It’s important to look for new leads to keep your sales pipeline full. But don’t just chase after new prospects. Your current clients are like gold. They’re already familiar with your company, making them more likely to buy from you again – and spend more – when they purchase promo.
A post on the SuperOffice blog says your existing customers matter more than ever, and selling to them could increase your revenue by 30% this year. In this issue of PromoPro Daily, we highlight the post that explains some of the reasons you should focus more on existing customers in the months ahead.
It’s more profitable. Selling to your current clients not only increases your overall revenue, the post says, but it also boosts your profitability. The customer acquisition cost is almost zero, and you don’t have to invest nearly the time required for a new deal. Your current clients are also more invested in your offering, which reduces churn.
It’s quicker. According to the post, it takes an average of four to six months to close a new B2B business deal. A big part of this is the extended lead time that prospects need for their decision-making process. Selling to existing clients is much faster and easier, and in some cases, can happen in minutes rather than months.
It’s more cost-effective. Finding and onboarding new customers isn’t exactly cheap. Don’t forget about the resources and mental overhead it takes. If you’re selling to existing customers, they already know you and your promo offerings well. This means you can reduce both the financial and opportunity costs compared to onboarding new clients, the post says.
It helps you minimize churn. When you close a deal with a new client, there’s no guarantee they’ll continue to work with you. By upselling or cross-selling (when it adds real value) you can retain your clients longer. According to the post, this is because the more time you spend with your clients, the stronger the relationship becomes. When clients see you’re invested in their success, they’re more likely to stick with you.
It helps turn current clients into advocates. The post points out Deloitte research that shows how new clients who have been referred by existing clients have a 37% higher retention rate. This data underscores the importance of guiding your clients through the entire customer journey to not only expand their account with you but to let others know about your promo company.
It pays to nurture your current clients. Not only are they more likely to buy from you again, they’re also likelier to spend more when they buy promo. Keep your current clients happy by communicating regularly, sharing helpful articles and occasionally surprising them with promo.
Compiled by Audrey Sellers
Source: The SuperOffice blog. SuperOffice is a cloud-based CRM solution.
