lifecycle marketing: understanding the value of your existing customers

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As you hit the Internet looking for the greatest way to find more customers, it’s kind of easy to forget about the one you already have. That’s the thing with marketing; 95 percent of the stuff about marketing deals with getting new customers rather than keeping the ones a business has already gained. Lifecycle marketing is the style of marketing that utilizes those customers to their fullest potential and earn your business money from those pockets.

Lifecycle Marketing Basics

Lifecycle marketing centers around customizing your customers marketing experience with you from the first time they visit to the day they no longer need products like yours. Getting the sale from first timers and reminding veterans that your business exists takes different styles of marketing. That’s mostly due to the fact that first timers and veteran buyers have different needs. These needs make up the foundation of lifecycle marketing.

Why Should I Care About Lifecycle Marketing

First, the lifecycle of a customer benefits a business’s bottom line. Think of the lifecycle of a customer as the foundation of your business. You’re spent money in marketing to them and finally got them in the door. Letting them forget about you is like throwing that money away. The first item–hopefully your business backed it up with great customer service and quality products–doesn’t even come close to making the back the money spent.

Secondly, it costs less to keep the customer than it does to throw him or back into the sea of fish to hook a new one. This is mostly due to the different methods needed to hook rather than preserve are different.

Successful strategies For Lifecycle Marketing

Keeping a customer is easier than getting new ones, but that doesn’t mean there isn’t work involved in keeping them. To be successful, communication with customers is key.

Communicate Often

Communication builds customer loyalty, which is the foundation of a successful business. Once you get a customer in the door, keep in touch with them through emails and mailings. Let them know about the latest products and sales. Holding a benefit for a charity? Let them know about that, too. If they haven’t purchased something lately, send them an email offering a coupon or other incentive. Social media also falls under this category. Send them links to informative posts you think they will like.

Upsell Properly

If you’re selling products and want to upsell a similar product, make sure it’s something your customers will either want or need. Otherwise, it’s not helping you sell the first item either and makes your business look too salesy. Additionally, upsell only to customers, who have already purchased a product. To an unsuspecting first timer, it doesn’t present a good first impression. Additionally, consider giving veteran even better opportunities. For example, a veteran customer might get a 25 percent discount on their next purchase while a onetime buyer only gets 10 percent. You can turn this scenario into something your customers tell the younger ones and this encourages them to keep buying until they reach veteran status.

Your customers are just as important as getting new ones. Moreover, they are cost less in marketing expenditures. That said, if you don’t put the effort into keeping them, they will leave and go to another business, probably a competitor. That’s going to hurt your business and possibly put it out of business. What are you doing to keep existing customers?

randy bowdent | f | g+

(image:123RF)

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2 thoughts on “lifecycle marketing: understanding the value of your existing customers

  1. Pingback: 3, 2, 1 Blastoff, Abandoned Tech and Parenting | Exploring Conversational Media

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