Marketing is a complex mechanism aimed at developing a business. It can solve a variety of problems. However, one thing remains unchanged–quality Marketing takes into account the needs of consumers and solves their problems.
With increasing competition and market oversaturation, customer service is as important as ever, perhaps more. And no wonder, because attracting new customers is five times more expensive than retaining them. In this post, we’ll talk more about why and how modern B2B companies grow their clients.
That the market is growing at a tremendous speed does not need anyone to prove. Every year, thousands of new products appear in the world, and with them, consumers have a huge number of opportunities to leave you for a competitor. Therefore, the task of each business is to create the value of the company in the eyes of its customers, making it clear why they should stay.
The Value of Cost Reduction vs. Relationships
Cost reduction is the easiest way to keep your customers. So it may seem at first glance. However, this approach will slowly dig a hole for your business. Over time, this will not be enough for the consumer, and there will always be a competitor who can offer a price even lower than yours. For only a few businesses, a low price can be a truly worthwhile solution.
What is really appreciated today is relationships. According to studies, sixty-four percent of consumers admit that quality service is more important to them than price. And eighty percent of buyers say they shop more often if the brand offers personalization.
If you want to be a successful company and constantly develop, then without client marketing you’ll go nowhere. It will help to preserve the consumer base and expand it.
Many businesses in the early stages are faced with a situation where all efforts are put on inbound marketing—attracting new customers. At the same time, they forget to work with existing customers. As a result, the business achieves customers with one-time purchases. Since it costs more to attract a customer than it does to retain one, I think we can agree that it is better to have twenty loyal consumers than one hundred one-time customers. True, the former make up the financial basis of your business, while the latter will not even remember you in a month.
So what to do? Give preference to an integrated approach. Attract AND retain. Build strong and trusting relationships. Carefully thought out strategies will help you achieve both goals.
I Want to note that depending on your goals and ideal customer, the strategy may vary. Every strategy requires a distinct level of resource utilization. Therefore, one strategy may be fiscally appropriate, while another will simply empty your Marketing budget. Below we delve into possible interaction strategies.
This is the best way to get the client to yourself. Use this strategy for the most important businesses. You’ll show maximum interest, as it requires personal communication and meetings. A key disadvantage of such a strategy is the need to involve a large number of staff. So it’s expensive, in terms of time and money. But it’s justified if it will bring in VIP clients who account for the most revenue.
You’ll want to develop special services for the highest priority customers, and make the interaction as convenient and efficient as possible. I give an example for greater clarity:
Suppose your customer is engaged in the manufacture and sale of HVAC equipment. Possible VIP service options may include:
High touch marketing should be justified. Therefore, consider this when creating a budget for a strategy for working with clients.
This method is much cheaper. It relies more heavily on the use of technology for customer interaction. With this approach, you automate the process and keep the use of human resources to a minimum. Another advantage of this method of interaction is you can track each user action with deep data analytics.
But the disadvantage is that the customer may have the impression that there are no people behind the company, and it's just machinery. Here are some tech touch marketing examples:
You may have a segment of customers for which such an approach is enough. These may be users of standard digital product solutions. For example, your company offers a site builder, where basic and individual packages are available. For that client, basic tech touch marketing is perfect. After all, the solution is ready-made and does not require specific knowledge for implementation.
Remember, using this method, it is important to ensure high quality content. After all, this is what affects the formation of the image. To avoid typos, use special spell checking services. For example: Essay Tigers, Grammarly, ProWritingAid. This will help to avoid mistakes and have a positive effect on trust in your business.
Integrating technology and live communication can ensure high-quality interaction with customers. This approach is suitable for customers for whom you have a high potential for penetration.
Suppose your company is a wholesaler of cosmetics. You have a group of clients whose monthly purchases are steadily growing. You might pay attention to this segment using live communication and technology. This will help to increase loyalty. Who knows, maybe over time some of this group will move into the high touch category.
Focusing on customer success and penetration is a new priority for many companies wishing to achieve new heights. While you want to continue creating strategies for market segmentation to attract new customers, you still want to always keep an eye on retaining existing ones. This way, you’ll create to a solid financial foundation for your business with continuous growth.