In 2022, the average lifespan of a company on the Standard and Poor’s 500 Index was close to 20 years. In 2023, this will likely remain the same.
The average lifespan of a small and medium business is less than this, but still, a successful business remains in play for several years.
A business takes time to be established and be in a position where it can pay others so let’s assume that you will start working with them once they have been running for 2 years.
Let’s assume you can retain a business client for 5 years. This is doable because I have retained clients for more than a decade.
Now if a client relationship generates revenues of $1000/month, you are looking at generating lifetime revenue of $60k.
With $5k in monthly revenue, you can look at a lifetime revenue of $300k just by working with one client and if you do that with just 10 clients, you are looking at $3 million of lifetime revenues.
This can be much bigger if you work towards it.
Here are some ideas on what all you can do to retain a client for a long time.
1/ First and foremost, be easy to work with and make client money directly or do something that makes the client money indirectly.
2/ Communicate regularly with your clients and keep them informed about the progress of what you are doing for them.
3/ Offer exceptional customer service by being responsive and attentive to their needs.
4/ Show genuine interest in your client’s business goals and objectives and work towards achieving them.
5/ Avoid mistakes, and when they happen, take responsibility, and work to rectify them as quickly as possible.
6/ Offer value-added services or products that complement your client’s needs and wants.
7/ Build a strong relationship by being personable and authentic in your interactions.
8/ Go above and beyond your client’s expectations to show that you value their business and are committed to their success.
9/ Build your personal brand and gain client trust by showing that you are the expert and the best (or among the best) at what you do.
Doing this will ensure that your clients will stay with you for a long time, and you won’t have to chase new clients all the time.