how to accelerate your client growth

8/14/2019 How to Accelerate Your Client Growth

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Copyright BOSS Management Group 2006.www.bossgroup.com.au

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How to Accelerate Your

Client Growth!

A practical how to to grow the

value of your clients & increase

your revenue!

By Jenny Stilwell


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TABLE OF CONTENTS PAGE

INTRODUCTION .............................................................................................................. 3

CHAPTER 1- KNOW YOUR CLIENTS........................................................................... 6

What Are Your Clients Worth to You Now?.................................................................. 6

Move Your Clients up the Value Chain.......................................................................... 9

5 Tools for Better Client Marketing.............................................................................. 10

5 Ways to Get Build Your Client Base......................................................................... 14

CHAPTER 2 - YOUR PRODUCTS & SERVICES......................................................... 19

Clients Dont Want Your Products ............................................................................... 20

The Second Sale is Easier......................................................................................... 20

If You Sold Everything............................................................................................. 22

Get Your Offer Right .................................................................................................... 24

WIIFM The Clients Perspective ............................................................................... 25

Explain Your Offer with a Value Proposition .................................................................. 25

CHAPTER 3 PROMOTIONAL OPTIONS .................................................................. 27

Successful Communication 4 Key Steps ................................................................... 27

Client Marketing Tips ................................................................................................... 31

Start Your Program!...................................................................................................... 34

The Final Check............................................................................................................ 36

OTHER RESOURCES ..................................................................................................... 37

ABOUT BOSS MANAGEMENT GROUP ..................................................................... 37

ABOUT THE AUTHOR .................................................................................................. 37


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INTRODUCTION

Knowledge paves the road to riches - when you know which road to take.

Napoleon Hill

How do you know which strategy will grow your business most effectively in the short

and long term?

Market penetration, market extension, product development or diversification are the

primary strategies for building your business. You can also grow organically (growth inyour own business) or by acquisition (of another business).

This book focuses on two of the most important business development strategies for

many businesses and service firms market penetration (get more clients, and sell more

to existing clients), and product development (make sure you have plenty to sell your

clients!).

Market penetration is based on taking the opportunities to sell more of your products or

services into your existing market, or penetrating deeper into your market.

Since it costs on average 5-10 times more to source new customers than to work with

your existing customers, it makes sense to adopt this strategy if you can.

It will be most applicable if:

- You have a reasonably large base of potential customers in your existing markets- There is an opportunity for you to sell more of your products/services to your

existing customers, and to sell to new customers from the same existing market

segment

- You want to sell more of you existing products/services


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- Your products/services are still competitive

How to implement this strategy:

- More aggressive promotion and marketing- More, or more effective, channels to market (whether direct sales or via third

party distributors)

An example of this strategy would be Telstra and its mobile service. Telstra has

penetrated deeply into its existing market (Australia in broad terms), using extensive

promotion and advertising, and a continually expanding distribution channel of resellers

and its own retail outlets. As a result, it has the largest share of the mobile market.

Product developmentis when you develop new or improved products for your existing

markets. Product development may take the form of a new product altogether (for

example a new software package), an extension to a product (for example a new feature

set/enhancements to the existing software package), or a product add-on (for example, a

new software module).

- Products and services are often developed when there is client demand for them,or when technology results in newer versions being available or created by your

competitors, or when you have a great idea and research indicates there would be

a market for it.

- Product development requires funding, planning, research, testing, marketing,selling through appropriate channels and more testing.

- If you develop new products or services you must do so objectively, and listen toyour customers, take notice of the market research and feedback, and be honest

about how competitive your new products will be. Dont waste time or money

launching products or services that wont sell, or wont sell enough.

- Product development must be an ongoing process to some extent, as no companycan survive on an unchanging product or service, year in and year out.


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- Generally its fair to say that if you dont develop and enhance your products,then your competitors will, and will overtake you.

An example of somewhat extreme product development is Coca-Cola now selling Lemon

Coke, Caffeine-Free Coke, and Vanilla Coke into its existing markets, alongside regular

Coke and Diet Coke. This strategy has similarities to the one used back in the 80s, when

Coca-Cola had Classic Coke, New Coke (when they changed the original formula),

Cherry Coke, regular Diet Coke, Caffeine-Free Diet Coke, Tab, Caffeine-Free New Coke

and Caffeine-Free Tab. It created a lot of consumer confusion, and eroded the brand

power of the original Classic Coke.

A simpler example of product development is the breakfast cereal manufacturers

developing breakfast cereal bars, for breakfast on-the-go.

Lets now look at some relatively simple business development strategies which will

grow your client base and your client revenue.


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CHAPTER 1- KNOW YOUR CLIENTS

Make the most of the best and the least of the worst.

Robert Louis Stevenson

What Are Your Clients Worth to You Now?

We all know our clients. We know their names and their businesses, and we often know

something about their lives outside of work. Usually we have lists of who our clients are.

However, what many business owners usually dont know is whats happening in the mix

of their client base.

When you analyse your customer base, and you should, you need to identify the

following indicators:

What are the broad client categories by dollar spend eg: up to $1,000 perannum, $1001-$3,000 etc. You will obviously select categories which have more

meaning to your business. For example, if your lowest value customer spends$500 per year, but you most valuable client spends $10,000 per year, you would

have several different groupings, say $500-$1,000, $1,000-$5,000, $5,000-

$10,000, or whatever is most appropriate to the spend amounts.

What is the average client dollar spend by category, and how do they compare Overall, which clients generate most of your revenue eg: the top 20% (or close

to that percentage) may generate 80% of your turnover. The objective here is to

identify those customers which are vital to your business in terms of revenue.

What products or services are your customers buying? All, some, a mix? Is itchanging?

Is the average dollarspend by category increasing or decliningover previousperiods?


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Which customers have been active (purchasing) over the longest period of time? Which customers have become inactive (not spending) and why?

When youve identified this information, you need to look at what youve discovered:

Who are the most valuable customers? How many customers add little value, orcost money to service? What is theprofile of the preferredhigh value customers? What products or services are not really selling? Which are selling well? What is the risk identified by your 80/20 analysis? Do you have all or most of

your eggs in one or just a few customer baskets?

If you were to lose any high value customers, you know what the impactto yourbusiness would be.

What actions can you take from there?

Make sure your most valuable customers are well looked afterand serviced. Revisit yourproduct or service range and make changes where necessary

(delete items from your range, look at developing new products, proactively

promote some products or services more than others, etc.)

Assess the structure of your sales team you may have a direct sales team(or advisors, or consultants, or technicians, or whatever is appropriate to your

business) manage the top customers on a one on one basis, you may have a set

number of your team sharing the management of the next tier of customers,

and you may consider a telesales or telemarketing person or team to manage

all of the small customers. They may also be managed via a website interface,

for example.


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Now that you know the profile of your preferred type of customer, you needto ensure that youfocus on this profile when attracting new customers. This

will spread the risk of having most of your revenue generated by just a few

customers, and will build your business in the right direction.

Finally, dont forget about building the value of your customers: ask themwhat they think, what they want, what they may want to see changed, and

what else you can do for them. Now you have them, and you know them

well, build on that to build your business.

Draw up a client grid, for your top 5, 10, 20 or 50 customers (whatever is most

appropriate depending on the size of your customer base), showing what products

they have purchased in the last 12 months.

You will then have a total for the last year by sales revenue, by customer and by

product:

Client

Name

Product 1 Product 2 Product 3 Product 4Total

Revenue (lastfinancial year/last12 months)

Client 1 - - - $6,800 $6,800

Client 2 - - - - 0

Client 3 - $495 $2,500 - $2,995

Client 4 $1,500 $495 $2,500 $6,800 $11,295

Client 5 $1,500 - $2,500 $6,800 $10,800

Client 30 - $495 - - $495

From this initial analysis, it can be seen that Clients 2 & 30 are virtually inactive,Clients 4 and 5 have been the most valuable, but Client 1 has also purchased the


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most expensive product/service in the range. Client 3 may or may not grow.

Further investigation is required to assess the upward or downward trend for these

clients and what value they could potentially have in the future.

It shows you which clients present the greatest potential value to your business.

If you do this analysis for the last 3-5 years, you will have more specificinformation to identify your most strategically important clients.

You will find more information on growing client value in Chapter 2.

Move Your Clients up the Value Chain

Your goal is to grow your clients, through continuing to deliver value to them viayour products, services and attention.

That means, you want your clients to purchase more than one or two products andservices, and ideally, to continue to purchase new products and services as they are

developed and made available.

Think of your clients, and the value they represent to your business, in terms of tiers: Tier 1= most valuable (ie: they generate the highest sales revenue/billings for your

company)

Tier 2 = next level, with potential to be a Tier 1

Tier 3 = lowest value clients (they may or may not have potential for growth)

If you have a large customer base, for example, with hundreds of customers orclients, you may have several tiers, but a manageable number for this client analysis

exercise is 4 or 5 tiers.


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Your goal is to: Grow Tier 3 clients into Tier 2 Grow Tier 2 clients into Tier 1 Grow Tier 1 to a new level Identify which clients you really dont want to retain because:

they dont fit your Ideal Client Profile, or because it actually costs to have them as clients, or because they no longer fit your target market, or because they no longer have a need for your product or service offering

for one reason or another.

5 Tools for Better Client Marketing

There are many marketing tools you could use to improve the way you actually market

your business to prospective and existing clients and customers. The following list of 5

tools is very easy to remember, easy to implement, and generates a very positive image

for your business.

1. Get back to basics.

This may sound simple, and it is, but many businesses get this so wrong. There are some

key practices to remember:

Thank your clients for their business when they first come to you Thank them for referrals they may have provided to other clients. Remember, reception is their first point of contact with your firm either in

person or over the phone. The person who has this job function must be friendly,

approachable, and on the ball.


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While were still at the front desk, if you have a Music On Hold facility on yourtelephone system, make sure the music type suits your client base, or is agreeable

to most people.

If you have a waiting room or waiting area at reception, make sure you havecurrent daily newspapers, or current magazines.

In all your dealings with your clients, remember to always:o be politeo be patiento do what you say you willo

return calls and emails within the same morning or afternoon (or at leasthave someone do it on your behalf) dont let them flow over into the

next day if you can help it

o follow through Be available and accessible dont make it difficult for your clients to find you or

contact you.

Collect customer details correctly, check them, and dont make basic mistakes inaddressing your customers, pronouncing their names, or spelling their names.

2. Make your Product or Service Easy to Buy

This may sound simple but often it is difficult for potential customers to understand

exactly what they are buying.

How to make your offering easy to buy?

Differentiators or USPs (Unique Selling Propositions) Sell benefits, not features, and explain features when required.


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Focus on the application of your product or service to the customers ownbusiness

Show return on investment, and make the value proposition clear (ie: what valueis inherent in the product or service for the customer?)

Reduce any perceived riskin buying your product or service by giving examplesof what youve done for other clients. Where appropriate, have other clients

provide testimonials for you.

Show the product, have references for the service When appropriate, have flexible payment terms for your customers, or in a retail

environment, accept various methods of payment.

3. Make it Fun to do Business with You - Reward your clients.

There are many opportunities throughout the year to instigate fun activities or rewards for

your clients, such as Christmas, Easter, and big sporting events. Mix your clients at these

events like youd mix friends for a social gathering you want your clients to have fun,

not struggle to converse with people with whom they have nothing in common. Why do

this?

Its a good retention tool Its good fun for clients Everyone enjoys the experience it strengthens relationships It presents a networking opportunity for your clients

4. Ask them what (else) they want.

Dont assume you know what your clients want as they may not tell you Dont forget to ask what else you could be doing for them.


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You dont need to ask these questions allthe time, but definitely from time totime.

This may be best done in a more structured and independent survey, as clientswill open up more to an outsider than they will to someone from within thefirm. Also, the questions and the analysis of the responses will be completely

objectively viewed.

If you do that, it is important to follow up. If your customers give youfeedback and tell you what they think, and what they want, and you dont

respond, they are unlikely to remain your customers.

5. Understand their expectations and meet them.

Get to know your clients and what makes them tick. Always meet your clients expectations, and every now and again, exceed

them.

Basic expectations, and nice to have expectations you need to at least satisfythe basics (always follow up, dont forget when youve said youll do

something)

Occasionally give them something for nothing. Free information Send them an article or other piece of information which may be of

interest to them and of relevance to their business

Provide a small, or additional, service at no charge

Under-promise and over-deliver. For example, timeframes and costs. Ifsomething takes less time than expected, or costs less, the client will always

be happy.

Meet the customers basic expectations, before you try to over-deliver.Without meeting expectations on a basic level of service, any attempts at new


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products, or innovation in other areas, would annoy customers, possibly to the

point of changing service providers.

Make sure you have the basics covered before anything else, and work up from there.

5 Ways to Build Your Client Data Base

When it comes to building your business by adding new clients, there are some proven

ways of going about this which will generate results far better and far faster than cold

calling.

i) Talk to the people you know, because typically, they will:

- know you

- like you

- trust you

Who better to do business with? This extends from the people you know to the people

they know. As long as theres a connection, a referral, a common reference point, people

are more likely to meet with you and to listen to what you have to say, if someone they

know has done so too.

Now, if you think you dont know many people, or the people you do know are not your

target market for your product or service, lets run through a quick inventory of sources

from which you may know many different people:

the last company you worked for, and the company before that, and beforethat


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suppliers or other relationships you have had in the past with associatebusinesses or organisations

industry associations are you a member of any? If not, join! Have you ever contacted any companies with a view to learning about their

business, or reviewing it for suitability to your own or your clients needs, and

struck up new relationships that way?

Have you ever struck up memorable conversations or relationships withpeople during training classes, university courses or other learning events?

On the home front, what about old school friends (those school reunions justwont go away)

Neighbours Local traders who know your face so well Other parents at your childrens school, or nieces and nephews or godchildren,

if you dont have any children

Sporting clubs Sporting competition or social play Business and social contacts of your partner, family, or friends What about people who provide regular services to you and who know you

reasonably well: dentist, doctor, gardener, cleaner, lawyer, physiotherapist,

hairdresser, plumber, electrician, painter, accountant, etc. Tell them what you

do, and ask them if they can refer you to any of their contacts or clients who

may be interested in your services.

Record all your contacts in a database, with name, company, title, address, office phone,

mobile phone and email address details, and protect that information. You will be

referring to it a lot as you Keep in Touch!


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ii) Keep in Touch is the mantra for success.

You can keep in touch many ways, but the object is always to communicate (both ways).

Whichever way you choose to keep in touch, the best is always face to face, but there are

a few options:

a) Face to faceb) Emailc) Phone

Choose the most appropriate method for what you want to communicate, how busy the

other person is, and how difficult they are to catch.

Be mindful of how your clients prefer to communicate dont email or text someone

who prefers to talk on the phone.

Schedule some time once a week to call/contact a number of people from yourdatabase. You may only select 2 or 3 at a time, you may select 20 at a time, but

the more people you meet with and talk to, the better.

iii) Keep in Touch with Intent! Build your prospective client base.

Know what sort of people you are keeping in touch with. Categorise them:o Centres of influence who may refer you or introduce you to others. They

will do this automatically as long as they value what you can do for them

and the people they refer to you.


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o People who have large networks or a client base you may wantintroductions to (you can ask to be introduced to specific people if your

relationship is strong enough)

oOther service providers who may be able to add value to your clients

o Potential clientso Contacts who may provide products and services of value to youo People whose company you enjoy!o Your clients!!

Now that youve determined who you can contact, and how you can keep in touch with

them, the question is, What Is Your Message? What information will you give them?

What is the purpose of communicating with your contacts? It is to build your prospective

client base and market your services.

If you deliver some value when you communicate, people will be more open to receiving

and processing your information. Give them something for nothing. By providing useful

and interesting information and offers, you are building your credibility and value to

your contacts. This is critical to your positioning as a source of supply for products and

services both now and in the future.

iv) Build credibility beyond your own network.

This is harder to do because the world outside your network doesnt know you. There are

a few ways we can approach our promotion in the market, but establishing and building

your credibility as a key supplier of a product or service in your particular market is of

paramount importance. That is your goal. Here are some options:

Submit articles to industry publications


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Offer to speak at industry or association functions. Write a book, a booklet, a research paper, a report.

v) Follow Up. Finally, when you have done all of these things mentioned in thisarticle, follow up and do it all again.

Marketing is a never-ending program, and is only effective when there is follow through,

and follow up, and the development of eventual momentum. Successful people do this.

They never stop. If you want to be successful and build your client base, you must

continually market yourself and your business as well. These are the 5 steps. Start now.

Let me leave you with this thought:

Consistency changes lives, not occasional actions. The same applies to your

business.


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CHAPTER 2 - YOUR PRODUCTS & SERVICES

Marketing is a battle of minds, not products.

Ries & Trout

Marketing is a battle of minds, not products. Just look at the brand battle in the bottled

water category. Flat, sparkling, filtered how different can water be? Once the brand is

in the mind of the consumer, product line extension ensures that the consumer keeps on

buying those products for as long as they are available, and for as long as the brand meets

their needs.

There are two important things to remember from this:

1. You must find out about the real things you can help your clients with2. You must have a range of products to keep offering your clients

For example, my clients dont want business planning and consultancy services, they

want to know how to make more money from their business, build better businesses,

build their business as an asset for the future, as well as how to improve theirmanagement expertise. They dont want to join mentoring programs for long-term

professional development; they want immediate advice on how to grow their business,

and how to manage it more easily. Ultimately, they want to be able to trust the advice

they receive, they want to minimise the risk of their actions, they demand value for

money, and they want to talk to someone who cares about their business. My clients, and

yours, want outcomes.

When you package and promote your products and services, remember to position them

as essential items which will meet your clients basic needs. For example, insurance is

not about insurance, its about certainty and security more than anything else, and all the

packaging and promotion reinforces that.


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Clients Dont Want Your Products

Whats important is how our clients perceive us, and how they perceive our products.

For example, if you have a graphic design company and you produce annual reports,

brochures, stationery, brand identity, etc, is that what your client really wants?

Possibly.

Will the fact that you can do these things win you the business?

Maybe.

If you explain your services and the outcomes youve achieved for other clients will thistip the prospective client in your favour?

Unlikely.

Why? The client really wants:- someone who is prepared to let them talk about their business- someone who listens when they talk, and doesnt interrupt- someone who is interested in what they do, and what their challenges are- someone who understands their business- someone who can translate that to great ideas for their business and brand- someone who has a track record of delivery- finally, someone they feel they know, like and trust (and who wouldnt

feel that way if all of the above requirements were met?)

If you can do that, will you win your first piece of business with this client?

Definitely!

The Second Sale is Easier.

This is where the concept of the second sale is easier than the first comes in. Once you

understand your clients, and what their real needs are, you are far more in tune with how

you can help them. This is about them, not you!


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Having passed the first test, the second sale will be much easier. This is where many

businesses leave significant revenue behind. If youve established a great relationship

with your client, and earned their trust, you need to make sure you keep them. The

concept of the second, and third, sale is also referred to as back-end sales.

If you have nothing else to sell your clients, youll need to start all over again with a new

prospective client.

Lets have a look at this simple example. Well take the top 5 clients as a test sample for

Web Design Company A.

Web Design Company A Client & Product Grid

Client

Name

Product 1

Web Design

Product 2

Copywriting

Product 3 Product 4Total

Revenue (lastfinancial year/last 12months)

Client 1 $3,000 - $3,000

Client 2 $3,000 - $3,000

Client 3 $3,500 $3,500

Client 4 $1,500 $495 $1,995

Client 5 $8,500 - $8,500

Total $19,500 $495 $19,995

In this example, you will see that, first of all, Web Design Company A only has 2

products. Web design is the primary product offering which all of their clients buy.

Only one client has purchased the copywriting service. This tells us one of two things:

there is little need for a copywriting service for Company As clients and/or no-one from Company A has tried to sell this service to any of their clients


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This company has no other offerings to sell their clients, except more of the same. Web

sites are not redeveloped on a regular basis, and in some cases they may not be updated

for years. Once they have developed a website for their clients, this company has little

option but to acquire new clients who need web design services, or create new product

offerings for their existing (and new) clients.

Company A needs more products to sell its clients for the second and third sale.

How do you rate with the range ofrelevantproducts and services that you have tooffer your clients?

If You Sold Everything

Now, lets look at a different scenario for a different company.

Lets look at Web Design Company B. Their primary business is designing websites.

All their clients purchased that service first. However, Web Design Company B has a

range of product offerings to suit the different needs of its customers, and this is reflected

in the number of products/services that their clients purchase, as well as the value of these

clients over time.

Company B not only offers web design, but also offers hosting services, customer

management software upgrades, e-commerce strategy development, and annual technical

support. They generate revenue from design and strategy consulting fees, and annual

revenue streams from hosting and technical support services.

Some of their clients have purchased multiple products, and others will eventually

purchase multiple products.


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Web design Company B Client & Product Grid

Website

design

Customer

software

upgrades

Website &

email

hosting

e-commerce

strategy

Annual

technical

support

Total Value

Client 1 $1500 - $1,000 - $800 $3,300

Client 2 $3,500 $5,900 $2,300 - - $11,700Client 3 $4,000 - - $12,000 $5,000 $21,000Client 4 $2,000 - $3,300 - $5,300Client 5 $3,600 - $2,700 $8,400 - $14,700

Product

Revenue$14,600 $5,900 $9,300 $20,400 $5,800 $56,000

Now, with a new suite of products, this company has the option to grow its clients from

relatively low values for a once only website design, to a new Tier 1 level in excess of

$20,000 in product/service sales, with recurring revenue streams from hosting and

technical support each year.

You can see the value of Company Bs clients compared with Company A. By

developing a suite of product and service offerings to meet the needs of your clients, you

can successfully grow the value of your client base, at the same time as you grow the

amount of value you deliver to your clients!

By compiling and analysing your client matrix on a regular basis, you can start planning

what potential sales revenue could be in the coming year for each of those clients is it

growing, declining, or about the same?

If you sold all your products to your clients, how much more would they beworth?

If you sold everything, what would you do then? Get some new clients, and create some

new products!


