Who are your Favourite Customers?

January 4, 2011 at 11:36 am Leave a comment

Think about your favourite customers.  Close your eyes and bring those people to mind.  You probably have a smile on your face.  Isn’t that how you want to spend your day?  Working with people who need exactly what you offer and who appreciate what you give them.  People who fit your personality.

 

Your best customers make you the most money

The Pareto Principle says that 20% of your customers will give you 80% of your value and that the time and energy you spend on the other 80% will give you only 20% of your income/response/value.   It only makes sense to focus on that top 20% right?  The happier you make them, the more of them you will attract and the more they will spend with you.

 

Your worst customers cost you money

As you refine in your mind, your best customers, you will also become clear about who your worst customers are.  These are the ones who make your heart sink when you see their number pop up on your phone because you know they want more of your time right now and that you won’t be able to bill them for it.  Your time has value.  It’s easy to find yourself giving too much time to a squeaky wheel.  In the same way that you wouldn’t sell your products below cost, you shouldn’t sell your time below cost either.  Fire them, or wean them off by not jumping to their finger snaps or by making it clear that you will be billing for time spent.

 

Your best customers provide you with more opportunity

When you are thinking about new products or thinking about marketing, think about your favourite customers and what they would like.  Ask them what they want.  Design for them.  Bring them in on early trials.

 

Appreciate your best customers

Send them thank you’s and gifts.  It costs 5-7x more to get a new customer than to sell to an existing customer.  That leaves you some room to do special things for your best customers.   Treat them like the special people they are.

 

Here is a worksheet to help you.   Worksheet 1.1.1

 

All this starts with recognizing who your best customers are.

Tell us what you think.  Do you have any best customer stories?

 

Advertisements

Entry filed under: 2. Develop Strong Teams. Tags: , , , , , .

Starting Your Day What Do Your Customers Need?

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Trackback this post  |  Subscribe to the comments via RSS Feed


The Three Success Factors

I have worked closely with 100’s of business owners and I have seen too many struggle. I have seen what works and what doesn't.

It takes 3 things to succeed:
1. Hard work - and I know you do that already.
2. Knowledge - domain knowledge: you've got that and continue to learn; and business knowledge: this is where everyone focuses and it's easy to find
3. Mindset - This is the killer app. This is what makes or breaks small business owners.

We work on Mindset here at the Business Owners Success Club: how you think about yourself and your business.

When you focus on a business that gives you what you need to live a Good Life and gives others what they need to solve a problem, everything else falls into place and you have a successful business.

Using that as a framework we work on one aspect of business every month. February is "Your Place in Your Community" month.

In March we will open the doors to our online community. Stay Tuned.

Sign up here to play along.

Categories

Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Here’s the short and sweet version

Here’s what others liked


%d bloggers like this: