Customer Acquisition is necessary for business growth in 2020 and beyond. The more you can acquire customers, the more your chances of achieving business success. I can make a bold claim that your future in business isn’t secure if you’re not constantly acquiring and retaining customers.
As a matter of fact, we can easily measure the growth of your business by the number of customers you’re acquiring and retaining per time. However, you can’t retain a customer you’ve not first acquired. I’m going to be sharing with you tested strategies you can use in making customers flood your business like ocean.
Most small businesses don’t have a large customer acquisition budget. Therefore, it’s important they get the right strategies for their business. Once this is done, they will be able to make more profits in their business and probably scale up their business. Scaling their business will, in turn, lead to more employment opportunities and more economic stability in the country.
Here is it, Small businesses don’t need more investors; what they need is to acquire more customers. Most small business makes these mistakes of seeking investors, forgetting the fact that investors are more concerned about their gain. And the presence of investors in the absence of customers to buy will lead to little or no profits. When businesses have more customers, they have the opportunity to make profits and scale up very fast.
So here we go, let’s examine:
Tested Customer Acquisition Strategies for Small Businesses that Will Skyrocket Your Business Growth.
1. Ask for Referrals:
This is the best place to start. Your existing customers know other people that have similar needs for your product or service. Ask them to refer people who might need your product or service to you. If truly, you offer good product or service (I believe you are doing that already), be rest assured that they’ll refer people to you. Even if you have just one customer, that singular person is all you need to get more customers to your business. How often do you ask for referrals from existing customers?
Referrals are powerful and it doesn’t even cost you any amount of money. Not even a Dime. Irrespective of how little you’re spending on marketing, you’re spending so much if you’re not getting clients via referrals. Go through the list of your existing clients and ask them for referrals.
You can even take it further by giving them a reward for the number of people they refer to you. Referrals cost you no extra cost and give you an additional income from new customers without spending any amount. Interestingly, if you offer good products or services to the referred clients. They’ll refer more people to you which equates additional profits.
2. Spend money on Advertising:
As a business owner, you must set aside a particular budget on advertising. In marketing, it is called the Cost of Customer Acquisition (CAC). Spending money on advertising isn’t a waste of money but an investment that has a huge Return on investment (ROI). There are two ways to spend money, it is either you spend money as an expenditure or spend money as an investment. Spending money on advertising is an investment, not expenditure. It gives you more money than you ever thought. Imagine spending #5000 to acquire a customer that pays you #60,000 and buys from you twice. That’s 120,000 in total. Isn’t that a good return on investment? Of course, it is.
There are a lot of channels you can use to advertise your products and they include social media (Facebook ads, Instagram ads, twitter ads, Google ads, etc), traditional media (Television, Radio, Newspapers, fliers, magazines, etc) However, don’t spend on advertising blindly. Less, you lose instead of making more money. Before spending any amount on advertising, consider the lifetime value of your customers. This is the amount of money you get from repeated purchases of a particular customer.
The number of time a customer buy from you matters when it comes to spending money on advertising. Also, another important fact you need to know is that the channels used for advertising must have your target audience. Advertising in front of someone who isn’t your target audience is a waste of money and a waste of time.
It’s better not to advertise at all than to advertise in a media that doesn’t have your target audience. Advertising to the wrong audience is like putting a basket inside heavy rain to retain water because irrespective of how long the rain falls, a basket will never retain water because of its pores. So, be deliberate about putting your advertisement in front of potential customers that are willing and ready to buy your product which means they must need the product and also have the money to pay for your product.
3. Utilize Testimonials:
You see, when people see someone testifying about your product or service, they’ll likely buy from you. Here’s why: people have a lot of objections about why they should not give you money. However, it’s your job as an Entrepreneur to show them why they should exchange their money with you and nobody else.
The best way to do this is via Testimonials. People love to hear about your service or product from a third party i.e someone who has used your product or benefitted from your service.
Strategically place testimonials of your previous satisfied customers in front of your target audience. This will help them neglect all objections that have been preventing them from buying from you. So, always try as much as possible to ask for testimonials from satisfied clients because their testimonials will go a long way to making you acquire new customers especially people that are afraid of trying out your product or service.
You can even package it into a Small book (Physical or EBook) and term it “What customers are saying about us’. Testimonials could be in the form of audios, text, videos, etc. Personally, I think video testimonials work best. As little as one-minute testimonial can be all you need to acquire a new customer. How often do you demand testimonials from your clients?
4. Have a Unique Selling Proposition (USP):
Domino Pizza doesn’t make the best pizza. I’ve never tasted a Pizza (I know that surprised you and you’re tempted to call me local guy). However, those that have tasted different pizzas have testified that they’ve eaten better pizza than Domino’s pizza.
But, what makes people keep running towards Domino’s pizza over and again? Well, it’s because of their Unique Selling Proposition (USP). What’s their Unique Selling Proposition? I believe you’re asking yourself right now? Well, their Unique Selling Proposition is “Hot, juicy, delicious pizza – delivered to your door in thirty minutes or less – or it’s yours absolutely free”.
What this means is that if you order for a pizza from domino and it is cold, you will have the pizza for free while they suffer the loss. They discovered everyone loves hot pizza and they build a USP around it.
Your offer is what will attract people to your product. It’s the message you communicate to your target audience that will determine if they’ll buy from you or not.
Right Message+ Right audience = MASSIVE SALES.
It is your offering that sets you apart in a crowded market. You must have a good Unique Selling proposition that will make people always interested in doing business with you. People are always ready to buy if you give them a reason to buy.