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Its worth all the hard work to get your clients for the first time, and build on that to really

grow the value of your clients and the revenue for your business.

When developing new products and services to market to your existing and new clients,

make sure you get the offer right.

Get Your Offer Right

Getting your offer right is the critical, but sometimes overlooked, first step. If you follow

this checklist, youll be close to getting it as right as it can be:

- Testthe product or concepto What are people saying in response to your concept existing customers,

potential customers. Its easy enough to meet with a sample of your

existing clients and ask them what they think. You can test run new

concepts in meetings with potential new clients.

o Are you listening to their feedback and acting on it?o Do some research formal and/or informal

- Knowyour producto If you cant explain it, you cant sell it. If you cant explain the value

proposition from the customers perspective, then no-one will buy it.

- Know your target market and what they wanto Who will approve the purchase of your product?o Who will buy it?o Who will use it?

- Know yourcompetitors and yourpositioningagainst them. Analyse and assessthis objectively and honestly. Reposition or re-value your products and services if

you need to.

- Set the right level ofpriceo What is the perceived value? Pricing should align with the value and

positioning.

o Fit with target market?


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- Do the P&L. Are the numbers right? Are the numbers real or fantasy? Check!- After all that, honestly assess the fit of the actual product and the price you have

set with your target market.

- Readjustaccordingly if required. Be careful how you do this you dont want tosend a message to the market that you made a mistake because you got it wrong.

- Now that the offer is right, its time to take it to market.

WIIFM The Clients Perspective

Youve read this before a million times, I know, but the real value of your products and

services must be communicated from the clients perspective WIIFM (Whats In It For

Me?).

Prospective clients want to know what you product can do for them, not what it does or

how it works. What value will it deliver to them?

Explain Your Offer with a Value Proposition

The value proposition of your product or service is critical. You need it to cut through

the noise of your competitors and ensure you are heard over all. When you describe your

business to a prospective customer, do you describe the products and services you offer,

and talk about if from your perspective?

If you can say:

- what the product/service does for your clients

- what value does it provide them

- why its different

then you have a clear value proposition.


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Remember, your value proposition may vary slightly, depending on what type of client

you are talking to and what their needs are. A small client may value cost effective fees

and attentive service; a large client may value more complex service offerings that meets

their business needs, more so than the actual fee structure.

As an example, Volvos value proposition has been automotive safety. The detail of that

may be their track record in safety. If you owned Volvo, or marketed their products, and

someone asked what your business does, you could convey what the business does, why

its different and the value it provides in the following statement:

We engineer a range of cars to the highest safety standards, including sports cars,

sedans, station wagons and 4WDs, with a formidable track record in on-road safety

You are unlikely to feel comfortable saying all this in the one statement, but you get the

basic idea. Compare that to we make cars!

Value can be real and perceived, and people buy using facts, and emotion. When

considering WIIFM from your clients perspective, remember the emotional aspects as

well as the logical.

Practice that with your own business, or productor product portfolio, until you reach

the right statement. If you cant do this, then marketing your product or service to others

is going to be much harder than it needs to be.

Understanding the real value provided by your products and services will help drive

your marketing activities, and the development of your marketing tools.


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CHAPTER 3 PROMOTIONAL OPTIONS

A business lives or dies on its marketing.

Corey Rudl.

Successful Communication 4 Key Steps

There are four key steps to remember when thinking about whether you are maximising

your communication with your target market. Within these steps there are many

variations on how a message can be conveyed, or a channel for dialogue opened.

However, if you keep in mind the 4 steps, you will always maximise your opportunities

for communication of your message.

1. Develop the Information/Message

If you have information you would like to convey to your customers and clients, in how

many fundamental ways could this be presented?

Newsletters PowerPoint presentations Emails SMS messages Web site Music or message on hold Company profile documents Products & services lists Product specifications Company stationery


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Brochures Direct mail pieces Copies of press coverage/press releases Articles Invitations Speeches Multiple forms of advertising

Presentation of your message is critical. Please keep some of these considerations in

mind:

- Always think in terms of your clients perspectives. What is interesting and useful tothem?

- Be genuine. If you say youre going to do something, then do it. If youre notgenuine it will be apparent.

- Focus on consistency of presentation, of message, of image, of how you are beingperceived by your customer.

- Know who your customers are. Dont use humour which would only appeal to asmall group of people, dont risk using any message which may offend, and always

be mindful of different religious and cultural perspectives when appealing to a

broader segment of the local or international market.

