Building a Customer Loyalty Plan, Step 2

The average company loses 20 to 40% of its customers every year. Well conceived and well executed loyalty programs for attracting, retaining and winning back high value customers are essential for any company to succeed. Build your own plan around these customer loyalty stages.

Turning suspects into qualified prospects

Turning qualified prospects into first-time buyers

Turning first-time buyers into repeat customers

Turning repeat customers into loyal clients

Turning loyal clients into advocates

Winning back lost customers

Turning qualified prospects into first time buyers

Here’s 5 key points to know about turning prospects into first time buyers:

1. It takes an average of seven contacts to turn a prospect into a first-time buyer. Research suggests that this number may be rising, due to deeper alliances between buyers and sellers and a tougher economy.

2. Canned sales pitches no longer work; customers want people who will listen to their needs, be honest and upfront and diagnose problems and offer solutions.

3. It takes patience and time to build trust in a customer—once trust is gained, there are many long-term benefits.

4. Feedback from lost sales provides valuable information about ways to make future sales and build customer loyalty.

5. Plan your return sales call before your first call. Develop a wide array of constructive reasons for re-contacting your prospects.

Here’s 10 Constructive Reasons to Return

1. To gather more information
2. To add some important new data to your reply to a question the buyer asked last time
3. To take a tour of the prospect’s facility
4. To explain a new or improved product or service
5. To talk about a promotion the customer might run to increase sales on his or her (and your) product
6. To follow up on literature sent
7. To congratulate the customer on a promotion or award
8. To accompany the prospect to a trade or professional meeting
9. To introduce other prospective team members
10. To entertain so as to show appreciation

Step 1 | Step 2 | Step 3 | Step 4 | Step 5 | Step 6

Source: Jill Griffin’s Customer Loyalty: How To Earn It, How To Keep It