Consider offering a loss leader
The idea of making an initial offer that actually costs us more than we make from it, at first sight, may seem to be bad business.
However, we would recommend doing this sometimes in order to win a new customer. The important consideration is the value of that customer over time. Winning new customers is the hardest thing to do in sales. In fact it is calculated to cost 6 times as much as keeping a customer once you have won them.
The supermarkets are very aware of this, and measure the value of a customer by calculating their average monthly spend, and multiplying that by the number of months a customer, on average, continues to shop with them.
The key point here is that the lifetime value of the customer is what really matters. When you take that in to account, it is usually worth losing a little money on the first order, in order to make money on all the subsequent ones.
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