We’ve all seen it. A large corporate offering wonderful enticements for people to become new clients….often far sharper than those being received by existing, loyal clients. They have to ask, negotiate, threaten to leave. Some do leave – your competitors offer the same inducements to them, as new clients. What are you doing to keep your existing clients? What are you doing to keep them happy?
Selling is important for growth.
However, your rate of churn is more important for sales efficiency.
Client churn signals that, whilst your client acquisition strategy may be working, you are losing clients out the bottom. Worse case scenario is you’re losing more than you’re attracting. It can signal that you’re failing to deliver the promises you’re making to your clients when on boarding them or that you’re spending too much time focused on new clients at the expense of the satisfaction of existing ones. It is worth noting some level of churn can be normal in business and we’ll delve in to this later.
The higher the rate of your churn, the faster you need to sell to keep up – don’t you? Well, this is one response and the wrong one. Rather than sell harder – address the problem first. Make your existing clients love you before making promises to new ones.
Happy clients refer you business. Happy clients are your advocates. Happy clients increase their business they do with you where they can. Happy clients create a happy sales team. Happy clients are a sales channel far more productive than most understand, let alone utilise.
Addressing your churn is the first step to a successful sales culture. If your clients are happy – people will want to be your clients.
If you don’t, you’re just trying to fill a bath with the plug out.