Developing Your Core Clients

Do you rely on repeat business from current and past clients? If so, have you fully developed your core clients full potential?

Instead of focusing on your “once in awhile” clients, you should focus on the strong base of clients  -- the clients that are and will continue to be long-term clients. Research shows that in most business to business companies that 20% of clients produce 80% of profits.

Follow this five-step approach to help your company develop core clients.

1. Identify the most profitable clients.
2. Learn each client’s needs and wants.
3. Analyze the offerings they need and use.
4. Focus marketing efforts on the profitable client types.
5. Monitor satisfaction levels.

Identify the Most Profitable Clients

Go in to your accounting records and look at the revenues each client generates, what it costs to sell to them and to service them.  This will help you discover which clients are profitable and which ones are unprofitable. Unprofitable clients are those clients that cost you more to market, attract and satisfy.

Learn Their Wants and Needs

Once you have decided on your core group of clients that you want to focus on, the best approach to find out your clients wants and needs is to ask them. Some ways to gather this information is through written surveys, focus groups, face-to-face visits and in-depth interviews.

Analyze the Offerings They Need and Use

Do your products and/or services meet the needs of your customers? Are there some services that your clients do not utilize? Are there some services that you could begin offering to meet their needs better?

Focus Marketing on the Profitable Client Type

The feedback you receive from your profitable clients should be the basis of your marketing efforts.

Monitor Satisfaction Levels Religiously

To keep ahead of the game, you need to understand your clients future needs, what will they want to do or need in the future. You can do this a few ways, (1) by asking the right questions and listening during your every day interactions and meetings with your clients, or (2) by using focus groups or user groups for feedback on what upcoming trends your customers are paying attention to or interested in.

Source: Selling in Deep Carpet: Developing Core Clients by Clare G. Ross