It can seem like everywhere you turn people are telling you to build a list. There is a good reason for this however. As a small or independent business owner, having a list of prospective or current clients is one of the few assets you really have for your business. Additionally, it gives you the opportunity to make recurring sales and recoup lost sales at any given time by simply sending an email…
Here are four good reasons to build a list:
1 . A list is an Asset
If you have been in business at all for very long then you know that your customers and clients are at the heart of your business. Not only are they the core of your current revenue, but they stand to be the center of your future revenue, both in terms of their own purchases and the referrals they will make. If you’ve built a list, then you have a very, very valuable asset. One that will enable you to reach this group over and over again. One of the few items of value in a business is the customer and client list. Remember to treat it as an asset.
2. You Can Sell to the Same Customers and Clients Over and Over Again
The single biggest cost in your online business will be acquiring a new customer. Build a list however and you can start selling to the same people over and over again. You pay to acquire a prospect once and then you can be selling to them for years to come. Isn’t that much easier, not to mention more profitable, than going to the trouble and expense of acquiring a prospective client or customer for just for one sale? Make the most of your marketing expenses by keeping track of people within your market that show an interest in you, your products, your services, and your business. Its simple, just keep a list.
3. Pre-existing Relationships Encourage Your Customers and Clients to Buy
It’s a fact – people are far more likely to buy from someone they have bought from before. Once you’ve started building your list and gotten subscribers on board you’ll hopefully start to build up a strong relationship with them. How do you do this? Make sure you give your subscribers VALUE and offer them quality products or services on a regular basis. The key is to offer value. If you are just interested in making offers, then you will not be developing a relationship. No relationship = no repeat business.
4. Sell or Rent Your List
If you are open about your intentions when you are collecting the information of your prospective and current clients, you can even potentially sell your list to future buyer. As I identified in tip 1, your list is an asset, as such it is a salable asset. If one day you wanted to sell your business, your list would be one of the most valuable aspect of the sale. Even if you don’t want to sell your list as part of your business’ exit strategy, you can still leverage the value of your list now and rent it to joint venture partners who are looking to market their merchandise to your market. You can charge other people large amounts of money to send a solo ad to your subscribers. Why not offer a solo ad mailing as a bonus if people buy one of your expensive products? If your list is of a decent size, you can certainly charge other people within your market to run an ad which reaches your list.
So when building your list, remember that people who have taken the time and trouble to build a list become part of the top 1% of the population: They have the ability to serve their clients and customers, develop relationships and earn money in a cost effective manner. You’ve probably thought about that being a pipe dream, yet it’s the reality for anyone who has a decent list.