Are You Focusing Enough on the Reorder?

You’ve probably heard the saying that it costs a lot more to acquire a new customer, than to sell to an existing one again. And it’s true.

Think about how this affects your business. Let’s say you’re in party plan sales. How much does it cost you to hold a party? Calculate the time you put in, postage, gifts and prizes, printing things out, buying catalogs and samples, etc. How much do you spend on the typical party? All that comes out of the profit you go home with at the end of the night.

Now think about how much it costs to call a former customer and get a reorder. A lot less, right? And so the amount you make on that reorder is a lot higher.

Are you applying this to your business?

While it is OF COURSE important to focus on doing as many parties as you can so you have a steady stream of new customers, you have a golden opportunity with past customers to make a lot of profit. You also have the opportunity to get new parties by working with people that have already attended or hosted a party.

But only if you follow up.

EVERY customer should be touched at least 4 times per year. If you tell yourself that you’re too busy to do this, you’re leaving money on the table. You can double (at least!) your income by paying attention to your reorder business.

Your company probably has a follow-up system they advise you to use, but here are a few ways to follow up:

  • An e-newsletter filled with value-driven content (not just ads.)
  • A phone call to each former customer and host 4 times per year.
  • Connecting on Facebook between regular contacts for more informal contacts.
  • If you offer consumable products, set up your own “auto-ship” program that customers can sign up for, where you automatically place an order for certain products for your customers at pre-determined intervals.
What are some of the ways you follow up with past customers? How do you nurture your reorder business? Would love to read your thoughts in the comments!
4 Responses to Are You Focusing Enough on the Reorder?
  1. miss donna
    May 23, 2014 | 12:19 pm

    this applies to every industry, Jennifer. i dropped the follow-up ball as a speaker. and if we’re going to be completely honest, there’s a good chance i won’t be able to rebuild a couple of the relationships. i did manage to breathe life back into one which will result in an upcoming gig.
    miss donna recently posted..going back to vegas…in style

  2. Bernice Caruth
    September 7, 2011 | 1:43 pm

    Phones calls have been the best way to get repeat orders because of the personal touch. By placing customers on autoship order, usually monthly, it also keeps me on schedule to do a follow-up call with them to see if they want to change the order. I also use the company’s website to send out emails that I can track, and those emails contain short stories on how other customers are using the products successfuly. That helps to keep product information in front of the customer.

    • Jennifer Fong
      September 8, 2011 | 11:15 am

      Great tips Bernice! Thanks for commenting!

  3. Amy Talsma
    September 6, 2011 | 9:33 pm

    great reminder, Jen… after 13 years in direct sales this is still a ‘muscle’ I can strengthen. thank you for the prompt to commit to acting on my ‘good intentions’.

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