As the saying goes, it is easier to keep a customer than to gain a new one. Typically, there is far less time, effort and money needed to maintain a relationship, as opposed to attracting new leads.
According to F.F. Reichheld in The Loyalty Effect (Harvard Business School Press), repeat clients tend to spend more money over time, offer more customer referrals and word-of-mouth recommendations, make fewer demands on service professionals, and can even lower your business costs since they’re cheaper than acquiring new customers.
A recent NAR report shows that 85% of home sellers surveyed said they would use their Realtor again, but only 25% of them actually did. Further, the average Realtor reports that repeat clients account for 21% of their annual business. What do these stats tell us? We have a lot of room for improvement when it comes to staying in touch and providing value after the transaction is complete.
The truth is, customer loyalty leads to repeat transactions. We have seen this in our own shopping habits. When we like a product or service, we tend to stick to that product or service for the long term. Even better, when the product or service is a truly great experience, we tell others about it. This is the ultimate goal of marketing in your business – to create customers who then create more customers.
The trickiest thing is that we often struggle to think of creative ways to stay in touch with our clients after the sale is complete. Let’s look at a few ideas: