Some businesses market all the time. Their steadfast pursuit is new business.
Marketing continually to ferret out new business is a highly important strategy. No one can dispute the value of this approach. Because it is so targeted, direct marketing is the most effective means to reach new clients who are most like your present clients.
However, as aggressive as many of these businesses are, they sometimes neglect to market as vigorously to their current clients.
Clients have value today. They have potentially greater value in the future — over the long haul. This “long haul” is called the lifetime value of a client.
It is easy to calculate the lifetime value of a client — and wise to do so. When you do, you see your clients in an entirely new light.
You begin your calculation by determining how much your clients provide today in terms of their individual contribution to overhead and profit. Then you ponder how long you can hold on to them — two years, five years, 10 years, or more.
If you believe you can retain them for 10 years, the long-term value of your clients is roughly 10 times what they are worth now. So it is very easy to build a case for nurturing your clients — particularly the good ones.
The best way to nurture your present clients is through ongoing, one-on-one marketing, and the reason is simple. There is no easier, more professional, personal, or cost-effective way for you to maintain constant client contact!
It pays to orchestrate a program to keep your name, opportunities, and concerns before your clients. The program can range from the simple to the extravagant. The key is to make ongoing client contact one of the most important areas of your marketing. Create a program and keep it in place.
