Your Somerset Area Accountant Digs Into Your Customers' Behavior
April 24, 2012
The Dow turned negative (for the year) for the first time last Friday. The European Monetary Union is rapidly turning into a circular firing squad.
Hopefully, you’ve insulated yourself from the gloom which seems to be setting in to the national conversation. (Even in our Somerset Area accounting business, I have to push my staff to keep their heads out of this stuff!) Right? (I did write about this two weeks ago.) Well, the best way to do so, of course, is to put your business in the “top 1%” of businesses who are pursuing excellent behaviors. And one these things is knowing your CUSTOMER behavior.
In fact, this is one of the key differentiators that I see among my most successful business owner clients and friends. I hate to say it, but it is an almost obsessive attention to the finer points of sales — frequency, cost-per-sale, upsells, etc. Even in “regular” businesses, these factors can make the difference between ugly red — and beautiful black on the P/L statements.
Your Somerset Area Accountant Digs Into Your Customers’ BehaviorI’ve written before about the most important pieces of information you should know about your target prospects, but did you know that this same approach is actually even more important for your own customers? Why?
Well, for the simple reason that they’ve already signaled their interest in your products or services by giving you their business. And, that makes this list the most valuable list you can maintain in your business.
It’s even better, if you’ve got a bead on the following 7 pieces of information…
1. Their Name – Nothing speaks to an individual faster than their first name. Use it to build your relationship with your customer. I’m continually shocked to find out how few business owners have a system in place to capture this information. If you don’t–get on that now!
2. What They’ve Purchased – If you know what your customers purchased in the past, you have a good idea what they will buy again. (And you won’t waste your time promoting products of little to no interest to them, or to others.)
3. How Often They Purchase – Individuals who buy rarely from you may need additional encouragement–more marketing. Whereas, consistent customers may not need extra sales pitches, but might benefit from a newsletter or coupon.
4. How Much They Spend (on average) – Why spend precious time pitching products to customers which they can’t afford? It might embarrass your customer, shows your lack of personal interest, and may cause customers to lose interest.
5. The Last Time They Purchased – Have you lost a customer without even knowing it? Who’s still loyal? Who has strayed (and needs to be brought back)?
6. Each Interaction You’ve Had With Them – Documentation is important for obvious reasons. But being able to “recall” previous conversations will make your customer feel important and appreciated.
7. How They Feel About Your Business – Feedback from your customers is the best way to improve your products/services, meet your customers needs, and attract more customers.
Obviously, just “remembering” this information is well nigh impossible. Which is why you should seriously consider investing in a “CRM” (Customer Relationship Manager) program — and using it. There’s plenty of good ones out there.
Let me know if you’d like a recommendation. And remember — my team and I are here for you, to help in any way we can: 606-678-4372