A little while ago I told you no one cares about you. I didn’t say it to be mean. I did it to illustrate a point—by and large, people care only about themselves and solving their own problems. But there are special people who do care about your business. They’ll drive the extra mile to buy from the locally-owned, family-run shop over the massive conglomerate. Why? Some because they care about their community. Maybe they like that you support veterans’ causes, or because you have a dog dish of water in front of your store.
It seems like it should be a logical decision—you make the best widgets in the world! Right? Why wouldn’t you be the first choice? But often the driver of why people buy your widgets is emotional.
Let’s talk about car ads. Do you suppose Lincoln pays Matthew McConaughey because he makes buyers think logically? Does Subaru put dogs in their ads to appeal to your left brain?
What these ads do is make a deposit in your “brand bank” in consumers’ minds… and hearts. Every time you make a deposit you strengthen the connection people feel to your brand. And when people feel a connection they are more likely to choose your brand. Again and again.
“The probability of selling to an existing customer is 60-70%, while the probability of selling to a new prospect is only 5% to 20%” (Markinblog.com 2021).
Savvy widget makers know they need to make several deposits in the brand bank before attempting to make a withdrawal. While the local Lincoln dealership can’t offer you a test drive with Matthew, they can remember your children’s names, your favorite sports team (maybe give you some tickets) and your dog’s name!
There are big sweeping gestures like sending favorite customers on a trip to Europe, and scaled customer appreciation events like golf outings, a special lunch, or tickets to sports or music events! (Ok, concert tickets are easier for some businesses!)
Bain & Company and Harvard Business School report that “increasing customer retention rates by 5% increases profits by 25% to 95%.“
Let that metric sink in a bit and then look again at your budget for making deposits in your brand bank!
Over time collect information about your customers, their families, pets, hobbies, and favorite things to eat or drink. When you have information, decisions about how to make the deposits they will love you for and that are meaningful make even the smallest gesture memorable.
A person made to feel special (who ARE special to you) will become a source for quality referrals, and will endorse, recommend, and rave about you every chance they get.
Fun Fact—You can do the same for your employees and team members! Unexpected recognition goes a long way in retention and satisfaction! Sure, customers are vital to your long-term success but happy employees help maintain thriving and robust customer relationships.