Getting Everything You Can Out of All You Got is a great book by all standards.
This book by Billionaire Executive Coach and Marketer Jay Abraham shares unique insights on customer relationships (he advices readers to call them “Clients” instead of customers) and how the client is ultimate the driver of business.
A key lesson from the book has truly stuck with me
“it can cost a fortune to acquire a new client – but it costs almost nothing to gain back an old client”
in other words
Client Acquisition can cost a fortune but client retention costs almost nothing.
From a marketing and sales standpoint, I totally agree with this statement.
Research conducted by Frederick Reichheld of Bain & Company (the inventor of the net promoter score) shows increasing customer retention rates by 5% increases profits by 25% to 95%.
The decision to get back past clients (also known as prodigal clients) is a smart one. This is due to the numerous positive benefits. On one hand the prodigal client is returning with additional revenue.
On the other hand, prodigal clients contribute constructive feedback that can be used for improving the business processes.
According to Jay Abraham
Clients leave your business because of three key reasons.
- Something totally unrelated to you happened in their life or business that caused them to temporarily stop dealing with you. They intended to come back, but they’ve just never gotten around to taking action and started doing business with you again
- They had a problem or unsatisfying last purchase experience with you that they probably didn’t even tell you about. So, they turned off to you or your company
- Their situation has changed to the point they no longer can benefit from whatever product or service you sell
Jay Abraham states that, over one-half of the client attrition he sees is as result of loyal, satisfied clients who only intended to temporarily stop doing business but never quite got around to starting back up again.
Rarely do businesses intentionally offend, dissatisfy or fail to acknowledge that client
Per Abraham’s observations, these 3 reasons are legitimate, non-threatening explanations as to why people will stop doing business with you. It is only in extreme cases that clients leave a business because they were deeply unsatisfied as Jay Abraham suggest and if they’re unsatisfied they give the necessary signals to show their dissatisfaction.
Using myself as a case study, there are number of businesses that I continue to patronize that has terrible client service yet I still patronize them.
“My wife and I used to go to a nutritionist every two weeks, and we loved it. Butonce relatives came to visit for three weeks, we stopped going and never went back.
I’d like to go to the nutritionist again, but on my own, I don’t. Why? If I had toexplain it, I’d say because I don’t value the service enough to take action on my own.
Yet, if that nutritionist contacted me, if they came over or called me up or even wrote me a nice little note, I’m certain I’d start back up in a second.”-Jay Abraham
The scenario shared above is heartwarming and throws a challenge to us as business owners to do better in reaching out. We can use the principles of effective content marketing and copy to win back past clients?
Content marketing typically involves the creation of content that a customer in the brand’s target group or demographic will find helpful, useful, or interesting-Hubspot
This statement about Content Marketing highlights three important insights that reflects our quest to win back prodigal clients.
We need to be helpful, useful and interesting to our clients. We achieve this by providing value to them although they’re not currently purchasing our products. By consistently being useful and helpful to our clients, we greatly increase the possibility of their return and increase their Client Lifetime Value (CLV)
Content Marketing is clearly useful for client retention, the next logical step is what type of content and distribution channel must be used to achieve our goals.
5 years ago, I was interested in spread sheets and making sense of data with Microsoft Excel. I signed up for a free introductory online course on Data Modelling and Presentation. I thoroughly enjoyed the course but I didn’t take any additional steps to sign up for the paid course because life got in the way.
What I’ve noticed over the past few years is once every three months the course creator sends me a short email.
NON-CONTENT MARKETING APPROACH
We haven’t seen you in a while
We’ll be happy for you to visit and browse our latest courses
Click to view
Although he made an attempt, I never recall clicking to view and taking action
CONTENT MARKETING APPROACH
We observed that you haven’t visited our Online Program in 2 years.
We understand, people get busy and life gets in the way. That is why we want to make the courses simple and easy for you to learn on the go.
The last time you visited you took a free introductory course on Data Modelling. We have an updated advanced model with new case studies and materials.
The two-minute video below explains the latest additions to the courses and the benefits.
(Insert Teaser for the video)
We have a free 5-day newsletter on the latest in Data Modelling for you to stay updated
Click this link (goes to landing page) to confirm your participation
Type “DATMOD16” to receive a 15% discount on the program.
This email as a content marketing tool embodies best practices.
It is useful: Gives me insights on the course
Its helpful: A 5-day free email course
Its Interesting: Getting to know what’s the latest in financial modelling.
This “ideal” real-life example depicts the stark contrast between customer retention initiatives with or without a content marketing approach. One being bland and un-inspiring the other being thoughtful and helpful.
Getting old clients back is like wooing an old lover back, you know their motivations, what got them to purchase in the past and what will get them coming back again and that needs to be carefully considered.
Content Marketing that is good for client retention has to focus on the key motivation that got the client to patronize the first time, which on most counts is the driven by a variation of the Unique Selling Proposition (USP).
There are various forms of content that can be created to re-engage the prodigal client. What is imperative is finding the right content (video, blog post, social media update, white paper etc) and situating it within the right context to benefit the client.
Content Distribution Channels for Client Retention
Email, Social Media, Websites, Podcast and YouTube channels are all effective form of content distribution based on the goal of the content marketing initiative. For purpose of re-engaging old clients, a few channels stand tall above others.
This is because re-engagement should come across as personal and well thought through.
Channels such as email presents a targeted and personalized segmentations that will not make the prodigal client feel they’re part of a prospect-wide recapture swoop attempt.
Email as a form of content distribution seems the most personalized and the most useful in this situation.
Email campaigns have an effective measurement system, (open rate, click through rate) and can be more targeted to the user. Unlike a social media campaign where metrics rely more on awareness and open lead generation.
Email marketing is also cost effective
Beyond email and other personalized content distribution platforms, content aimed for prodigal clients can also be repurposed for other broad channels.
Effective Copywriting as a Client Retention Tool
Effective copywriting skills are necessary in any content initiative. Good copywriting elevates content and has an appeal that makes the client feel respected and valued. In writing copy aimed towards re-engagement of prodigal customers, we have to figure the key scope of what we need from them and appeal to the emotional senses of prodigal clients.
Remember people buy with emotions and justify with logic.
Some of these include
As entrepreneurs, we have a window to delight the client once again through good content marketing and copywriting opportunities. We need to leverage it.
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