Sales people are constantly looking for new prospects. They spend countless hours and huge amounts of money searching for new leads and lists of customers they feel may result in more business.
There is an entire industry devoted to the marketing of every type of contact list you can imagine. Many of these are resold to other sales organizations who are all hitting on the same people. Often, these lists are old and the information is not valid or not up to date. Occasionally, you may get lucky and find the persons you want to sell, but you have wasted valuable time and resources finding them.
When you need sales to make your quota, or you need new business to replace other customers who have moved on, the best sources are referrals from your existing clients and people you know. To keep your account in the black, you must know how to prospect. The value of personal relationships is unlimited when you recognize how important they are and how to ask them to help you increase your business.
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According to Entrepreneur, you can create an army to help you increase your sales to the next level. How do you do that? You develop relationships with people who don't just understand your particular expertise, product or service, but who are excited and buzzing about what you do. You stay connected with them and give them value, and they'll touch other people who can benefit your business.
Powerful relationships don't just happen from one-time meetings at networking events – you don't need another pocketful of random business cards to clutter your desk. What you need is a plan to make those connections grow and work for you. And it's not as hard as you think. Here are five essential tactics:
Build your network – it's your sales lifeline. Your network includes business colleagues, professional acquaintances, prospective and existing customers, partners, suppliers, contractors and association members, as well as family, friends and people you meet at school, church and in your community. Contacts are potential customers waiting for you to connect with their needs. How do you turn networks of contacts into customers? Not by hoping they'll remember meeting you six months ago at that networking event. Networking is a long-term investment. Do it right by adding value to the relationship, and that contact you just made can really pay off. Communicate like your business's life depends on it.
Communication is a contact sport, so do it early and often. Relationships have a short shelf life. No matter how charming, enthusiastic or persuasive you are, no one will likely remember you from a business card or a one-time meeting.
One of the biggest mistakes people make is that they come home from networking events and fail to follow up. Make the connection immediately. Send a "nice to meet you" e-mail or let these new contacts know you've added them to your newsletter list and then send them the latest copy. Immediately reinforce who you are, what you do and the connection you've made. You rarely meet people at the exact moment when they need what you offer. When they're ready, will they think of you? Only if you stay on their minds. It's easier to keep a connection warm than to warm it up again once the trail goes cold. So take the time to turn your network of connections into educated customers.
E-mail marketing keeps relationships strong on a shoestring budget. Build your reputation as an expert by giving away some free insight. You have interesting things to say!
An easy way to communicate is with a brief e-newsletter that shows prospects why they should buy from you. For just pennies per customer, you can distribute an e-mail newsletter that includes tips, advice and short items that entice consumers and leave them wanting more. E-mail marketing is a cost-effective and easy way to stay on customers' minds, build their confidence in your expertise and retain them. And it's viral: Contacts and customers who find what you do interesting or valuable will forward your e-mail message or newsletter to other people, just like word-of-mouth marketing.
Reward loyal customers, and they'll reward you. According to global management consulting firm Bain and Co., a 5 percent increase in retention yields profit increases of 25 to 100 percent. And on average, repeat customers spend 67 percent more than new customers. So your most profitable customers are repeat customers. Are you doing enough to encourage them to work with you again?
Stay in touch, and give them something of value in exchange for their time, attention and business. It doesn't need to be too much; a coupon, notice of a special event, helpful insights and advice, or news they can use are all effective. Just remember: If you don't keep in touch with your customers, your competitors will.
Loyal customers are your best salespeople. So spend the time to build your network and do the follow-up. Today there are cost effective tools, like e-mail marketing, that make this easy. You can e-mail a simple newsletter, an offer or an update message of interest to your network (make sure it's of interest to them, not just to you). Then they'll remember you and what you do and deliver value back to you with referrals. They'll hear about opportunities you'll never hear about.
The only way they can say, "Wow, I met somebody who's really good at XYZ. You should give her a call," is if they remember you. Then your customers become your sales force.
When the call goes out from you to your customers for help, if you have developed those relationships the right way, your sales efforts will be rewarded. Finding the right path to increase your business volume can be difficult and sometimes tricky. Going along with business as usual won't cut it. You need to work at maintaining those relationships who are able and willing to work for you, and then make sure you tell them how great they are to have provided a way to help you be successful. Thank them profusely, and reward them for helping you. Customers who are appreciated bring more customers who will do the same.
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