A leaky bucket never gets filled.  Similarly, you cannot grow and stay in business unless you keep your customers.  Maintaining current customers is cheaper than developing new ones. Keep selling the business you have and grow from the inside out.  A frequent mistake is to underestimate the need to satisfy and retain customers.  Putting too much time and money chasing after new customers often ignores the most likely way to build business by increasing sales to existing clients. A well designed sales and marketing plan creates a balance which designates the appropriate amount of time spent on current customers and new customers. Your sales and marketing plan should consist of networking, current customer contacts as well as new customer contacts. The amount of contacts to be made is determined by the size of your business and number and diversity of your clients.

Knowing your attrition rate, the loss of customers, is the first step in building and maintaining sales.  Set a goal to reduce this rate.  For example, if you lose 15% of your customers each year, reducing the attrition rate to 10% would dramatically impact sales and revenue.

Stopping the leaks in business means better service, and getting closer to profitable customers.  Consider the 20/80 principal; 20 % of your effort generates 80% of your revenue. Use communication to keep your customers informed and involved.  Visit them in person, send letters, write notes, mention them in a newsletter, send a thank you card, etc.  Solicit their input asking, "How are we doing?" and "What needs do you have?"

Once you begin to understand your customers' needs, fulfill as many as possible.  Look for additional products and services.  Find solutions for your customers' problems and desires.  Focus on the customer and communicate with them.  Think about the customer first and your products/services second.

Real profits and consistent, stable revenue comes from strong relationships and meeting the needs of customers.  Build repeat business and increase sales through customer satisfaction and retention. Take your sales and marketing strategy to the next level!

McGuire Coaching LLC is a business coaching and strategic development company. Their coaches work with business owners, management, and employees to overcome challenges and succeed in their business lives and personal lives. Contact McGuire Coaching LLC at 937-383-4000 or www.mcguirecoaching.com

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