The Magic of Repeat Business

"If you build your house on sand, it has shaky foundations and when the storms come the house has very little chance of survival. However, if you build your house on solid ground, then it can withstand any storm"

We all know the source of these magical words and how true they hold in the current economic climate. When times get tough, bulk of the business is done on the basis of relationship and credibility. You see if you have credibility and a good relationship with customers, you automatically bypass the three C's of business roadblocks.

• Competition
• Comparison
• Conservation

Competition

If you have a strong healthy relationship with a customer, they never "shop around" to get the best prices. Even when they come across a supplier that has a better product or service, most likely they'll approach you to see if you can "match" what the other suppliers are providing - this is what I call the unfair advantage of good relationships.

Comparison

If you have a great relationship with customers and are consistent in performing to their expectations, you also bypass the "Compare Apples with Apples" scenario each time you attempt an upgrade or an upsell. If what you are doing for them is working, they're not going to be interested in comparing you with someone else.

Conservation

With the relationship you've established with your customers and the credibility you have in the marketplace, when things get difficult, chances are your budgets wont get as harshly treated as everyone else. Firstly, because you're providing a valuable service that is generating results and is adding to the competitive advantage of your clients - so there's no logical reason to burn that bridge.

Secondly, when cashflow and economic crises hit, the first things that come into the firing line are things that are not needed or are perceived to be an "expense" rather than an investment. So if your relationship along with performance and value is a sustainable and profitable "package" you also escape the conservation spree businesses go through every time there's an economic situation of sorts.

Having said all this, its crucial that businesses understand the need for a good customer relationship management solution that offers practical tools to help businesses build stronger, longer and mutually profitable business relationships.