Engage and acquire: how to develop a new customer base
Ask any marketer and they’ll tell you that customer acquisition is one of the biggest challenges out there. Conversely, customer acquisition can increase profits by up to 95%.
But we all need to start somewhere. We need to walk before we can run, so before we can encourage loyalty with promotions and personalisation, we must first acquire.
What are the best ways to find new customers?
You might want to grow your existing client base, or diversify into new markets. Either way, you need to be mindful of strategic approaches.
Analyse new opportunities.
External factors can be a bigger influence than we might think. New flight paths, industrial developments or even worldwide crises can all be opportunities to target new customers. What’s important is how we adapt to these opportunities, for example:
· Price: as more of us turn to subscription-based services, can we offer a new monthly payment system to attract clients with lower incomes?
· Product: how can we solve new problems? For example, can we offer a new advice service for those concerned about new legislation, such as GDPR?
· Promotion: can we exploit new channels, like TikTok?
· Place: do we need to adjust how we target people, for example, moving online during lockdown?
Consult with your network.
Valuable networking is the bedrock of any successful business. It’s not what you know, it’s who you know. The more people you connect with, the more chance you’ll have of finding new contacts with a problem you could solve. Don’t be afraid to network outside your industry. Your new contacts may know people seeking out your services, or you may be able to adapt them for new markets.
Ask your existing customers.
Your existing customers are essentially a lookalike audience of your prospective ones! Encourage them to engage with your brand. Offer competitions on social media which encourage them to like and share your posts. They can share it with their network to drive new sales. Alternatively, you could offer them personalised referral incentives, such as 10% off when you refer 10 friends.
Go beyond demographics.
Perhaps you want to reach a younger audience, or one with more disposable income. But have you thought about other customer attributes, such as location or industry sector? There could be a whole undiscovered market in a previously unapproached geographical region. Always do your research first to identify demand.
This could also inspire you to innovate your product. Many lingerie manufacturers, for example, pivoted their products to offer comfort for those who’d had mastectomies. By segmenting our customers based on needs, rather than bland metrics like age and income, we can satisfy more demand.
Don’t forget – it takes trial and error
As a digital growth agency, we know the secret to success is testing, testing, testing. If your new customer campaign isn’t working, ask yourself why. Have you been running it long enough? Is it matching your demographic’s needs?
