Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

How To Make More Repeat Sales

1,114 views

Published on

This presentation by a leading change consultant explores five reasons both for profit and not-for-profit companies experience customer and member churn. The presentation also provides insights on how to address these issues in your organization.

Published in: Business
  • Be the first to comment

  • Be the first to like this

How To Make More Repeat Sales

  1. 1. A Video Presentation From Ron Ryan & Associates Copyright @ 2014, Ron Ryan & Associates
  2. 2. Customer Touch-Points Online Sales Process Sales Center or Retail Store Fulfillment & Service Repeat Purchase Copyright @ 2014, Ron Ryan & Associates
  3. 3. Repeat Purchase Cycle Online Process Sales Center Or Store Fulfillment & Service Repeat Purchase Copyright @ 2014, Ron Ryan & Associates
  4. 4. Repeat Purchase Cycle Online Process Sales Center Or Store Fulfillment & Service Repeat Purchase Copyright @ 2014, Ron Ryan & Associates Most People Call, Drive or Log on to Make A Repeat Purchase. But Not Always From You.
  5. 5. Acquisition Costs  Your Results Will Vary By:  Industry  Distribution Channel  Customer Segment  Season 5 Average US Customer Acquisition Cost Avg Acqusition Cost 1 New Customer Sales Repeat Sales Source: http://www.brandxpress.net/2005/10/brand-loyalty-vs-repeated-purchases/ Copyright @ 2014, Ron Ryan & Associates
  6. 6. Repeat Purchase Cycle Online Process Sales Center Or Store Fulfillment & Service Repeat Purchase Copyright @ 2014, Ron Ryan & Associates
  7. 7. Repeat Purchase Cycle Online Process Sales Center Or Store Fulfillment & Service Repeat Purchase Copyright @ 2014, Ron Ryan & Associates Automatic Sales that bypass your sales department and go automatically to fulfillment are most profitable sales of all.
  8. 8. There is nothing new about the ‘Subscription Model’  If you subscribe to a newspaper with home delivery, you understand the “Subscription” model. Copyright @ 2014, Ron Ryan & Associates
  9. 9. Examples of businesses improved by subscription model: Business Example Vertical (Likely) Victim Netflix Movie Rental Blockbuster Video Diapers.com Baby Products Local Retail Grocery Store Dollarshaveclub.com Men’s Grooming & Toiletries Local Retail Drug And Grocery Store Lensdiscounters.com Vision Care Local Retail Vision Care Petflow.com, mydogbowl.com Pet Food Local Retail Pet Food For an excellent summary on key attributes of successful subscription businesses see: http://blog.kissmetrics.com/excel-at-subscription-economy/ Copyright @ 2014, Ron Ryan & Associates
  10. 10. Repeat Purchase Process Online Sales Process Sales Center or Retail Store Fulfillment & Service Repeat Purchase Copyright @ 2014, Ron Ryan & Associates
  11. 11. Repeat Purchase Process Online Sales Process Sales Center or Retail Store Fulfillment & Service Repeat Purchase Copyright @ 2014, Ron Ryan & Associates Common Problem Areas:
  12. 12. Repeat Purchase Process Online Sales Process Sales Center or Retail Store Fulfillment & Service Repeat Purchase • No Customer-Level Tracking of Purchases, Preferences or Needs • No Easy or Automatic Means of Repeat Purchase • Incomplete or Inadequate Reseller Follow-up • Wrong Channel Follow-up • Inability to Adapt Offer To Changing Customer Needs • Lack of support for repeat purchase process within company culture. Copyright @ 2014, Ron Ryan & Associates Common Problem Areas:
  13. 13. No Customer-Level Tracking of Purchases, Preferences or Needs  Developing a CRM System:  Less about software;  More about thinking about data your company has; and  What your clients need. Copyright @ 2014, Ron Ryan & Associates
  14. 14. No Customer-Level Tracking of Purchases, Preferences or Needs  Most companies have more customer data than they think. Copyright @ 2014, Ron Ryan & Associates
  15. 15. No Customer-Level Tracking of Purchases, Preferences or Needs  Email address, purchases, and purchase timing can be combined in creative ways for follow-up campaigns. Copyright @ 2014, Ron Ryan & Associates
  16. 16. No Easy or Automatic Means of Repeat Purchase  Do you offer an automatic purchase option?  At point of sale?  At first repeat or renewal purchase? Copyright @ 2014, Ron Ryan & Associates