Constantly communicate your Unique Selling Proposition (USP) to your target audience and you’ll see customers flood your business like never before. You can get your USP right is by always asking:
- A) What differentiates me from other people offering the same service or product? Or
- B) What can I offer that my competitors are not presently offering?
Build your USP around this and you’ll see more customers flood your small business.
5. Offer something for free or cheap:
Have you ever thought of the following? Why does Netflix make the first month free? Why do O’pay start by offering a ridiculously discounted price for their bike when they started? Why do telecoms providers like airtel, glo, Etisalat, etc give you their sim card for free (As a matter of fact, they pay people to beg you to take the sim card) or isn’t it? Of course, they do. In fact, the free sim cards even have free airtime just to make sure you get enticed to get it.
Well, it’s because they think long term and not really conscious of the first sale. Here’s how it works: once they can get you into the buying stream (irrespective of how much you pay), you’ll likely continue to buy from them again and again. That’s marketing psychology.
By offering you bike for #100, you’ll likely take their O’ride bike for #1000 or more. Netflix knows that by offering you free films or documentary for the first month, you’re likely to pay hundreds of dollars later if you’re not broke. By offering you free sim card, you’ll continue to recharge your sim despite getting the sim card for free.
You see, there’s a vital principle in marketing that says “A buyer is a buyer is a buyer’. What this means is that once someone buy something from you once, they will likely buy from you again and again.
Once you get someone to pay you money once or use your product once in the front end, they’ll likely pay you more and more in the backend. This means even if you give them something for free or cheap at first, they’ll likely pay you more and more in the backend.
Sometimes, you’ve shift your attention from the first sales, and do all it takes to make someone experience you(your product or service) which sometimes is offering your product or service for free or cheap.
You see, when people know they’re getting something for free or cheap, they’re likely to flood that business. Free or cheap things attract people, you can choose to take it or leave it. You can apply that strategy to attract people to be a customer while you continue to make more money from them in the backend. To make it more practical, let me make the following examples,
- You can decide to take a Speaking engagement in your industry, speak for FREE and convert the audience to paying customers.
- If you’re a pharmacist, you can offer FREE medical checkup and recommend drugs for them to buy from you store.
- If you sell gadgets, you can offer FREE REPAIR of their gadgets if peradventure it gets damaged.
- If you sell computer software, you can offer TO INSTALL THE SOFTWARE FOR FREE.
- If you do souvenir business, you can decide to make some of your design free.
- You can decide to make free home delivery for your customers.
By so doing, you’ll attract more customers. However, whatever you’re offering for free, make sure it’s part of the cost of customer acquisition and try as much as possible not to use this strategy blindly.
6. Content Marketing:
Content marketing is the new gold. If you’re not utilizing content marketing to attract customers, you’re probably putting a lot of money on the table. You see, one of the best things that have happened to this generation is TECHNOLOGY. Technology has changed a lot of things including how the ness reaches out to their potential customers.
So, how well is your business using technology (Social media specifically) to attract customers? And using content marketing doesn’t mean you’ve to be techie. Interestingly, all you need for a start is your phone. Yes, the same phone you’re holding. But, what exactly is content marketing?
Content marketing requires that you create consistent valuable and relevant content, distribute them with the goal of attracting and retaining a clearly defined audience and to drive profitable customer action.
You see, people don’t buy from you except you’ve built your KLT factor i.e. people must know, like and trust you before they do business with you. And one of the ways to do that is through content marketing.
Here’s a simple way to implement it. If you’re a Pharmacist, constantly share content about drugs, health,etc.
By so doing, people will start knowing what you do and if peradventure they need your service or someone they know needs your service, they’ll remember you and patronize you because you’re the first person that will come to their mind.
Utilize social media (Facebook, Instagram, Twitter, Whatsapp, tc) depending on the type of media that has your target audience. And your content can be of various forms like video, audios, text,etc. figure out what is easy for you.
Stop leaving your WhatsApp Status blank without use, use it to blow your trumpet about your business. Whatsapp status is a badass marketing tool that will position you in front of your target audience. Start treating all social media channels as tools for business growth.
Let everyone associated with you know what you do and they can only know that by the content you constantly post on your social media. I need you to answer this question. When last did you post about your business online?
Well, start doing so often today. Content marketing is a tested and proven customer acquisition strategy. Post valuable, educative, informative content about your business and you’ll see more customers flooding your business. This is a business course on its own, so I can keep talking about it on and on. It is worthy to note that, you should follow the 80/20 principle.
Let 80% of your content be non-salesy, just valuable contents while 20% should be based on sales. Just make sure you don’t appear selfish in front of your target audience. Let them see your content as valuable and see you as someone who has their interest at heart.
7. Take Speaking Opportunities in your industry:
Speakers are perceived as an authority and people love to buy from authorities. Taking a speaking engagement in your industry will make people start seeing you as an authority and willing to buy from you.
Interestingly, you can easily close a lot of people from the stage to get your products easily if you offer them value while speaking (and depending on how persuasive you are). Therefore, always look out for speaking engagement in your industry and offer to speak for free with the aim that you want to convert the audience to paying customers.
You can even organize your own event targeted at your audience, make them register and eventually close them to become paying customers.
It’s been an amazing ride. Thanks for following through. Do you find this helpful? Kindly comment below.
These are tested seven ways to acquire customers to your business irrespective of the business you do. I believe you’ll like your friends too to get new customers in their business. Use any of the social buttons below to share it with them.
Are there some other strategies you utilize in getting customers? Share with us in the comment box.