Written by 

Brenda Denk

Sales Manager

RW Publications, Inc.

This article will focus on tapping into your most valuable source of revenue - existing clients. When brainstorming ways to generate new business it's easy to overlook what's right under your nose. Additionally it's almost always more cost effective to produce new revenue from current customers as opposed to the effort required to bring in new ones.

Seasoned salespeople sometimes find it difficult to approach an "already satisfied" client for more business.

Don't worry - you can develop a plan that maximizes revenue from your most valuable clients.

A statistical theory known as the Pareto Principle stipulates that positive results are produced by only a few causes. In marketing terms this can mean that 80% of your revenue is generated by only 20% of your clients.

Is the assertion that a small number of events produce the majority of results valid? It may not be a hard and fast rule with a fixed ratio, but the observation has merit:

We tend to ignore these realities in practice and waste time on trivial, repetitive tasks. The most talented people are habitually assigned the most challenging problems that, even when resolved, generally contribute little additional revenue for the company. This results in keeping people busy whether it is important or not, sales are made whether they are profitable or not.

What does the 80/20 rule mean for our business?

Well - for starters it means that one of the best places to find more revenue is with your current client roster. The next step is to identify the top performers so that you can expand business with them and cultivate relationships with the next group on the list.

Once you've identified your top 10 customers ask yourself these questions:

* Have I discussed all the marketing options we offer? Recently?

* Our customers are often distracted when we are talking to them, did they actually hear me say we print business forms and letterhead, did I take a sample of their current stock and get a quote for future orders?

* Do I pre-qualify my customers or make advertising decisions for them without their input?

* How often do I choose not to offer a promotion or ad campaign to an existing client because "I know what they want, need and can afford?"

Recognizing that we are selling ourselves short when we leave the customer out of the decision making process is half of the battle.

Now - which customers on your current list have the potential to become part of your Top 10 if you paid more attention to them?

There's nothing stopping you - go out and target your market today!