  17. 17. No Easy or Automatic Means of Repeat Purchase  Example of Point of Sale Execution – Water Filter on Amazon.com Copyright @ 2014, Ron Ryan & Associates
  18. 18. No Easy or Automatic Means of Repeat Purchase  Does your billing system currently accommodate add-ons, upgrades, downgrades, renewals, and suspensions? Copyright @ 2014, Ron Ryan & Associates
  19. 19. Inadequate Repeat Sales Follow-up  Can your company follow-up with customers after they have made a purchase? Copyright @ 2014, Ron Ryan & Associates
  20. 20. Email Address Capture Is Critical To Follow-up  Two Point of Sales Examples:  Email receipts or  Use email for to give access to special offers Copyright @ 2014, Ron Ryan & Associates
  21. 21. Inadequate Repeat Sales Follow-up  Do you offer loyalty programs? Copyright @ 2014, Ron Ryan & Associates
  22. 22. Inadequate Repeat Sales Follow-up  Do you share part of your acquisition cost with repeat customers? Copyright @ 2014, Ron Ryan & Associates
  23. 23. Wrong Channel Follow-up  Most people like to buy and receive follow-up communications in the channel they purchased from. http://www.varolii.com/Resource s/casestudies/FS_Insurance_Re tention_CS.aspx Copyright @ 2014, Ron Ryan & Associates
  24. 24. Wrong Channel Follow-up  But moving customers to automatic purchases always makes economic sense. http://www.varolii.com/Resource s/casestudies/FS_Insurance_Re tention_CS.aspx Copyright @ 2014, Ron Ryan & Associates
  25. 25. Wrong Channel Follow-up  Multi-channel follow-up solutions can be particularly effective. Copyright @ 2014, Ron Ryan & Associates
  26. 26. Varolli Multi-Channel Communications Technology Copyright @ 2014, Ron Ryan & Associates
  27. 27. Multi-Channel Retention Improvement Project • 10 Percent Improvement in Customer Retention; • 84 Percent Reduction in CSR Costs; • Millions of Dollars to the Carrier’s Bottom Line. For insurance example see: http://www.varolii.com/Resources/casestud ies/FS_Insurance_Retention_CS.aspx Copyright @ 2014, Ron Ryan & Associates
  28. 28. Inability to Adapt Offer To Changing Customer Needs • Most businesses get it wrong the first time. Source: Hartford, Tim, Adapt: Success Always Start With Failure, Ferrar, Strauss, Giroux. New York. (2011). Copyright @ 2014, Ron Ryan & Associates
  29. 29. Inability to Adapt Offer To Changing Customer Needs • Building feedback loops helps to evolve your Copyright @ 2014, Ron Ryan & Associates company’s offer. Source: Hartford, Tim, Adapt: Success Always Start With Failure, Ferrar, Strauss, Giroux. New York. (2011).
  30. 30. Inability to Adapt Offer To Changing Customer Needs • Organizations can only adapt by allowing employees to test, modify and improve the offer. Source: Hartford, Tim, Adapt: Success Always Start With Failure, Ferrar, Strauss, Giroux. New York. (2011). Copyright @ 2014, Ron Ryan & Associates
  31. 31. Lack of Support for Repeat Purchase Process  Early growth in young companies is about new clients. Copyright @ 2014, Ron Ryan & Associates
  32. 32. Lack of Support for Repeat Purchase Process  Shareholders, and executives reward initiatives that drive this growth. Copyright @ 2014, Ron Ryan & Associates
  33. 33. Lack of Support for Repeat Purchase Process  Investment in client retention and repeat purchases lags due to lack of internal support. Copyright @ 2014, Ron Ryan & Associates
  34. 34. Lack of Support for Repeat Purchase Process  And yet repeat purchases are the most profitable… Copyright @ 2014, Ron Ryan & Associates
  35. 35. Summary – 5 Important Steps for Growing Repeat Sales 1. Explore your customer data and develop it – you have more than you think. 2. Explore ways of making your first sale a repeat sale. Do this at the point of sale. 3. Find ways of bringing existing customers back in contact with you through targeted emails and calls. Use a multi-channel approach if you can. 4. Be sure to give enough autonomy to allow employees to experiment and adapt your offer to customers needs. 5. Do not allow your company’s cultural biases against repeat sales choke your initiatives. Copyright @ 2014, Ron Ryan & Associates
  36. 36. Repeat Purchase Cycle Online Process Sales Center Or Store Fulfillment & Service Repeat Purchase Copyright @ 2014, Ron Ryan & Associates

×