It is said to cost up to six times as much to generate  a new customer as it does to sell your product or service to an existing customer. That figure should focus our minds and make us totally determined to hold on to our customers.

Unfortunately in Britain we are not renowned for the level of customer service we offer. If you compare our service levels to the US we come out very badly.

Another statistic is that approximately 80% of  businesses change supplier not because they are unhappy with the product they are buying but because their current supplier does not make them feel valued, does not make them feel that their business is important to them. So you can see the economic importance of holding onto your customers and that while the way of doing so may not be not be difficult , it will require both effort and perseverance on your part.

Business is all about focusing on your customers and making sure that you understand their wants and needs.

• Do you:
• Know as much as you can about them?
• Know what they like and dislike both about you and about your industry generally?
• Look to add value to every piece of contact you have with your customers?
• Do you know how much your key customers contribute to your profits and look to thank them for their loyalty?
• Do you contact them regularly and maintain a dialogue with them?
• Have you checked how easy it is to do business with your company recently?
• Do you monitor your competitors to make sure that you’re competitive?
• Is your offering up to date and abreast of all industry developments?
• Train and motivate your people to treat customers properly

If you can answer positively to all these points your customers will be receiving fantastic levels of service from you.

If you know everything you can about your customers, them you can tailor your products to their requirements so making sure that their wants and needs are fulfilled. If you are aware of what they like about your company then you can do more of it and if you know what they don’t like to can take steps of avoid those issues.

Adding value each time you have contact with your customers doesn’t have to mean giving something away or cutting your prices, it could be simply offering advice or demonstrating your understanding of the issues that are important to them.

It is always important to understand the dynamics of your business but special offers to your best customers or even a birthday card on their birthdays will be much appreciated  and should help cement your relationship.

 Regular contact with your customers whether that be a simple courtesy call to check that they are happy with all aspects of your service or the production of a regular customer newsletter will keep your company top of mind.

If it is difficult to do business with you – whether that be late deliveries, an inefficient ordering system or invoice queries, then you’re asking your customers to go elsewhere. If you’re not keeping up with all new developments in your market you may be asking your customers to spend their money or their time unnecessarily or you may stop them from taking advantage of the latest advances in technology.

This final point may be the most important of all.  Your staff are the most important advertisement for your business. Knowledgeable, enthusiastic and polite staff will ensure your business prospers and badly trained, unmotivated staff will guarantee that your business struggles.