They are…
How do I get more customers?
How do I get them to spend more money?
How do I get them to keep buying from me?
If you find sufficient answers to all of them, you win. Plain and simple.
Ok, not simple.
There used to be obvious answers to these questions. Run some ads. Put together a package deal. Give them a loyalty discount card. Easy. But technology has created created unprecedented lower barriers to entry, increasing competition and consumer selection. It’s also exponentially increased the media communications we’re exposed to every day, making each impression less and less cognitively significant.
In other words, it’s a lot harder to get people to pay attention to your product and even harder to get them to buy it because there are so many more options out there.
So what can we do about it?
We need to change our thinking and embrace the the challenge.
Customer acquisition
OLD THINKING: The obvious solution to this is advertising, whether it’s through traditional mass media or through online mediums. That is generally the most efficient way of getting your message across to as many of your potential customers as possible.
NEW THINKING: A different way of approaching it is rather than buying impressions for a campaign, seek to increase the amount of stories that can be told about your brand. Now, I don’t mean just PR stories. I mean remarkable things that people find so interesting that they’d want to tell other people about it. Look for as many ways as possible to tell your story. It could be a “surprise and delight” that shows customers how much you appreciate them. It could be a behind-the-scenes video of what goes into making your product or delivering your service. Don’t feel you need to be stuck into just having a smiling happy people saying how great your product is. Do things that are real and authentic.
Increasing spend per customer
OLD THINKING: Up-selling is the key. Get them in with a low to moderate priced product and then show them a more premium version that has significantly more benefits. Create package deals that compel them to buy not just one product, but all the accessories as well.
NEW THINKING: Those ideas are still very valid. But it’s no longer enough. Create unique experiences that can’t help but stick in people’s minds. Provide over-the-top customer service that makes them buy more from you because they feel indebted to you. Use the influence technique of “reciprocity” to over-deliver on the smallest offering, compelling people buy more.
Building loyalty
OLD THINKING: Loyalty programs are the answer to this. A punch card that brings them back to get a free one after they buy 10. A points program to choose your brand over another because they already accumulated so many points with you.
NEW THINKING: A colleague once told me, “we got a loyalty program, it’s called great customer service that keeps them coming back.” I like that sentiment. But I’d go even further. People will continue to come back because they believe in what you do. Apple. Whole Foods. Zappos. Have unbelievable brand loyalty amongst their customers. And it’s because people aren’t just buying their products. They’re buying what they stand for. Delivering a quality product at a reasonable price is a reliable means to drive sales. But being a symbol for people to believe in can drive an irresistible devotion.