Power of Repeat and Referral Customers

I recently did a blog post, Turning your Marketing Cycle into a Kanban that created a basic Value Stream Map in a beginning Marketing Kanban discussion. I defined the Exit point of the Kanban as the purchase of the service or product. I purposely left out the Repeat and Referral Customers to simplify the explanation. Many people may not end their marketing strategies and tactics at this point but most do stop their budgeting at this point. Let me tell you why RE part of marketing deserves the money.

RE-peat customers: You spend less money finding them and marketing to them. You also know they already likely to buy your product and services and so the chances are they will spend more money with you.

RE-ferral Prospects: A typical referral customer is already somewhat qualified and usually enters your Value Stream further down the path than at the beginning. They also have a tendency to spend more money with you at the beginning since they have been referred.

RE-Ignite Customers/Prospects: These are former customers or maybe even qualified prospects that have been dormant for some time that you bring back to life. They may have decided it was not the time, or found another solution but they still may be a viable candidate.

A bonus RE is Re-Purpose: When you create a marketing piece, a certain call to action, a new marketing tactic, etc. that works well. Re-use (not meant to be a play on words) it till you wear it out. Remember, the old saying that when a particular advertisement starts to seem old to you is when your prospects are just starting to see it. In your marketing you now have many different ways to reach a customer. So use the good material in as many different ways as possible: Blogs, Articles, PR, Videos, etc.

I have argued for a long time that people spend way too much money at the top or the beginning of their Marketing Funnel or Cycle. I created this short video to demonstrate the power of Repeat and Referral Customers.

Related Blog Posts:
Turning your Marketing Cycle into a Kanban
Bootstrapping the Kanban
Value Stream Marketing eBook Released
Marketing Kanban 102, Work in Process

Technorati Tags: Referral Marketing,Marketing Kanban,Kanban,Value Stream