Do you know the average lifetime value of your customers?
If you know the Lifetime Value of a customer, you will be motivated to come up with an exciting offer to build your customer base. It is the Marketing Edge that can help your business grow - and you will enjoy skyrocketing profits.
No matter how large or small your business, no matter what product or service you sell, you must first calculate the Lifetime Value of your customer. Once you know it, you can decide exactly what you can afford to spend to bring in a new customer - and the best way to go about it.
Creative ideas to market your business for pennies!
Every business owner should spend a few minutes every day thinking of ways to bring in a new customer or client. You can kick start your marketing for pennies.
- Establish partnerships with other businesses! Preferably, with businesses that have high traffic. A double-sided flyer can increase the number of prospects for your business. Your business will be featured on one side, your partnering business on the other. Make them available for each other's customers to pick up.
- Change your reader board every couple of days. Use humor to grab attention.
- Ask for referrals from happy customers. Offer incentives! Send out thank you cards.
- Sampling: Give samples of your product to potential customers. Block out a time each week to go after new business. (Brochures work too!)
- Offer prizes for neighboring businesses - grand openings, anniversaries etc.
- Hand out bounce back coupons to get customers back sooner. Provide coupons to partnering business.
- Get involved with the community! Fundraisers, church, service clubs, schools. You do not have to be a big cash contributor to make an impact. What goes around comes around. You'll be rewarded. You can help the fundraiser by sending out Public Service Announcements to the media. It will help brand your business's name with the shakers and movers in the community.
- Flyer delivery to neighborhoods or neighboring businesses. Scout groups deliver? If you ask, people will come! (Partner with a neighboring business!?)
- Brainstorm ideas on growing your business. Get a group of business people together to join your Advisory Council. You buy them breakfast and everybody brainstorms ideas. It could be a rotating breakfast where each month or week you brainstorm a different person's business.
- Provide product or services to fundraising auctions. It is important to provide quality information on each item. Each bidder at the auction could be a potential customer. They are bidding because they are interested! Your cost is less than the selling price and you can be selective on what you provide for the auction.
The idea of this exercise is to get you thinking about inexpensive ways to grow your business. In this market, we have to be more creative than we ever have in the past. Many people are not in a business category that is growing. They need to gain market share to exceed their goals.