How to recover lost or lapsed clients
How to recover lost or lapsed clients
Are lost customers really ‘” lost”, or can you somehow recover the sales? Research shows that
Tweet: 80% of sales require 5 follow-up phone calls after the meeting. [Source: The Marketing Donut] via @snappsales
Tweet: 44% of salespeople give up after one follow-up. [Source: Scripted] via @snappsales
These stats show us that 44% of salespeople have an 80% chance of losing a sale due to failure of adequate follow-ups. If companies want to maximise on their sales, they should put some focus into recovering lost clients.
A marketing professor who studies “win back” strategies, quotes three reasons companies should focus more energy on lapsed customers:
- They have already demonstrated a need for your business in the past which is much better than a cold call
- These customers have already been introduced to your business making it easier to push them down the sales funnel
- It gives you the opportunity to understand why customers leave and to help you to create better offers
How to recover lost clients?
The first thing to take note of is not ALL lost clients are recoverable. You should apply discretion to decide on which clients are worth contacting and which are not.
- Have been positive about your company
- May have referred a friend or company to you
- Never complained or if they did, their complaints were resolved
- Gave solvable objections in the past I.e. Affordability, features, competitive pricing
To recover them, try these methods:
Offer a discount
No matter what business you’re in, you can offer some sort of discount. This will work well especially for clients who did not sign up for your service due to affordability issues. Even if it’s a small discount the human psyche is wired to think that if we are extremely interested in a product, any discount is a good deal.
Offer an upgrade
Depending on your industry, you can offer a service upgrade. Your client will feel that they’re getting a much better deal than when you first dealt with them.
Offer a bundle
A bundle is a group of services added together. You’re going to tell the client that you’re giving them X, but because you want to serve them better, you’re going to give them Y as well. To increase urgency on the offer, tell your client it’s available for a limited period only.
Tailor an offer
A tailored offer seems by far the best option for lost clients. This is because you can tailor your offer based on previous objections received from the client. If your client objected to price, offer a discount. If they objected to features, offer a bundle. There’s so much you can do with a tailored offer that can compel your client to re-engage with you.
Contacting lost clients
You don’t just want to send an email with your offer, rather call the client directly.
Before you get into the details of your offer, remind the client of your previous interactions with him/her and ask whether he/she is still interested in your services.
Here is a perfect example:
My name is Lucy from IT Planet.
We last spoke with you in February of last year and you indicated that you were interested in purchasing our software, but due to affordability issues declined.
Is this a good time to speak to you?
I am calling to let you know that we have put together an offer for you that not only solves your affordability issue but also gives you the best features in the market.
Our offer is a one-time only full membership for six months. Can I sign you up for this offer today?
Also, you want to make sure to focus on customer service when it comes to re-engaging clients. The fact that they have left you previously makes them susceptible to leave again. What makes these clients stay is an adequate solution to their previous concerns and excellent customer service.
Let us know, how do you recover lost clients? Also, tell us what industry you are in and how successful you are with your strategies?