2. Open the Communication Channel: Events and Networking

This type of communication, as an example of this step, is up close and personal

between you and the customer or potential client. The message may be specific, or non-

specific relationship building communication. Some options within this category are:


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Client lunches Launch events Entertainment events Industry events (exhibitions, conferences etc.) Association or Institute gatherings Organised sporting competitions between companies

The point is, learn about what your clients enjoy doing beyond business, so your

relationship building activities are enjoyable and beneficial to both of you.

3. Involvement from your Clients and Customers

Events and networking functions involve your customers at some emotional level and

build the relationship you have with them. However, communication that elicits

involvementand follow-through communication from your clients is different, in that

there is some notion of commitment to do business with you.

Specific communication tools requiring involvement from customers and clients are:

Surveys and questionnaires New product/service test programs Writing up testimonials from your customers Case studies on your clients businesses and their relationships with you and your

business

Ask clients for feedback on new developments, such as your web site forexample.


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Inherent in this type of activity is ongoing involvement and relationships. This is the

primary objective of successful communication.

4. Follow Through Communication

One-off communication is not enough and does not build relationships. A message can

be conveyed by communicating it only once, but will it be remembered? Research

studies have proven that we need to hear a message around 7 times before it finally sinks

in. How many times have you seen yet another ad on television and not known who the

advertiser was because it didnt register? The message needs to be clear, repeated, and

followed up. Ideally it should also be humorous, of interest or value, and have some

differentiating factor.

Dont stop communicating:

thank your clients send notes of congratulations when appropriate send information in which they may be interested send them leads follow up on your survey follow up on the new product or service launch send them a copy of your latest newsletter, brochure, etc. proactively call them once in a while to touch base and ask how they are, and how

business is

The cycle must continue in order to be successful. The little differences make all the

difference.


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Client Marketing Tips

1. Think Like Customer give them TLC. Put yourself in their shoes and rememberwhat makes you go WOW when dealing with a person or an organisation. Do,

say and write everything with their perspective in mind.

2. Lead generation offer a no charge or heavily discounted sample of your productor service, or a complementary offer, to get people to take it up and try it. Once

they do that youve engaged with them eg: offer a free report on 6 ways to do

something; what you need to know about marketing etc. The offer must be

perceived by your target to have some value and little or no risk.

3. Any written offer must have a response mechanism fax, phone, email, visit awebsite to register/enquire etc, an immediate call to action with incentive to do so

will get the best results.

4. Add emotional value to your clients think about what positive emotions theycould feel from doing business with you. For example: confident, trusting,

relieved, enthusiastic, motivated, excited, nurtured, supported, humoured, etc.

5. Think about how you communicate with customers media coverage such aseditorial, advertising, advertorial, quoted in articles on specialist topics, seminar,

workshop, conference speaking, exclusive preview invitations, regular

newsletters, emails, phone calls, face to face meetings, radio, research reports,

books, articles, etc.

6. Be clear about the message and what outcome you want from the communication.7. By making an offer with a low risk and some/high perceived value, you increase

the potential response rates if you add an incentive for immediate response eg:

limited offer, first 10 to respond receive added bonus etc.

8. Build a database of contacts and use it as the foundation for your marketingactivities and future business development strategies. Use it for regular marketing


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activities including direct mail, email, telemarketing etc. Make sure you collect

email addresses in your database.

9. If you ask clients for a referral, make sure you reward them with something that isspecial and memorable, as well as reward the people to whom theyve referredyou (eg: something for nothing or gift to client, and special service offer to new

prospect).

10.Have a formalised offer and follow up procedure in place for referrals in order tocapitalise on conversions.

11.A referral program generates the best results if it is ongoing and systemised eg:run quarterly or annual occasion based referral promotions (such as Christmas,

Easter, end of financial year promotions or activities.) Make sure your clients

know that you will reward them with something of value to them, for their

referrals to you.

12.You must have a back end to the business that is, a way to retain, develoployalty and grow/generate repeat business from your existing customers. Thats

critical to building your business and your client value. Refer to Chapter 2.

13.Some examples of promotions for clients who refer you to new prospects:a. Christmas gift for referral to clients from a publishing house, research

firm, consultancy which produces reports etc offer to send out a free

subscription as a Christmas gift to the current subscribers referrals. Send

gifts with a personalised Christmas card on behalf of the client and the

company.

b. Closed Door Sale invite priority customers and their guests to specialafter hours showings/shopping at discounted prices and with food/drinks.

