Your cheapest customers are the ones you already have

Most small business marketing is aimed at strangers. Yet the people most likely to buy from you next month are the ones who bought this month. Harvard Business Review notes that, depending on the study, winning a new customer costs five to 25 times more than keeping one, and it points to Bain and Company research linking a 5% rise in retention to a 25% to 95% rise in profits.

You do not need software to start. Here are twelve ideas, from free to cheap.

Before they leave

  1. Rebook on the spot. Salons, clinics and cleaners: offer the next appointment before the customer walks out or the job ends.
  2. Ask permission to stay in touch. "Can I text you a reminder when you are due?" Most people say yes.
  3. Give a reason to come back. A card for the new seasonal menu, or a note about the next class.
  4. Ask for a review and a referral. The happiest moment is the right moment. Keep it honest and without incentives for reviews.

In the weeks after

  1. Send a thank you. A short, personal message the next day. No sales pitch.
  2. Remind at the right interval. Six weeks for a haircut, six months for a dental cleaning, a year for a furnace check.
  3. Share something useful. Aftercare tips, a recipe, a maintenance checklist. Useful messages get opened.
  4. Celebrate dates. Birthdays and anniversaries of the first visit, if customers chose to share them.

Over the year

  1. A simple loyalty card. Paper still works. Tenth coffee free, fifth wash half price.
  2. A regulars only preview. First look at a new product or early booking for holiday slots.
  3. Win back quietly. A friendly "we miss you" message to customers who have not returned in a while.
  4. Ask why people stop coming. A one question survey tells you what to fix.

When you send marketing emails or texts, Canada's anti spam law (CASL) generally requires consent, clear identification of who you are and an easy way to unsubscribe. Ask permission, keep a note of it, and always include an unsubscribe option. When in doubt, check the guidance from the Canadian government or ask a professional.

Start with one

Pick one idea from each section and run them for two months. Count how many customers return. Retention is quiet work, but it compounds.

Sources