailing list!
LinkedIn Connections: Ensure you're personally connected with your customers on LinkedIn, and sharing content that resonates with their needs and interests.
Targeted Google Ads: Use Google Ads to specifically target existing customers, reminding them you exist if they happen to be searching.
Remarketing Ads: Implement remarketing strategies to stay front of mind with your customers, so that when they have a new requirement, they immediately think of you. By adopting a strategy that values those who have already chosen to trust us, we not only foster loyalty but also drive sustainable growth - much like nurturing our gardens in anticipation of May's flowers.
Until next time, here's to your success!