14.Identify industry magazines to write articles for, & have your photo/be quoted in:a. General business publications: www.magazines.org.au provides a list of

magazine publishers of Australia, and the publications produced by each

b. Industry associations which distribute their own publications


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c. Distribute press releases via an online service: www.prwebdirect.com15.Understand why your customers buy from you. What keeps them coming back?

When you know that make sure to reiterate that message or continue with that

level of service in all your communication. Know their drivers and clearlycommunicate in all marketing activities for that target market/segment (as

segments may vary).

16.Build a stable of related products/services that your customers would be interestedin and need/want. Focus on core business, but add complementary

products/services need to be high leverage and low maintenance so you dont

need to increase overheads or resources but can increase revenues and profit.

17.Market to the top 20% of your clients on a regular basis new products/services,incentives, special offers, invitations, introductions to other clients, rewards for

doing business with you. Remember to use the form of communication that

specific clients prefer email, call to mobile, message on office voice mail etc.


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Start Your Program!

The following table provides a sample of a few different activities you can either do

yourself, or outsource to a specialist provider. If you work with other small businesses,

these services need not cost you a lot. Get creative and look at providing your services in

exchange for their services, or even payment terms in instalments over a period of time.

Remember to do what youre good at, let other people focus on what they do best,

and if you cant afford them, wait until you can.

Always have an objective or an intended outcome for your marketing, otherwise it will

have no focus and minimal results. Build on this list over time with the specific activitiesthat are appropriate for your clients and prospective clients, and that work best for you!

Marketing Options Objective

Speaking engagements

(Conference, special interest group, radio,

business groups)

Raise your profile in targetmarket

Establish your expertise

Direct marketing Present an offer & call to action Raise awareness of your

product/service

Educate/inform Generate leads

PR Raise profile Create awareness Establish expertise & credibility


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Exhibitions & conferences Establish positioning in market Educate Network identify opportunities Showcase products to captive

target market

Establish credibility if speaking atconference

Generate sales leadsIndustry & business publications submit

articles

Establish credibility & expertisewithin target market

Position yourself as specialist

Raise profile Generate enquiries

Telesales/telemarketing Prospecting for new business Build leads Customer service

Marketing tools

Case studies explains the client problem or need, and your solution Testimonials statements of endorsement from satisfied clients Press releases use them to send to media, or to customers or placed on web site Award entries/winning awards winning awards sets you apart Newsletters printed or electronic; write them yourself or ask for contributions Company profile also a credentials document to establish your credibility Website make it workfor you Brochures try not to change these too often (requires time and $$), but dont let

them date

Video/CD presentations particularly if you are in the creative field

Start marketing now and dont stop!


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The Final Check

This last check is to make sure youre ready to grow the value of your clients and

increase your revenue stream.

Preparation for Client Growth Marketing Yes No

Analysis of client base identification of potentially high

value clients

Analysis of potential value of key clients

Client tiers analysed & appropriate client growth strategies

developed

New products & services developed & priced

Marketing materials developed

Client database developed with all contact details included

Marketing activities decided on for next 6-12 months, &

marketing schedule drawn up activity, detail, who is

responsible, timeframe/date, costs

Key Points:

Focus on evolving your offerings with the needs of your clients (as long as itremains relevant to your core business).

Continue to develop new products and services. Know your clients and focus on growing their value as you deliver value to them. Proactively communicate with your clients on a regular basis Do this for a period of 3-6 months and watch your revenue grow!

Good luck and happy client growth!


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OTHER RESOURCES

Our website has a range of business information and resources, covering business growth,

management and strategy at www.bossgroup.com.au.

Our Resources area has Articles, the BOSSMENTOR Business Newsletter archive,

Business FAQ, and Links to useful sites.

ABOUT BOSS MANAGEMENT GROUP

BOSS Management Group delivers professional strategy, management and mentoring

services to organisations committed to growth and development.

We deliverstrategic advice to help our clients grow, and back that up with structured

business-mentoring programs to keep managers, executives and business owners on

track with their business strategy implementation.

The BOSSMENTOR Mastermind Program is for business owners and directors, the

BOSSMENTOR Team Program is for groups of teams, and managers in the corporate

environment, and BOSSMENTOR Accelerate focuses on Client Growth.

ABOUT THE AUTHOR

Jenny Stilwell is the Managing Director of BOSS Management Group, and has helped

many clients to significantly grow their businesses, and build more successful companies.

Prior to establishing BMG, Jenny was CEO of a public company, held general

management roles within both large and medium sized organisations, and also ran her

own marketing practice in the mid 1990s.

She has mentored several women in careers and in business as her way of 'giving back' to

the business community and to career women in particular.

how to accelerate your client growth

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