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Relationships, Not "Customers"

6:07 PM PDT, August 17, 2008
If you're in business, you no doubt know the value of your customers. But too often, entreprneurs get stuck thinking of customers in terms of a specific sale, not a long-term relationship. This is a common misstep - one you should avoid if you want to maximize your opportunity for revenue over the long haul.
 
Try these relationship-building tactics to increase the value of the people who purchase from you:
  • ask every customer for their email address and permission to contact them with news and offers.
  • ask every customer how their experience with you was and what you could do to make it more valuable.
  • provide incentives for repeat business that include discounts, upgrades and other incentives.
  • be willing to tell a customer not to purchase a product from you in the hope they'll realize you're looking out for their best interest and would be well served by staying loyal to you, ultimately leading to purchases that work and lead to satisfaction. 
In order to create a business with strong revenue generating potential, it's your return and repeat customers who will make you sane and successful. Through them you'll know where the next buck is coming from and be able to project your financial performance into the future.

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Initial post: Aug 19, 2008 6:55 AM PDT
There is an old saying in the automotive field. "The Sales Department makes the first sale, but the Service Department makes every repeat sale thereafter."
I buy quite a lot from internet based companies, and I am starting to see a trend. It seems that e-companies firmly believe that we need them far more than they need us.
Reality check is in the mail and the account is closed. E-companies need to wrap their heads around the FACT that for each of you with that mindset, I can find a hundred that
truly WANT my business and will do what it takes to get it.
If you are in business and you think this comment is too self serving, I'm willing to bet that your sales are on the decline.
Put your system to the test.
Use a friend's e-mail address and purchase one of your own products and check the customer experience for yourself. No cheating. Just do it and see what happens.
You may be very surprised.

Pete
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About this blog

Rich Sloan is co-founder of StartupNation, a leading online business advice and networking website for entrepreneurs. He also hosts the nationally syndicated talk show, StartupNation Radio, airing on over 70 stations across the country. He is co-author of the acclaimed how-to book, StartupNation: America's Leading Entrepreneurial Experts Reveal the Secrets to Building a Blockbuster Business (Doubleday, 2006).



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