Here’s what may be the biggest business mistake of all

It is easy to make these mistakes in business.

I know I am guilty at times.

But it doesn’t have to be this way.

Keep these mistakes in mind and then make sure you are not guilty.

Mistake #1.
Chasing new customers before looking after the ones you have.

I remember an old saying.  It came from one of my early mentors named Marty Cohen.

Marty was a major sales trainer in the Financial and Banking Markets.

And I mean big player.

Marty sold sales programs to the major banks in Australia and USA.

His programs were rolled out to the 31,000 staff where I worked.

And I was a specially selected person for Marty to teach me personally how to makes sales and deliver sales training which works.

Marty would to tell me repeatedly…

“Your Best Customers Are Your Competitors Best Prospects !”

Marty would proclaim, “Look after your existing customers first before you go out hunting for more.”

Why?

Because…

Every current customer could buy another product or service from you.

But even if you believe they can’t…

They will know somebody who could.

And this is why it is so important to create marketing and action plans so you know what to say and write each time.

This is how you continue to stay ‘at the front of your customers’ minds’.

If you are not game and brave you should be in front of your customers at least 12 times a year.  Think about this.  It is only once a month.

If you have a little more courage – and you should…

then consider weekly contacts.  Yes 52 contacts a year.

If you are truly adventurous then daily contacts will take you to 365 contacts a year.

And this is why email marketing works so well.

Most businesses could not afford to send out 52 or 365 letters a year.

But they could afford to send out 52-365 emails.

Get it?

Good !

Mistake #2.
Thinking one sale is THE victory rather than the lifetime value of your customers.

Most people can sell something to somebody if they truly desire it.

The secret to top salespeople is they are thinking what other product or service does my customer need?

Never think in terms of individual sales.

Think in terms of how much money you could earn from this customer over the lifetime they know you.

I learned this lesson from Jay Abraham (who will no doubt go down as one the world’s best and influential marketers.)

I completed a two-year home study course with Jay back in the Nineties and attended three of his mastermind-marketing workshops during this time.

This lesson I applied into my tax-return business.

Let me explain how it works.

When you prepare somebody’s tax return it easy to slip into the thought that this is a $50 transaction.

But if you take the approach you wish to prepare their tax for the next 10 years you start to visualise the client as a $500 transaction and you gain a different perspective.

Now let’s take this further.

When you take the approach they have friends and family whom may need tax returns completed then it is easy to slip into the thought the client is a $2,000 transaction.

Get the picture?

And you treat a $2,000 client different than a $50 client.  Correct?

Ok, so you don’t do taxation returns but the principle still applies.

So the strategy here is to fix up Mistake One and then Mistake Two by creating a plan whereby you stay in contact with your ‘one sale’ person as they could lead you to bigger and future sales.

Mistake #3.
Expecting customers to ring you when you wish them to buy.

Many of my current clients deal with one-off sales.  Or a sale which they believe will not be needed again.

What I mean here is everything I have spoken about in Mistakes 1 & 2 applies to them.

Their thoughts were always to produce 10,000 brochures and drop it into a letterbox hoping the phone will ring.

Now this can work to a degree – usually 2% response from a brochure drop on average. (if you are lucky).  And you may need to try this type of marketing.

But what happens 7 days after the drop?

Usually nothing…

As the life-time expectancy of the brochure has evaporated.

But my clients who used only this method of marketing used to look at their phones hoping it would ring for weeks.

Sometimes it did but more often when it did they were into a price war with the prospect.

There are two far easier, quicker more affordable and more successful ways to market than brochures.

  1. The Sales Letter tops the list still – but can you afford to send out 300-1000 letters a day?;
  2. Email – quick, easy, affordable and very, very successful when applied in the correct manner.

So instead of waiting for the phone to ring jump on the offensive and contact your client list.

Be proactive.

Yet in some ways, here’s what may be the biggest business mistake of all.

Mistake #4.
Not asking for Referrals

If you have sold a product or service to a happy customer than there is no better time to ask for referrals.

New customers from referrals have already broken through the ‘Mistrust Barrier’; which exists with new prospects.

The referring party has already spoken about how good you are.

And the best part is…

They have also spoken about your pricing.

They’re nearly always pre-sold. They have few, if any objections. Somebody they trust has given them belief in what you offer.

This means less haggling over price, making them buy quicker.

But how do you go about referrals?

There are two distinct methods.

  1. Ask at the point of sale; or
  2. Create a referral program.

A referral program I created in the tax business went from 19 referrals the first year to 187 the second year without any additional cost to the business.

Once you discover what the customer values… then boom…!

How you make sure you don’t make these mistakes in your business.

Well there are three simple and effective ways.

  1. Do it yourself;
  2. Book into a Sessional Consult with me;
  3. Have me work with you for six months.

Whatever your budget allows any of these three methods may work.

So the first thing you should do is to concentrate on looking after your existing customers before you start spending your marketing dollars on looking for new ones.

But to build your business you also need to get new clients.

Confused…

Why not let me walk you through all of this to help your business grow.

Book into a Sessional Consult now or for a quick chat email me to discuss.

Believe In Yourself

About Kurt

I'm passionate about helping people in small to medium businesses get BIG results from email marketing. Email Marketing is about 1. Your List 2. Your Relationship With Your List and 3. Your Offer. When you get the three in unison, watch your profits soar. If you're not sure what I mean. Contact me. I can and will help. Believe In Yourself - Kurt

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