A study done by the Direct Marketing Association showed that current customers are 20 times more likely to buy something else than a new prospect who hasn’t purchased anything from you before. In other words, you have to spend 20 times the money (or time) to get a new customer than to have a current customer purchase something else. So we want to focus a lot of our attention on current customers because that’s where we get the most bang for our marketing buck.
Plus…current customers give you referrals. There’s nothing better than a new person buying your products because a friend referred them.
In every industry I’ve worked, maintaining customer loyalty was essential. So here are a few techniques that will help maintain a base of solid customers.
1. Know your customers personally. Remember their names and recognize them on sight. Be genuinely interested in them and their lives.
2. Give your customers something special for being in your wine club.
* Go above-and-beyond what other wine clubs are offering.
* Example: Special shirts, wine glasses, etc. Make the item tangible. Something that can be shown to other people. Of course, a discount on wine is a good thing (and keeps the customer happy), but a solid item that the customer can show off will tend to bring in more new members because they can physically see one of the benefits.
(NOTE: A really good way to get more non-member customers to join your wine club is to provide members with their special shirt or wine glass and ask the member to display it at wine events. The non-members, upon seeing that, will rush over to sign up for your wine club. [When I worked in the high-tech world, this was a favorite technique at trade shows]).
3. No customer hand-offs. When a customer calls with a question, don’t shuttle them around to various departments until they get an answering machine. Take ownership of the customer’s situation and make sure their needs are met.
4. Communicate regularly. Emails, postcards, birthday greetings, special invitations to wine events – keep the communication lines open. Don’t just quickly write about what the weather is like at your winery. Give them solid useful information.
* This is especially effective when you write a personal note specifically to them and about them on your communication (see #1, above). Even just writing “Hi Robert! How was your vacation in Hawaii?” on the card will build the relationship.
5. Give them more than they expect. In other words, throw a little extra something into their usual purchases/shipments.
* We used to call this the “Cracker Jack Prize”. People like the popcorn and peanuts of Cracker Jack, but they really buy it for the prize inside. When one of your better wine-club members visits to pick up his monthly shipment, take him aside and “sneak” him a bottle of your port or something else you make that you know he likes. This works wonders. I once worked with a salesperson who built a small account into a $2 Million/year account by regularly outfitting his kids with T-shirts. “Cracker Jack Prizes” work every time. And they don't need to be expensive either.
6. Always be asking for their input. When they stop by, ask them for their opinion. If you’re working on a new wine, ask them to try it and give you their thoughts. If you’re a chef, ask your regular customers to do some taste-testing and provide some feedback. We talked about this in the last post (here). Fez Restaurant holds monthly “You be the judge” menu-item tastings, and they always have sellout crowds. People LOVE to give their opinions. When you ask for it, you’re building loyalty.
Give these techniques a try. Every time you give extra-special recognition to your customers you build stronger ties which will keep them coming back to you.
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