Two concepts that are increasingly gaining attention from businesses were discussed by American Printer, a resource for professionals interested in business trends, technical innovations, and strategies for raising productivity and profitability. These two concepts are LTV (Life Time Value) and CRM (Customer Relationship Management).
The main reason for the increased interest is that companies commonly experience a 20-50% revenue loss annually due to customer defections. Before, companies tried to remedy this by directing their efforts towards gaining more new clients, but this turned out to be just an attempt to outrun the problem instead of facing it.
For businesses that are just starting up, most of the efforts would be wisely relegated to acquisition of new customers, since there is little to no client base yet. However, as the lifetime of a venture lengthens, the strategy must move focus towards client retention. This is because client retention gives better return on investment (ROI) and is cheaper compared to client acquisition. That’s not to say that acquisition must be dropped completely, just that a change in focus is needed.
More and more businesses are realizing this, which is why CRM is gaining significance. This concept involves a set of strategies with the objective of strengthening the relationships of a business with existing clients. While many strategies today involve the use of digital means, like email and social media, incorporating physical means can still be effective, perhaps even more so at certain times.
One of the physical ways to engage clients is through greeting cards. For example, whenever clients purchase your products or services, you can send a customized “Thank You for Your Business” cards. From the client’s perspective, this has a more human touch since it doesn’t feel automated, as is the case with, say, an email.
Through using customized corporate “Thank You” cards, you increase the presence of your business in the mind of the client without turning them off with an obvious sales pitch. You can also send other types of cards: greet clients on their birthdays or during other special occasions (Christmas and the like), or congratulate them when you hear of any milestones or accomplishments. These seemingly simple ways can go a long way towards building strong relationships with your client base.
When you want corporate greeting cards, you can contact specialist providers like Client Retention. Such firms have customized programs that can cater specifically to your business to help retain clients.
(Source: Customer Retention Efforts and LTV, American Printer, Feb. 12, 2015)