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A study done by the Association of
Sales Executives revealed that 81% of all sales happens on or
after the fifth contact. If you’re a small business owner and
you’re only doing one or two follow-ups imagine all the
business you’re losing. Not following up with your prospects
and customers is the same as filling up your bathtub without
first putting the stopper in the drain!
But don’t be disheartened if
you’re among the 90% of business owners I talk to that don’t
do any follow up. The good news is you have ample room for
profitable improvement. Consistent follow-up creates a
predictable and profitable stream of prospects and customers
that buy. Small businesses that capture leads and follow-up with
them enjoy higher conversion rates and a higher percentage of
referrals than those that don’t.
After asking many small business
owners the reason they don’t follow up I often hear responses
such as, "I don’t have the sales staff to chase down all
our leads", or "We’re usually too busy to do a lot
of follow up." These responses automatically set off red
flags that tell me that they lack a systematic process for
following up. The problem is not that they don’t have the
capacity to follow up with prospects, it’s that they don’t
have the systems in place to do it.
What Does a Good Follow
Up System Look Like?
A good follow up marketing system
should have three attributes.
1. It should be systematic,
meaning that the follow up process is done the same way every
time.
2. It should generate consistent,
predictable results.
3. It should require minimal
physical interaction to make it run, meaning it should be able
to run on autopilot.
Sounds like a dream come true for
most small business owners doesn’t it? Not only can it be
done, it’s being done every day. The secret to "follow-up
marketing" is to make it automatic so that you don’t have
to lift a finger but the job still gets done. With today’s
technology it’s simpler than ever. Automating your follow-up
processes gives you more time to work "on" your
business rather than "in" your business.
Three Types of
Follow Ups
There are three types of people
you should be following up with, suspects (people in your target
marketplace), prospects (people who have responded to your
marketing but have not purchased, and customers (people who have
purchased something from you.) Each follow up message and offer
will be different for each type of person. With suspects,
you’ll want to entice them to call you or visit your store /
office. With prospects, you need to persuade them to make their
first purchase. And with customers, you want to convince them to
come back and do more business with you and give your referrals.
Obviously the hardest type of
person to follow up with is a suspect because they haven’t
shown any interest yet in a pool or hot tub and you usually
don’t have their contact information. But that’s not true
with prospects and customers. You not only know who they are,
but you should already have their contact information. And if
you follow up with your customers with consistency you’ll find
that they will help you turn your suspects into prospects and
prospects into customers for you through referrals.
Your Follow Up
Marketing Tools
Your principal follow up
marketing tools are the telephone, direct mail, and email. Many
pool and hot tub business owners make the mistake of jumping
right on the telephone to follow up; however, most prospects
don’t want a pushy sales message right away and most prospects
have been trained to consider anyone who calls up to be a pushy
salesperson. Instead, you should try to develop a relationship
of trust with your prospect by quickly sending informational
items such as special reports, audio CDs, or videos before you
make a phone call.
Remember to always include a
"next-step-offer" to accompany your educational
materials. If the next step is to visit the store, then entice
them with an appropriate offer or if the next step is to call
you, entice your prospect to call you immediately. People move
through the buying process in baby steps, especially when
considering buying high-ticket items such as hot tubs or pools.
Your offer should always help them take the next step.
Your Follow Up Sequence
The power of your follow up will
lie in your follow up sequence. Your follow up sequence is a
series of communications with your prospect that are
"linked" together, with each communication building on
the previous message. For instance, you might start your second
letter by saying, "10 days ago I sent you a letter..."
You might also consider stamping the message, "2nd
Notice" on the envelope to let people know this is the
second time you’ve contacted them. Referencing the previous
communication links what you’re saying with what you’ve
already said and reminds your prospect that you care enough to
continue the conversation.
Usually, when doing direct mail
you should include three to five mailings spaced out about seven
days apart. When using a sequential autoresponder you can have
as many follow ups as you want because using email is basically
free (that’s why you always want to get a prospects email
address). One of my clients has over 20 follow-ups in his
autoresponder sequence that go out over a six month period.
Each sequence should follow a
logical argument and you might consider bolstering the offer
with each communication using a deadline as a motivator to act
now. As an example, in the third communication you could say,
"I’m surprised you haven’t taken me up on my generous
offer. What’s holding you back?" Or consider saying,
"I’ve written you three times and you still haven’t
taken me up on my offer so I’m going to pull out all the stops
and make you an offer you simply can’t refuse." Notice
how the language always links the previous communication and
increases the boldness of the offer. It’s the same type of
conversation you might have in a regular sales conversation.
How to Put Your Follow
Up Marketing System on Autopilot
What I’m about to reveal to you
is the key to developing a powerful follow up marketing system
because it overcomes the number one reason most businesses
don’t follow up. You must automate your follow up system as
much as possible so that there are few, if any, physical
interactions from your employees with the system. It’s the
required physical interactions (i.e. printing letters, sending
emails, inputting leads etc.) where 99% of all the breakdowns
happen in well-intentioned follow up marketing systems.
To automate your follow-ups you
should consider using robotic marketing systems and outsourcing
any manual interactions to a dedicated service. For instance, to
capture your leads you should consider using a toll-free
automated recorded message system that captures your prospects
contact information and automatically transcribes it and sends
your leads to you in a spreadsheet every morning via email.
If you’re using a direct mail
follow up system (and you should be), find a fulfillment house
to do the mailings for you. To find a fulfillment house, simply
go to your local printer and ask them to refer you to a
fulfillment house in the area.
Now step back for a moment and
see the power of what I’ve just revealed to you. Imagine
running an ad, having your prospect call up and give their
contact information via your recorded message system. Then
having your leads automatically sent to your fulfillment house
via email, after which your prospect receives a five-sequence
direct mail package containing your most persuasive marketing
message -- without you lifting one finger!
You can set up the exact same
type of "hands-free" follow up marketing system using
an email autoresponder system. Your prospect will not only be
receiving your direct mail messages, but you can insert your
email messages in between your mailings.
What About Calling to
Follow Up?
You’ll notice that I didn’t
say anything about calling your prospect. That’s because you
want your prospect to have already received your educational
marketing messages and have most of their questions answered
before they call you. An educated prospect is your best
prospect.
They already know why you’re
different, what your value proposition is, and how you’re
uniquely qualified to meet their needs. In essence, they’ve
pre-qualified themselves before you ever have to spend time
physically speaking to them. This drastically reduces the sales
cycle and increases your conversion rate because you have
positioned your small business to be their only logical choice.
Conclusion
Follow-up marketing will boost
your closing rate and dramatically increase your customer
satisfaction. Following up with systematic processes allows you
to leverage your salespeople’s time and enhance their
productivity, which will result in more sales with less effort
and isn’t that what you want? Start winning more sales today
by implementing your own follow-up marketing system.

David Frey is President of Marketing Best Practices Inc., a
small business marketing consulting firm and the editor of the
Marketing Best Practices Newsletter, the web's leading free
small business marketing newsletter. Subscribe now at http://www.MarketingBestPractices.com.
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