5I’m going to show you how you can win them back and get that 5% and more and get that extra revenue into your business. I’m going to touch for a second on new versus existing customers because businesses tell me all the time, “Well, I want new customers. I want new customers. I want new customers.” It costs more to get a new customer. We know that customers are leaving according to the Harvard study, and we know that it costs more money to get a new customer than it does to have an existing customer come back. One of the reasons your existing customers are not coming back, one of the reasons for leaving, is because they’re not loyal to you.

I want to focus on loyalty for just a moment. It’s the 80/20 principle. We know that about 20% of your customers will account for about 80% of your business, 80% of your revenue and your sales. It makes sense to try and focus on these customers to get them to come back in again and again. How can you increase your odds of getting your customer to be more loyal to you, to keep coming back again and again, and make that register go cha-ching, cha-ching, cha-ching? Well, how about harnessing the power of mobile marketing? That’s what we’re talking about today, right?

A first-time customer has a 30% chance of becoming a long-term profitable customer. They walk in the store the first time, they buy from you, 30% chance that they’re going to be a long-term profitable customer. If, however, you have a wellfunctioning loyalty program in place and they buy from you 3 times in relatively quick succession, that more than doubles the likelihood that they’re going to be a loyal, profitable customer to you. Your odds go from 30% of 67%. What I know working with hundreds of businesses and millions of customers using a loyalty program like what I offer, if you provide great customer service, your customers will come back. If you screw up in your business, you make a mistake, or there’s something wrong, and you fix it, they’re going to be likely to come back. If you’ve got a loyalty program and you’re providing great customer service, and you’re fixing problems, you’re going to get your customers back.

Almost nobody goes away saying, “I am making a conscious decision with full intention to go eat my hamburger at burger joint A, and I’m specifically choosing not to go to burger joint B.” We don’t do that. We get in the car. We’re like, “I’m hungry. Let’s go grab a burger at this place.” That’s what we do. People make those choices because you as a business are not asking them to come back and visit you. You’re not asking them in a personal way if you’re even asking at all. What is in your control when you utilize mobile marketing is when you ask the customer to come back, and you have that in your control, and you could also determine how often they come back to you.

If you don’t include a mobile marketing strategy in your business, you’re losing money, and you’re losing customers. Almost all business owners ask me this question: “Do customers really want to be contacted on their cell phones? Really, really? Do they really?” The answer is simple, absolutely yes. We know for a fact that 75% of people want to receive a text message offer over any other form of call to action. Remember, that’s just not 75% of people who want to receive a text message offer, but when they get it, it’s a virtual guarantee that they’re going to read it immediately. No spam. It’s not something you’re going to do everyday. You’re going to engage, and you’re going to target your customers based on their behavior, you maximize the response.

5bI want to tie this mobile marketing and customer loyalty together a little bit more for you. Not all loyalty programs are the same. We know that there are some critical elements that you have to have in order for your loyalty program to succeed. First, it should be digital. Second, you need to have simple registration, something like using a cell phone number, which should only takes about 5-7 seconds. It’s easy to do, doesn’t hold up the line during your crunch period. It needs to be a system that’s simple, and it has to have a voluntary registration. You want a system that rewards frequency, a system that can track rewards and redemptions for you, a system that’s integrated with social media, a system that’s going to provide you data, and it’s all going to be run on text messaging.

You got to choose some frequency of rewards. Remember what we talked about. If you can get a customer to buy from you 3 times in relatively quick succession, they’re more than double likely to be loyal and profitable to you. You create an incentive reward at a first visit, maybe a third or fifth visit, then again at 7 or 10 visits, and then you rotate those around. You have a frequency reward, and then you’re going to have periodic messages, call to action. Things like on a snow day. “Hey, stay home and safe with the family. We’re going to deliver to you.” “Early bird special for Valentine’s Day. Get 2 massages for the price of 1.” “Mother’s Day is coming,” etc., etc., etc.

When you do that on text message, and it’s relevant and personal and timely, you will get a huge, huge, huge response on your call to action. One of the best messages I ever sent out was for a coffee place that I work with called the Bean Good Coffee Pub. We sent out a message, and it just said something like, “Hey, how you bean? We haven’t seen you here for a while. We look forward to serving you again. We appreciate you as a customer and value your business. I look forward to seeing you.” We had a doubledigit response to that message. Double-digit response. Absolutely incredible. There was no incentive. There was no reduction in price. There was nothing free given away. You do want to do those, but in this case, it was a personal, timely, relevant message to customers that had not been there, and they reacted to it. They reacted to it by coming in and buying from them.

Social media integration, as we mentioned, is very important. Because of the online reviews, because of online presence and reputation, you want and need your customers to be sharing their experience about your fantastic service, about their great food or experience that they got with your product, at the spa or the auto service or the golf course. You want them to share their excitement about getting their loyalty reward with all their friends on all these different social media sites. Also, you can post on social media platforms to gain new customers. You can offer an incentive like, “Hey, text GAGA to win Lady Gaga tickets,” or, “Join my raffle or my sweepstakes program. Win dinner for 4 or a massage for 2,” or whatever it is. You can drive in new customers, and you can have multiple streams of ways to engage and market to your customers in a way that they’re going to be using all the social media on their mobile device.

5cAnother critical element for your loyalty program is data. You need to be leveraging your customers’ data. It’s important. Data is running everything now, right? With text messaging and response, you’re going to gain a whole another layer of insight to your business. You’re going to be able to measure text message effectiveness and response. You’ll be able to target your customers, the right customers at the right time, based on their behavior. You’ll be able to enhance your existing advertising through an integrated mobile marketing strategy and text messaging approach. What do I mean? If you have radio, TV, menus, brochures, websites, you can add a text messaging call to action directly into that existing marketing material.

As I mentioned, “Text SPA to get a free massage,” or, “10% off your first visit,” or whatever it is. Now, you’re giving them something to do. You’re giving your customers a call to action. Using that tool, using that mobile device that they’re using that they want to use, you’re giving them the opportunity to engage with you. Then, of course, you’ll be able to continually market to them because of the use on that device.


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