Your customer pipeline (3) - Is it helping you to build your business?

Customer pipelines are great marketing tools. People love the concept of the customer pipeline. It’s a very popular search term on the internet. There are lots of new readers finding this blog as a result of searching for “customer pipeline”.

All of this is excellent . . . but is using the concept of the customer pipeline helping you to build your business?

• You already know that you can differentiate your customers, using your customer pipeline.
• You know that your customer pipeline can help you to be clear about the quality and depth of relationship you’re likely to have with individual employers.

Now let’s think about the customer pipeline and your business.

Your customer pipeline saves you money because . . .

Using your customer pipeline well helps you to save money because you can get away from “fingers crossed” marketing. That is marketing to every one on your list and hoping – or keeping your fingers crossed – that some of your efforts work.

Once you’ve used your customer pipeline to help you to differentiate between your different customer groups you can decide which groups merit having large or small amounts of marketing money spent on them.

This allows you to spend less on reaching all your contacts and to focus spending on the two groups where you have most to gain from your marketing efforts.

These groups are:

• prospects with whom you have a well-established relationship who have not yet bought from you
• customers who have done one piece of business with you and who you want to encourage to make that second purchase.

You’ll spend less by being focused because you will be working with smaller groups and you’ll be working in a more targeted way.

Alternatively you could spend the same amount of money but undertake more targeted and more relevant marketing. You’re almost certain to get a better return on your investment in this case because your approach is tailored to the specific circumstances and needs of defined groups of employers.

Your customer pipeline saves you time because . . .

Used well your customer pipeline can also save you time and, as you know, time is money.

If you build your relationships with the employers in your customer pipeline who you have identified as your advocates you can save lots of time and money. All you have to do is to ask your advocates to refer you on to others.

It sounds simple but most providers don’t ask for referrals.

Those providers who do ask don’t ask often enough or in the right way.

Yet, your advocates are longing to tell the world just how good you are.

Spend some time helping your advocates to help you and you’ve just recruited a skilled and motivated free sales force.

This means you can spend less time on bringing in new business and more time on the important task of building relationships with employers.

Making your customer pipeline work for you

Now you’ve got your customer pipeline set up you need to take steps to make it work for you.

Your customer pipeline could just remain a mechanism for establishing your relationship with each employer on your list. On the other hand it could become a valuable key account management tool and a generator of income.

It’s got the potential to be more than a great metaphor, so use your customer pipeline well.

See also:

Your customer pipeline - why it matters

Your customer pipeline (2): Building friendships

Have you created your customer pipeline?