There are 4 ways to grow a business, which you need to focus on if you want to dramatically improve your marketing results. Here are all 4, along with a brief explanation of each and some ideas on how to benefit form them:
- Win more clients.
- Increase the transaction value of your existing clients.
- Increase the frequency of your client’s purchasing.
- Reduce the number of clients who leave (what we call attrition.)
Your marketing strategy, should include plans for you to grow your business, using all 4 of the above areas.
Grow your business by attracting more clients
The first way to grow your business, is to attract more great clients or customers, (herein called clients.) You do this by offering your marketplace compelling, uniquely valuable reasons to use YOUR services. Remember, people will only be motivated to become your client, if YOU motivate them enough. It’s easier for them to stay where they are, so your messages need to (literally) move them to take action.
It’s not enough to sound just like all the others in your space. It’s not enough to make the same tired promises or offer a similar range of services or products. You need to get creative and give inspiring, compelling reasons for people to buy from you. If you do, they will.
Grow your business by increasing the value of transactions
You should look for ways to increase the value of your clients overall spend with you. This means introducing new services or products for them to purchase, which will deliver outstanding value and enrich their lives, their businesses or both. It’s NOT about just increasing your prices or fees every year.
Find out what issues, problems or challenges your clients are experiencing right now and look for ways to help them, with new services or products. It is far, far easier, and more profitable, for you to sell a 2nd or 3rd service to your existing clients, than for you to successfully win 2 or 3 times as many clients. This is the fastest way to increase your overall profits and revenue.
As well as looking for new services to offer, I also strongly suggest you offer your clients a platinum or diamond version of your current services. People are busy and quality never goes out of style. You may be surprised to discover how highly people value an elite version of your services.
Grow your business by increasing the frequency of your client’s transactions
Check that your clients are buying from you frequently enough, for them to get the very best results. Jay Abraham used to give a great example of this. He would say that if you sold water-coolers and you knew that in order for your client’s staff to be fully hydrated and healthy, they needed 5 glasses of water a day, (but they were only buying the equivalent of 3 glasses a day), you had a professional obligation to help them make the right decision and get all the water they needed. Only increase the frequency of a client’s purchases, when it’s in THEIR interest to do so – Not yours.
Grow your business by retaining more clients for longer
You should seek to reduce the number of clients that stop using your services or buying your products. We call this your attrition rate. The bottom line here is that you will grow your business faster and have a far more robust business, if you retain as many clients as possible.
Client retention is all about listening to your clients and taking heed of what they say. Offer your clients what they want and provide it to them, to the very best of your abilities. Have a process in place, to connect with clients who have not been in touch with you for a while. Deal with client issues quickly and thoroughly. Treat customer service as a marketing component – Because that’s what it is.
Don’t be like those companies, who treat people like royalty during the purchase process, then pass them over to a disinterested “account executive” once they have signed the contract. Also, whenever a client switches from you to a new provider, ask them why. Give them an exit call or send them an exit survey.
Listen to them. Learn from them.
So, those are the 4 ways to grow your business. Make them the cornerstone of your marketing strategy and it will ensure that you are covering all the bases.
Your tips please!
Do you have any tips for your fellow readers, regarding any of the 4 ways to grow a business mentioned here? If you do, please share them!
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