Friday, November 21, 2008
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succession
strategy & growth
  Retention vs. Growth

The odyssey of seeking new business is always an adventure and many of us travel far and wide to find new customers. In so doing, we frequently miss opportunities closer to home in terms of both selling deeper into existing customers and in making our best customers advocates for our brand. And while marketers often cite numbers that suggest it can cost 5-10 times as much to acquire a new customer as it does to retain a current one, that's just scratching the surface. Retention is not the same as growth.

Ask yourself the following: "Who are my top tier customers? What am I doing (besides providing my regular products and services) to cultivate customer delight? What else might they purchase from my company and how can I get them to consider this possibility? If these folks are my best customers, how can I go an extra mile to turn them into active advocates for my brand?" If you haven't asked each of these questions before, perhaps it's time.


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