HOW TO INCREASE YOUR REVENUE WITH LTV? THE MOST EFFECTIVE TOOL! RFM DATA ANALYSIS MODEL

This will be a series of articles, subscribe and set notifications about them so as not to miss a single block from the general whole, otherwise, you will not understand the essence, because each follows from the previous one.

This Material can change your idea of customers and their value, I will give you a list of specific actions - how to increase the company's profits without additional customers by closing typical problems!

Many people think this is not possible - I will prove the opposite, this is really marketing as taught and practiced! Social networks, sites, and traffic, this is just a small part of it, which is only responsible for attracting!

Friends, if you want to really benefit from this material, and not just postpone and forget later - a big request, stop for a second, think, the material needs to be digested and think about how to implement it in your situation, this is real at any stage of the business. And immediately share with employees and partners in order to really implement right away, and not just say: oh cool, useful, write down the task and never do it!

If you understand in the process that something is responding to you and you have points of growth - write to me, I will help you solve all your problems or just do better than it was :)

I also ask - do not be silent, comment on my work! Enjoy reading!

One of the 50 models we use in our agency is the Recency, Frequency, Monetary?(RFM) model.?

You draw this 3D model and divide the customers into 3 segments in each column. In total, we get 3 to the third power = 27 different segments.

WHICH ONES, SPECIFICALLY?

Please, read it carefully and try to understand each one, why so, check out the diagram and put your minds together!

WHAT TO DO WITH THEM?

SECTOR BEST CLIENTS

Best clients - make it so that there are more of them, understand what they are coming for, make surveys, focus on keeping them! The biggest mistake of business owners - as soon as they get big clients, they run to celebrate, relax and think this is a given, and these clients also develop and are always in search of the most favorable conditions, today it is you, tomorrow your competitors!

Do not defocus on everyone, you have to devote the most time to your current clients! Do not give in to greed, dreams that you are now reinvesting profits from these large clients, advertise and many of the same will fall - this is hope for luck. The real business considers risks - no luck.

They remain for a reason and you need to focus on them because they give the biggest money to your organization, this is logical! Remember the 80/20 Pareto rule ?? Don't be stingy! Create special non-monetary loyalty programs for them, shoot special materials for them, do useful things for them that few people do and then they will stay with you!

SECTOR NORMAL CLIENTS

Normal Clients - you can say about them almost the same as about the best, you should also work on their retention as with the best clients, but what else can you do with them?

Train and Grow! To make them the best, to do this, come up with a YouTube channel especially for them, email chains, books, and checklists create an information environment around you that will help their business, give them contractors and advise good contractors, good financial organizations that will help their business grow, provided that you have checked them and really know that they are good!

These are people who are already loyal and ready to buy upsells, cross-sales, bundle, flash, they already see your value, they already like working with you, loyalty to your brand is formed, they would be glad to buy something else, you are not offering, but competitors offer, so they buy from them, not from you! Expand the product matrix, think and arrange polls, what else they buy related in your industry, which you do not offer them yet. They would be happy, but you may not even ask!

WHAT TO SELL? TIP 100%

Your services, if you run out of yours - come up with new ones, there is no capability - it doesn't matter! Sell good quality service/goods of other businesses! If you work in your industry and you have contacts, why not monetize them and do Cross marketing!

You just invite them to bring your clients, and they bring theirs to you. Here are 2 more types of profit. And the third bonus is that you sell the services of some clients to others among yourself and get from this a% of the profit or a flat rate, a whole separate business! WHY NOT??

If there are no contacts, start building up, affiliate marketing here is a separate business, which should also be paid attention to and in the future even hire separate employees for this!

Here it is important not to rush into all seriousness, I know that there will be people who will rush to sell all affiliate networks to their customers, it is not worth it! You don't want to lose everyone at once, do you? Push selling something that does not work here, in a friendly way, gives them some small benefit that is not difficult to do.

Say that you are giving a gift as a loyal customer, and then as a friend ask: We are thinking with the board of directors, what else would we offer our customers, what would they really like to order from us, is there something that you take from elsewhere, but if we started to offer, would we take everything from us in one place and receive additional benefits from this?

You will be surprised at the results! If you want professionals to do their job - text me, will help to integrate all is needed, including RFM.

SECTOR NEW CLIENTS

Everything is not easy here, but the task is to segment them and learn how to predict their value using competent surveys during the sales script and in the process of work, in order to lead them into the 2 previous segments. You need to understand who they are, what tasks are driving them when they started working in order to start increasing profits from them. These are very important questions, simply because if you do not do exactly what they expect, then even if the service is rendered very well, the client will leave quickly and it will not be possible to work with them further and turn them into cool clients.

It is important to segment all new ones quickly into categories A, B, C, according to their real task, and to serve such customers clearly according to these criteria in order of priority. Not everyone in a row, here's a typical example for you: the best customers who are easy to work with and bring in the most money are standing in line, customers who order little, take everybody's mind, spend time actively using your resources. So many are losing customers.

Clients A in the first place, they bring the most money and it's easy with them. B - maybe not easy, but they bring money, or a little money, but simply and very quickly. C - 2 categories: do not waste time, order little; waste time, order little. Serve the first part after A, B, and the last one - Those who spend time and order little or nothing - just do not serve or calculate risks, be very careful with them, because they can leave bad reviews, look at the situation, sometimes you can not service to spare yourself suffering, and sometimes if you don't serve, you will get a bad review, and it will cost $, so sometimes you have to work with them.

SECTOR SLEEPING CLIENTS

These are already people who have trusted you, but for some reason, they decided not to buy anymore, for what reasons it may be:

-Gone to direct or indirect competitors (why and how I will tell below)

-No need for this specific service or product

-Bad customer experience

The main question you should be asking yourself now is why they left and how to get them back!

Let's take a closer look at why and what to do about it. Firstly, you need to do a survey and not make these decisions simply by how you see or think, it is important to ask the client before this why he left, where, and what in the end.

WHY DO CLIENTS GO TO COMPETITORS?

Sometimes they go to direct or indirect competitors, find out specifically what is in your case, because the person who sells flowers competes not only with neighbors, the whole world but also with the entire gift market in the world, at least in this price segment, which is not always the case :)

- They offer the best conditions - it can be a loyalty program, gamification, access to some communities of such people, useful information in this area, or some unshakable facts such as prices or terms, etc.

What to do about it? - to do a competitive analysis - to see what they are doing, what we are not doing, to implement only what is economically viable and what customers really pay attention to, not to go berserk.

-More trust

Here, obviously, you need to work on work cases, testimonials, work on the brand, recommendations, the portfolio, and the trust factor in general, think about working with influencers when everything is ready. See why competitors are trusted more.

-Sometimes a person just likes more (acquaintances)

Here, only work on a personal brand can help, develop charisma, make yourself and your content more interesting, speak more at public events, hold webinars.

WHAT TO DO IF CUSTOMERS LOST THE NEED IN YOUR COMPANY?

It often happens that when a client orders one service and nothing else is sold to him, no other things are offered, especially if your type of business is associated with a narrow range of services.

This also happens when your product is bought as a gift and then it is better to try to influence not this person, and the second time the touches will go with the person who received the gift.

Also, the problem may be that the need has changed its form and you need to develop new products into which it has been transformed, a logical continuation of the first.

Often the client simply does not understand why he needs to use your product or service - you need to train him, create materials (access to which can sometimes also be sold), after looking at which a new need will arise for him. So often the customer's path is built: a tripwire is sold, but the main product is not bought, or a profit maximizer, for example, was misunderstood why.

Smart people make a line of products so that each one evokes the need of the next.

WHAT TO DO IF YOU HAVE A BAD CUSTOMER EXPERIENCE?

2 options:

1) Work on the quality of performance of a service or product, it can be materials, employees, equipment, and much more. If this is the reason and customers are complaining about this, it would still not be bad to work out a bad reputation, if a lot of people already know this and start cleaning up their name using SERM, but if it's not about quality, then reason number 2

2) The client's expectations do not coincide with reality, it is necessary to work on packaging and positioning. We need to explain to the client how we define ourselves in order to filter out unnecessary clients and attract the right ones.

Even if you do not have the packaging, the client already thinks and knows about what your brand is, even if it does not exist yet, the client already has it. If you do not control it, clients will control it, and this does not always end in a positive way.

Have you ever thought that you might be perceived as a cheap brand, or maybe expensive? Maybe the client will think that you have everything, but in fact, one service, or suddenly the client expects a quick service or delivery, but in fact with delays. This does not happen by accident, it needs to be managed, it is a very serious issue.

How do you get them all back? See the reason, redo the proposal, repackage and come up with a new one, that's all! You can call, write an email, record a video, or together, as you like, the main thing is to make sure that they understand what you have changed and why now it is profitable to work with you again. After all, these are people who have already paid you! A certain level of trust already exists.

If you find problems while reading an article - this is normal, write to us - we will help you do it professionally, we have 15 years of experience in this - write and let's see what you can do!

DEPARTED CLIENTS SECTOR

These are people who made their last purchase a long time ago and completely forgot about you. Here it is worth thinking about how to go to them, what correct updates to make in order to please these people, perhaps it is worth creating a separate product to return them. The most important thing is to call them and ask them what they are doing now, why they left, and what would help them return, what conditions they are looking for, etc. Everything is the same as with sleeping clients, but you need to surprise them with something because if they forgot or went to competitors for the same reason, they can return to objectively favorable conditions and good emotions from your company in the same way.

Hope you have finished reading this article, hope you will integrate all things, even from above, but do it tomorrow, and get results in that months, text me if it helped!

WHAT LEGION DOES?

We are 10+ years of experience in the marketing, luxary, financial sector, B2B, Software, field team, also we are software development team you can cooperate with us! We do business, marketing development! We work with B2B and B2C!

E-commerce, retail, or just connections and friends, does not matter!

We create a big network. We bring each other customers to the partner program. Would really love if you are opened to such a type of cooperation. Text me to know more about the conditions!