You may be familiar with the 80/20 rule that says 80% of profits come from 20% of your customers. Do yourself and your business a favor and listen to Jim’s version!
That’s the best awnser of all time! JMHO
For once I seem to be right. I’ve had many customers come and go. The ones who go didn’t quite understand or have the patience to find out how we can help them grow their business over time. The ones who do stick (incidentally, the same ones who are a pleasure to do business with) get results and give us more business.
Without calculating it I’m sure it’s 80/20.
We totally agree with you Jim. The easiest customer to sell is a previous customer. We focus on retention because repeat customers are the backbone of our video production business. We use all our marketing tools to keep in consistent and constant contact with our loyal clients. Our clients help spread the news about our services and refer us to other businesses. We’ve found the second easiest client to sell is a referral from our loyal clients.
The 80/20 rule of marketing always comes into play and Jim makes it simple. The Pareto effect is in every type of business on earth. It’s there. You just have to know what you’re looking for and Jim you’ve done it. Made it easy to understand and move on. Everyone can profit from this short little video.
What a simple concept that is so overlooked. If 80% of your sales come from 20% of your customers, then it only makes sense to invest your time and money to retain them. It does cost more in terms of time and other resources to find new ones than to develop a program to stay on the minds of current customers. Be interesting, be creative, be outrageous in your communication with current customers. The best new customer is a referral. That means making it easy to give a referral and have a referral program in place.
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