The 80/20 Rule And Your Marketing
Adam Fox • 14 July 2021
I got a thank you card from a client today and it got me thinking. ๐ค
Many of you will have heard of the Pareto Principle or as it’s more commonly known, the 80/20 Rule ๐ค
In most organisations, around 80% of the revenue comes from just 20% of the clients. ๐ค
Whilst most organisations focus primarily on getting new business, their existing customers quickly get forgotten. ๐คท๐ปโ๏ธ
If you’re anything like me, you get really frustrated at insurance companies and TV subscription services that are constantly offering great deals to their new customers, while your premiums and bills slowly creep up year after year after year. ๐คฌ๐คฏ
How many times have you gone off on a rant about how loyal you have been to them and how unfair it is that they treat you in this way. (I know have more times than I care to remember) ๐คช
Our existing customers are the easiest ones to encourage to buy from us again. They already have an emotional attachment to us. (Providing they received a good service last time they bought) ๐ค
So why do we neglect them when it comes to our marketing? ๐
Keeping in touch is easy. There are loads of ways we can do this. ๐ฏ
Newsletters, offers exclusively for existing customers, even a simple card for a special occasion like easter, Christmas, international joke day……๐คฃ๐คฃ
I have a client who does this to great effect. The activity they get on social media every time a card or a small gift goes out is phenomenal and it takes such little effort. ๐
I’m not saying forget about marketing for new customers.
New customers are essential to growing any business, but, if you want a quick win, start with looking after your existing and past customers and watch your sales grow. ๐ท๐ฐ๐ท๐ฐ
If you want some help developing some strategies guaranteed to boost your sales and improve your customer retention, give me a shout and let’s take your business to the next level. ๐ช
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