Small retailers need to understand that their stores success is rooted in building long standing customer relationships. They should nurture their best customers by learning and remembering individual preferences and interests, acquiring this information directly from customers through personal interactions. And they should keep in touch with customers by offering mailing list sign-ups for newsletters, pre-sale announcements, coupons and mailings about other upcoming store events. These sign-ups should capture the customer’s email address also.
All to often when I ask a prospective client, “How many names are on your customer list”, I hear – “We don’t have a customer list”.
Small retailers need to grasp the importance of building customer relationships through personal communication and growing their profits through repeat sales. Studies show that repeat customers:
- buy more often,
- spend more than first-time customers,
- cost less to acquire (because they already know your business), and
- even pay a premium price for your product.
And repeat customers refer new customers. Add this up, and a repeat customer yield big profits over time.
If you don’t have a customer list now you need to start one. It is the single best way to build your business or for my clients to exit their business.