by Kathy Bryan, Georgia SBDC Cut your marketing budget in half and increase your revenue by 20% or more! Sounds like another promise too good to be true. Jay Conrad Levinson, theGuerrilla Marketing expert, says it's not only possible, but something anysavvy marketer should know. How? KEEP YOUR EXISTING CUSTOMERS! According to Levinson, the statistics are conclusive. It takes six timesas many marketing dollars to find new customers as it does to keep existingcustomers. Establishing lasting relationships with customers can increasesales by 20% to 300%. Yet, most companies don't have a strategy to retain customers. Some ideas?  Know the best customers
On average, 80% of revenues come from 20% of acompany's customers. They perceptive marketer knows his best customers.Develop profiles by size, number of employees, industry, geographiclocation, amount of purchases, frequency of purchases and use of theproducts and services.
Build a true relationship
Learn customers' names. Know business andpersonal likes and dislikes. Use contact management software like ACT! orGoldmine to track customer preferences. Customize service and delivery tomeet specific needs. Say "thank you" every time a customer buys
Show appreciation to customersin ways and at times that will noticed. Make a special phone call just tosay thank you. Write a handwritten note. Send a card on the anniversaryof doing business. Thank customers for their contribution to the successof the company. Follow up after each sale
Call within 48 hours after the sale. Verifythe product or service was received as specified. Ask for feedback andcorrect any problems immediately. Ask customers what they want
Ask customers for feedback with formal andinformal surveys. Form an advisory board of the company's best customers.Ask what is done right and what is done wrong. Ask what other services andproducts the customers need. Keep in touch
The savvy marketer keeps his company name in front ofcustomers at least six times a year. Use a variety of methods -newsletters, post cards, faxes, e-mails, phone calls, and personal visits.Remind customers when it is time to reorder and inform customers about newproducts or services. Make referrals to customers
Satisfied customers are the best form ofreferrals. The savvy marketer encourages this process by referring othersto his customers whenever appropriate. The results are conclusive. The company that aggressively builds andexpands relationships with it's customers benefits in several ways. Repeatsales increase as does referrals from satisfied customers. The company hasthe marketing intelligence to introduce or modify products to meet themarket's needs. To obtain assistance putting together a marketing plan for both existingand new customers contact a consultant at a Small Business DevelopmentCenter. > Next week: Relationship Marketing - Add the Personal Touch
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