Repeat Customers: Driving Growth For the SME

We all know the importance and value of repeat customers for our businesses. More-so it is crucial for Small and Medium Enterprises to get repeat customers. In times, when global economies are going through major shifts and businesses are feeling the ecosystem evolving rapidly, it is important for every business/ entrepreneur to understand how to retain and build repeat customers.

Cost of customer acquisition: Repeat Customers Cost Less
To start with, we understand that getting a repeat customer is far less costly as compared to the investment done by the business for acquiring a new set of customer(s). There are many studies which have been done which prove the fact the above fact.
There are many business expenses which are related to customer acquisition: marketing, advertising, sales team etc.

Your business in times as competitive as today has to move fast and be on the look-out at all times, everytime, as each customer is being tracked by parallel and in many cases, similar set of services, which could be provided by your competitors globally and competitive prices as well and similar or at times better standards.

Source: http://static.searchengineguide.com/images/sudden-exposure-dsem.jpg

You sell by Word of Mouth
Its is given fact and almost all of us will believe, that repeat customers are walking advertisements for the business. Logic says that if a customer is coming back to your business, he/ she must have liked your set of services. Also, as business is more based on relationship, for SME's, a happy and satisfied customer, will majorly at all times, talk about your brand.

A referral from a trusted source, as we all know, works far more stronger and is a sure-shot way of developing business.

In the recent times Social Networks like LinkedIn and facebook have proven how powerful influencers can drive business for your emerging organization. There are fans following trusted brands, individuals alike which is dominating the board-room discussions in every emerging enterprise.

So how do you build repeat customers?
Though there is no magic wand/ mantra which you can speak of and customers will come running to you/ your business, but as in business, you can certainly follow the steps below and strategically work towards acquiring repeat business:

• Hire the right people

Your employees are your first customers. They are one of the most powerful sales engine for your organisation. Your business must ensure that demeanor and interaction with clients is focused towards cementing existing relationships and bring back business to the organisation.

Customers while interacting with your brand, actually do business with your brand ambassadors, your employees. Hence a powerfully enabled and empowered employee can do more good to your business.

• Your products/ services speak for themselves: be consistent, have a solid delivery

Large organisations as we see them today, did not grow as a chance or strike of luck! They grew to their size with sheer competence, ensuring that whatever they deliver is to the best of their abilities and that they are competitive enough as per industry standards, such that their customers get the best.

Being consistent is a lesson we learn early in life, while we are studying. As we expect even our national teams to perform consistently on the field, similarly we must maintain solid processes internally, which ensure quality at all costs and maintain consistency at all times.

Go to any McDonald's in a city and you will see the same products being sold over the counter, with the same speed and agility and pretty much the same taste. This ensures the customer that what he is going to get is value for his money and hence he walks in without a doubt.

You must set solid process oriented working methodologies in your growing enterprise, which ensure that your business creates ensured quality at all times.

• Know Your Customer - Well!

Learn this art from the banks. When you open a banking account, you fill a KYC form (know your customer). This is to ensure that the bank as an institution knows you well enough. Having such information creates a close relationship based on mutual trust which the client has with the banking institution.

But for SME's building a whole team of people with a KYC process seems an ardent task. Such business challenges can easily be tackled by innovative CRM (customer relationship management) software, available in the market. Smaller businesses can look at the Microsoft Office 2010 Standard and Professional Plus versions, which include Outlook with Business Contact Manager (BCM).

• Make them your best critiques: Co-create

Your customers could be your best critiques. They are at the receiving end of your set of services/ products/ solutions and hence you must always ensure that you take solid feedback from your customers on how are they experiencing your business proposition.

Co-creating with your customers, will ensure a solid relationship which will provide mutual respect and growth. Your customers grow close to you and your business, this way and it obviously helps!!

• Shake hands: go do it

Though it seems more and more profitable for any business operation today to leverage technology like video conferencing and mobile phones etc. Making a physical contact with your customers always creates an equation which is far different from anything else. Once an understanding is set, you can hence leverage the power of technology to touch base, while also helping your customer reduce cost and optimize business operations.

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