Why Good Data Is Worth Its Weight In Gold 

How to sell more and increase client retention by improving your database.

Why is it important to keep good data?

Establishing and maintaining a customer database makes it much easier for you to convert more leads into customers, maximise your customer retention and have customers do business with you more often. In other words, the more often you communicate with your prospects, the more they will buy from you. The more they buy, the higher your profits will be.

The importance of keeping good data is also paramount with regards to your current customers. The more you communicate with your customers, the more they’ll purchase from you, the longer they’ll stay with you and the higher your profits will be.

It makes sense to get existing customers to purchase from you again and again, as many times as possible. But without a customer database in place, this task becomes literally impossible.

Below you’ll find some strategies for increasing sales and retention rates by keeping good data on clients.

Get to know your customer

Retaining customers largely depends on how well you are able to satisfy their needs.

To do this, you must thoroughly understand your clientele, inside and out. When you know your customer’s background, their lifestyle (work/play), taste, preferences and general attitude, you’ll be able to define new opportunities to market to them and drive revenue growth.

By keeping good, accurate data on your customers, you can categorise them into different groups and undertake customised marketing strategies for products or services that will satisfy their specific needs. Value for money may be more important to some customers, while the latest fashion and trends may be top priority to another – it’s your job as a business owner to get to the bottom of these preferences and offer solutions that specifically address a customer’s wants and needs.

Go beyond names and addresses

A questionnaire or contact card should be comprised of more than the usual name, address, phone, date of birth and medical history fields. By only taking down this level of detail from a client, you’re missing an incredibly valuable opportunity to sell to them in a holistic way that will be of huge benefit to their lifestyle. How can you market to an address? You can’t, because an address tells you nothing about the person purchasing from you. You can, however, market to people who regularly exercise outdoors, or those who love to keep up with the latest fashions.

To retain a customer, you have to provide for their needs not just in the moment, but also in the future. You can do this by extending your current patient questionnaire to include categories/questions that ‘go beyond’ standard forms. It’s vital to look at a customer’s whole lifestyle to see where your products and services can provide a solution for them.

By obtaining this kind of information and accurately recording it in your CRM system, you’ll be able to market to your database based on lifestyle needs, for e.g. if you are a pharmacy, you might send customers who motorbike, sail, ski, surf and swim, information and offers on your latest range of products with high levels of UV protection. As new technology and products come to market, you’ll be armed with the information you need to match clients to products in a way that your competitors will struggle to keep up with.

Create a ‘feel good factor’

Everyone likes to feel special ‐ they want to know that they’re not just another number or a vague entity – so, whenever you are able to go over and above what a client expects, they’ll not only remember it, they’ll tell their friends.

Just as knowing about a client’s lifestyle is vital for up selling, cross selling and retention, but remembering other important details about your customer goes a long way towards creating a ‘feel good factor’ that will dramatically improve your retention rate.

This kind of information is not necessarily something you can ask on a client questionnaire, but is rather the type of information that might come up in conversation. Once divulged, it’s incredibly valuable data to record on a customer’s client card in your CRM program.

For example, let’s say you run a health spa and a client mentions their husband has very dry skin, hence they’ve tried just about every product on the market. It’s a great idea to not only note your client has a partner, but also their particular problem, in case you are able to help with it in future. Don’t rely on your memory, while you may think you’ll remember in the moment, weeks or even months later, it’s unlikely you’ll be able to remember all the extra details of every customer you’ve come in contact with.

The key to ramping up your retention rate

Offering a ‘wow’ customer service experience is 9 times out of 10 the number one thing that will help you retain your clients ‐ often for life. If you can demonstrate to customers that you care about them by getting to know them personally while responding to their needs professionally (all of which hinges upon your ability to keep good data) you’ll dramatically increase your retention rates.

If you’d like more ideas on how you can create a ‘wow’ customer experience for your clients, call us now on 1300 855 109 and ask. We’ve got tons of strategies and ideas you can implement right now that can dramatically improve your customers’ experience and have them buy from you more often.