Minnesota’s Lee Otto Explains the Importance of Building a Strong Relationship with Clients in Sales
When it comes to maximizing your sales, you might think that it’s only about converting as many potential leads into customers as possible. While there’s obviously a lot of truth to that, you also have to consider that repeat sales account for a large portion of revenue — in fact, they can make up close to half of your total revenue, especially if you run an eCommerce business.
This is why taking the time to build business relationships with customers is important, says Lee Otto, a top-performing remote sales leader based in Alexandria, Minnesota, that helps clients succeed through Hibu, a digital marketing company. While he helps business owners attain more leads online, he also knows the value of keeping existing customers as an expert in interpersonal communication and retention. He shares a few selling points to consider.
Getting Word of Mouth Advertising
You can spend a significant portion of your budget on advertising and marketing and that’s a worthy strategy as long as you’re reaching the right audience and seeing results, says Lee Otto.
However, when you put the time into making sure a customer is happy with your products or services, they will talk about it and likely recommend you to friends and family. That’s free advertising that you can’t hang a price tag on.
At the same time, treating the customer like a commodity can create negative word of mouth, which can be damaging to your reputation.
Lee Otto on Edging Out Competitors
Unless you’re a very niche operation, chances are you sell similar products and services as someone else in the area. While price is a factor when people are choosing which company to buy from, your company is not the only one.
One of the main reasons people stop buying from you is actually due to poor customer relations, explains Lee Otto. That’s why you should be worrying more about creating a positive experience for them rather than underselling your competition by a few dollars.
Keeping Customers is More Cost Efficient Than Getting New Ones
If you’re pouring money into getting new customers all the time, you’re probably doing it wrong, says Lee Otto. While creating new sales leads is always important, it makes sense to protect your marketing investments by ensuring your new customers are happy, so they return.
By retaining customers, you will be able to build a stronger company and brand that rewards loyalty. Plus, as an added bonus, by focusing on customer retention, you will probably garner more positive reviews from these customers which will in turn lead to more business.