How To Recognise Your Best Clients and Why You Must Be Selective About Who You Do Business With
You've undoubtedly been in business and have seen some real results. Your customers are happy, and you're making money. While there is plenty to celebrate, it's crucial to take stock of who your best clients are. That way, you can focus your attention on them and build an even stronger relationship so they stay loyal for longer.
Below are some of the ways to recognise your best clients.
What do they value?
Understanding what your clients focus on encourages loyalty and brings in repeat business.
What do YOUR clients value? You may have already researched what they value in general- for example, if your client is an avid outdoorsman who loves fishing, he'll appreciate having fishing gear delivered right to his door. But what about specific things?
Here's a list of questions for you:
What do my best clients like about our work?
How might we improve upon it?
What do they like about us as a business (or at least as someone they trust enough with their money)?
How else could we demonstrate our expertise so that people know how valuable we are without meeting them?
How much do they spend with you?
The second thing to consider is how much they spend with you. This is more important than how much they pay because it reflects the value they get from your services.
If a customer spends more than average, then it's likely that their experience with you has been good enough that they're willing to spend more money on each transaction. In other words: if someone spends $100 per month on your product or service and another person spends $50 per month on yours. Still, if both of them are happy with what they receive from using your product/service and are equally likely to recommend it, then there's no reason to be charged more than the other (unless other factors are involved).
This information can also help inform your pricing strategy as a whole; for example, if most people only buy once every six months but some buy monthly subscriptions instead, then maybe giving customers discounts based on frequency will encourage them not only to stick around longer but also save money overall!
What's the relationship like?
How much time do they spend with you? Are they a one-off client who only comes in for an hour, or is their business a regular part of your day?
What kind of relationship do you have? Is it more professional than personal, or are there deeper connections being formed here (whether through friendship or romance)?
Do they refer other clients to you? If so, that's a good sign! Referrals are often the best form of advertising because people trust recommendations from friends and family more than anything else. If someone refers another person their way even though they don't have any obligation to do so, then that's definitely something worth noting.
How long have they been a customer?
You need to know how long your customers have been with you. The longer they've been a customer, the more valuable their relationship will likely be.
Longer relationships are more likely to be profitable. If a client has had a good experience with your business and trusts you as an industry expert, they will most likely purchase from you again without much prompting or persuasion.
Longer relationships are more mutually beneficial - if two parties have built up trust over time and developed an understanding of each other's needs and expectations, both parties should benefit from this knowledge when making decisions about future purchases or projects.
Longer relationships are more long-term - because they've established trust between themselves by working together successfully over time (and possibly through multiple projects), both sides will want their partnership to continue indefinitely rather than just until one side decides it isn't working anymore!
Not all customers are good customers.
The best clients value what we do and use our services frequently and in many ways.
They're willing to pay a premium for our services, they are loyal and will keep coming back, and they trust us to do a good job, BUT do you actually enjoy working with these customers?
The statement may be self-evident., but if you enjoy working with someone, the process is much easier, and the results are often much better. It would be best if you were excited about who you work with. It will make your business unsustainable if it doesn't excite you. If you could choose to work with one demographic every day, who would that be? What would you help them do, and what value could you deliver?
Remember, it's not enough to identify your best customers - you also need to take action on that knowledge! Remember: they've been there for you through thick and thin; now's the time for some loyalty for them too. If any opportunities within your business or organisation could make life easier for those loyal customers, then do it.
