Every businessman aspires for more business. It is an accepted fact. But how many people make use of all the opportunities available to them that will bring additional business?
While looking for additional business one must focus on getting ‘second sales.’
But what you mean by ‘second sales’? The term simply means add-on sales, sales by referral or repeat sales. They are important for more business simply because you can get them with lesser expenses than first sales, since you don’t have to spend time and energy for getting first sales. The money not spent on this goes straight into your profit.
But the firms making profit on first sales can be counted on finger tips. Many firms do not realise that costs incurred on first-time sales are much higher than those on second sales. You get advantage of eliminating costs of getting customer repeatedly to your door for purchase of items. This saving adds to ‘bottom line’.
ADD-ONS take place when a customer buys more than one item in one visit. It could also be a case where a customer who had planned to buy a $15.00 item buys $20.00 item instead; extra $5 of purchase is add-on.
REPEAT SALE, in other words winning customer loyalty, is what every business aspires for. But it is very often not vigorously pursued by the businesses.
Opportunities to create repeat sales and add-ons are normally overlooked. These opportunities mean the new ways to sell new products or services to old customers and selling old products or services to new customers.
Repeat customers are an indicator that firm is right on top of their minds for good quality, service and value. Such customers are very often a great source of referrals.
REFERRALS are very much essential for more business and are equally profitable. They offset expenses on marketing and add to profit.
When customers are highly satisfied with product, salesperson or firm they start talking to others with confidence about these things at the first opportunity. Their word of appreciation prompts others for visiting the firm and probably buying.
Referral also takes place through ‘word of mouth.’ By requesting customers to refer their acquaintances for the purchase of products and services, the firm actually attempts second sales.
Awareness is another source for referrals. When more people know about the firm and its products, chances are that during their discussions related to what is worth buying in the market, those aware of this would share information with others leading to increased chances of their visiting the firm and buying.
A firm can use numerous methods to ensure second sale. Provide menu of possible uses of products and services to customers. Ask staff to work on collecting information on what additional products or services can be add-ons, or repeat business the firm could provide. Ask current, new and past customers what they want firm to do for them.
