“It is easier to sell to existing clients than to find new ones.”
You've heard this phrase a lot. You've probably heard it a “million” times. (Not to mention the zillion times someone hyperbolises that number!) Sometimes you will be given statistics. As expected, these numbers are all over the map: “It costs 6 times more to land a new customer than to retain existing ones,” or “profits from retaining existing customers are 70% higher than new ones!”
Of course, as we know, 63.7% of statistics are made up on the spot!
All kidding aside, almost everyone who has been in business for more than 5 minutes knows that there is some basic truth to these statements. To gain a new customer typically requires a lot of cold-calling, and then calling back, showing up at their door, and more. When you have an existing customer, they already know you and what you can provide. If you've done a decent job, they are more likely to call you back, or respond when you check in on them. We know this intuitively because it's how we operate ourselves.
How Do I Sell to Existing Customers?
There is one question that is answered less often: How do you engage with existing clients to maximise your results?
There are typically two ways that most businesses approach this:
- Passive: Simply wait for the client to come back to give them a new project.
- Proactive: Work directly with the client to determine their needs. This approach typically involves identifying “pain points” or areas where the client has a direct need, and then working to come up with solutions for these problems.
It doesn't take much insight to recognise that the latter approach is likely to work better. Of course many clients don't like to be oversold (almost all of us become irritated by that salesperson who just won't stop calling every day), but being in regular contact, and understanding the client's needs is an extremely important part of the process.
If you are taking (as you should) the proactive approach, you will notice that a common issue with clients is that they cannot currently budget for your suggestions. They like your ideas, they know they need the work, but they lack the finances to pull the trigger.
How do you help them along? Show them that they can afford it. If you offer funding, you have the ability to make a quick calculation and show them how much capacity they have, and show them the ROI that they could potentially earn from this investment. This is effective as you have already done much of the work for the client. You have demonstrated to them that they not only have money available to them, but also how spending it would result in profits that would outstrip any costs. Even if the ROI is modest, it is still a win-win situation for the client.
“Okay, great,” you say. “This will help both us and the client. How do I do it?”
This is where InFund comes in to play.
With InFund's White Label Funding Solution, you are given a personalised portal where you have the ability to view all of your clients:
- Track information about what credit is available to each client,
- How much credit they have used
- How much credit is remaining.
- How much of this balance has been paid off.
When you meet with your client, you will have at your fingertips a solution that allows you to instantly see what credit capacity they have.
As an agency, you already know you can make the client an extra 500% ROI in just a few months, but your client is worried about liquidity. With the White Label Funding Solution, you have the tools in your hands to show the client they can make the move immediately.
InFund's White Label Funding solution puts all of the control into your hands. It’s also branded as your own, so as to retain your direct relationship with your client.
With these tools, you can bring opportunities to the table to help your clients understand how and why working with you will make it possible to reach new heights that they had previously thought unattainable.