How Content Marketing Saves You Money
When was the last time you reached out to a customer that bought your product or service six months ago, a year ago, three years ago? Many business owners assume, often wrongly, that past customers will remember them…and contact them…when the need arises.
The probability of selling to an existing customer is 60 – 70%. The probability of selling to a new prospect is 5-20%. (Source: Marketing Metrics)
If you are neglecting past customers to solicit new business, you may be missing sales opportunities. Engaging in content marketing — consistently creating and publishing content that targets your audience — assures that your business will regularly be in front of prospective, existing and past customers.
Keeping in Touch
Think about the businesses you patronize: do you hire the plumber you never hear from or the one that recently sent you a discount offer? A dermatologist you saw last year or the one that emailed you about a new skin treatment? The financial advisor that never calls or might you consider one that sends you helpful investment information every few weeks?
The businesses that get in touch with you, on a regular basis, know that they have lots of competition; if you don’t hear from them, they know you’ll probably hear from someone else. If you’re not keeping in touch with your past customers, on a regular basis, you might easily lose them to a business that IS keeping in touch with them.
“It costs 6–7 times more to acquire a new customer than retain an existing one.” (Source: Bain & Company)
The easiest (and least expensive) customer to “get” is the one you already have.
Once a business relationship has been established, securing new work from that customer requires less time, energy and financial outlay than it does to establish a new relationship. Existing customers already know you, trust you and are comfortable working with you. Implementing a content marketing strategy can keep you top of mind with existing clients so that when they are ready to hire, your name is front and center.
Sales prospecting takes time…and time is money.
Traditionally, finding and securing new prospects — building a productive client relationship — could be a very long process. Business development means sourcing potential clients by means of company research, networking, speaking engagements, cold calling, appointments, presentations, etc. To consider working with you, prospects needed to build trust in you and your company, see proof that you could provide a quality product or service, check references and meet you – maybe multiple times. From contact to contract could take months…even years.
Various studies report that it takes 7-10 “touches” to secure a sales lead.
These customer “touches” can include an industry or networking meeting, phone calls, direct mail, email, in-person meetings and repeats of all of the above.
Think about how long it takes you to discover networking opportunities, commute to and from and the time spent at the event. Two hours, three, more? How much time do you put into creating a speaking presentation, writing, designing and distributing a new collateral piece, attending industry meetings, volunteering on boards or lending your expertise to a non-profit? Each of these actions comes with expenses of time and money. Also, best case scenario? You’re in front of a handful of people.
Content marketing can put you in front of hundreds, even thousands, of new and existing customers.
Sure, content marketing takes time but done correctly, your effort is multiplied. When you look at the content marketing cost basis versus more traditional prospecting methods, you’ll see how it makes sense. Not to say you don’t have to meet people in person…but a well-executed content marketing strategy should certainly be part of your marketing plan.
Content marketing means money in the bank for your company — giving you a cost-effective channel to get in touch with new prospects and get back in touch with former customers.
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