What is the true value of a customer?

[FrogKnowledge]

I just recently left the corporate office world and started windshield repairs about 4 months ago and completely forgot about “customer value” what this means is how much is a customer worth to you over the course of the life cycle and how much are you willing to spend to get that customer. Sometime we would spend 300% of the first projected order to get a customer because we knew the value of the customer of the life cycle.

You’re going to have to do some research for your own area these number shows for my area.
Average Household has 3 vehicles
Average Vehicle get 2-3 repairs annually (let’s say 1)
Average time in same house 5 years

The math:
3 vehicles x 1 repair per vehicle per year = 3 repairs per house hold per year X 5 years in the same house = 15 repairs per life cycle X $50 per repair = $750.00 is the value of that customer.

So how do you maximize the Value of The Customer?
If you’re not using a CRM “customer relation management” software then either get one now or stop working for yourself. I recommend Zohoo because it’s free and has so many other tools.

Collect everything you can from the customer; email, phone, fax, address everything you can, and then use them all cold call to see how their doing send out a mailer and email them something of value

Invest in a static cling sticker for the windshield similar to the ones you see for lube and oil places. Saying this window is protected by “your company and phone number” Custom printed 500 cost $250 online buy more save more

I was thinking about selling windshield wiper blades, but now my next direct mailer that goes out will give them away FREE to the first 100 people my cost is about $15 per vehicle not bad over the long haul when that customer will always remember the guy that fixed his windshield and gave him a set of good quality windshield wiper blades for FREE.

Send an email every month include coupons to other automotive shops in town you can find their coupons online or in the paper then call the shop say, hey can I distribute your coupons to my customer. They will always say yes then ask can I drop some flyers of to you and leave them on the counter, they will say yes. Remember you’re not competing with tire and lube shops.

With the emails come up with money saving tips like check the tire pressure to save XX miles per gallon whatever just make it so that they want to open your emails.

I think that’s it for me what do you guys think.

[mrchips]

Great thoughts..........not only of figuring out the true VALUE of a customer, but also some ADDED value. Nice thinking!

Here's another great added value tip or two

1. Always clean the customer's entire windshield

2. ArmorAll their dash

3. Leave a little coupon of "thanks" attached to their rearview mirror (I use this when I do B2B and do the repair while they are still back at their desk. The coupon I use is like a little "doorhanger" I had my local printer make up that hangs on the mirror. It explains that I have treated their dash with a "complementary dash treatment" and includes a discount on their next repair (I have used a FREE $5 bill as incentive but found that wasn't as successful as a future discount AND a BOG card (BOG=Be Our Guest card from McDonalds) it includes a free ice cream or sandwich to them from their local McDonalds............

4. Go talk to the local McDonalds manager and ask how you can get BOG cards from them (they print them and you pay a few pennies for each) I have written about this little technique in a book, and it works great, you should try it. In fact, McDonalds even printed my name on the back! The customers love it! My cost? under 5 cents.

Every thing you can think of that separates you from your competitor AND gives EXTRA value, will keep the customers coming back.

[screenman]

If anyone slapped shiny stuff on my dash there would be hell to play, cannot stand the stuff. Other than that some good idea's coming up. As someone who has customers that have spent in excess of £100,000 with me over the years I must be doing something right. Be on time, be cheerful and leave a nice feeling behind with the customer when you finish.

[sunshine wr]

How many repairs??

[Roo]

I am going to have to agree with screenman on the armor all. That stuff makes the dash so shiny that the reflection of the dash in the windshield is a road hazard . Good ideas overall though, thanks for sharing

[curt]

Mr Chips, I like shiney things LOL.

[sunshine wr]

to each his own

[screenman]

SunshineWR was the question aimed at me if so, on average about 4 or 5 per week, in fact using the calculator rather than my dismal brain cell the figures is much higher, with 2 of my customers who we have been repairing for since 1988 on a weekly basis. We are obviously talking fleets here and not single retail customers, fleets are my preffered target market.

[sunshine wr]

Many thanks!

[FrogKnowledge]

I think you guys are missing the point.

The reason for posting this topic was to find ways to stop chasing new WSR everyday and start building a business of repeat customers and referrals.

Another thing that works great for me is when I go door to door I offer a FREE windshield inspection and for just letting me inspect your windshield I will give you a coupon for $25 of your state inspection and emissions that normally would cost $59. These promotion and discounts I give out don't cost a thing and add perceived value to the consumer.