Starting a Business? Why You Need to Know Customer Management

Getting customers in the door is the first obstacle toform where interested individuals can submit at least
building a new business. Historically, entrepreneurstheir email address to join your mailing list. Many
were primarily concerned with the customers in frontbrick-and-mortar stores request a street address
of them at the moment and seeking out new ones,from each customer as well. You can create a
but they did little to court their established customerbirthday club or frequent shopper promotion to
base. As evidenced by the frequent shopper cardscollect relevant data as well. The trick is to ask for
we now collect everywhere from Subway to thedata that will actually help the marketing plan. If you
grocery store, big business has finally realized thewon't be calling anyone on the phone, don't ask for
error of their ways. In small business, managing yourphone numbers. Email addresses are a given, because
customer base is even more important. Consumerssending out newsletters or promotions via email is
who are already familiar with your company andextremely cost-effective. Mailing addresses are good,
product benefit the business in multiple ways.too, if you might send coupons or other promotional
Targeted Marketing and Repeat Businessmaterials out.
First, they are excellent candidates for targetedRespect Customer Privacy
marketing. If the business is set up to collectPersonal information is a bit more tricky -- people are
information such as what they usually buy, whensensitive about their privacy. But, if you have a
they usually shop, and even personal details like theirlegitimate reason for collecting the data, such as a
birthday, anniversary, and other hobbies, you can usefreebie on a birthday or the like, most people are
that information to encourage further sales fromhappy to give it up. Also consider developing a
current clients. Every visit from a potential customersurvey or hosting a contest or sweepstakes to
is an opportunity to gather data that will help youcollect additional information. Gyms often do this,
cater your marketing efforts to your customer base.then offer a three-day pass to everyone who
It is estimated that the cost of sales for standingenters...it not only gets potential clients in the door
customers is a fraction, perhaps 10%, of the cost ofbut gets them motivated to join up! Collect data
finding new customers. Why not take advantage?every chance you get -- signup sheets at shows,
Referralsbusiness cards at networking events, website opt-ins,
Referrals are also a strong opportunity with yourand follow up those leads with interesting
current customers. Offer a premium or discount tonewsletters or promotions. Always tell your
those who refer your company, and be sure tocustomers how their data will be used, and whether
thank anyone who does. People like to be in theyou will share your mailing list with others.
know, and if you offer a good product or service,The world of social networking has opened up even
people will be happy to refer you...as long as theymore customer management opportunities. The more
think of it. Sending targeted emails or postcards toof your customer base that is your friend or fan on
your current client list encouraging referrals can beFacebook or following you on Twitter, the more
very effective, especially if there is something in itthey are reminded that your business exists. It takes
for them.time to keep after your clients, yes, but they are
Gather and Manage Customer Datathe reason you are in business at all. Managing your
The key to successfully managing your customercustomer base is an essential portion of marketing,
base is in gathering useful data. Every website shouldand can be the difference between struggle and
include a way to capture leads, such as an opt-inprosperity.