Creating a Database for your Business.

A Database is vital to the success of your business. Too many business owners make little or no effort to capture the details of 'potential' customers and already 'existing' customers. This can cost a business literally hundred's of £'s each year. When you start your business you MUST make provision for a database.

An example of a Database in its simplest form is a 'customer mailing' list. If you visit the homepage of this website you will notice there is an 'opt in' or 'sign up' form which allows visitors of this site to receive a free Business Tips newsletter.

Once you capture a visitors name and e mail address, you then have the option to contact them at anytime in the future, providing they stay subscribed to your service or newsletter. This will give you the option of informing people of any new products or services that you have to offer, and it will also enable you to offer them discounts or other incentives to purchase from you. As you can see, a database can be very powerful.

The Power of a Database.

Let us take a look at how profitable a database can be.

If you have a database, where 10 new people 'opt in' every day, after a 12 month period you would have 3,650 people signed up. That's 3,650 potential customers! Let's say for example, you contacted each one of them once a month via e mail for a 12 month period, offering them a special offer on a product or service. 1% of them take up your special offer and purchase the product every month, which is worth £15 net profit to you. That would generate £5,475 net profit every 12 months!

If the database grew at the same rate (10 people per day) for the next 5 years, during the 5th year the database would now have a membership of 18,250 people and it would generate £27,375 worth of net profit based on 1% taking up your special offer each month.

Now you DO know the power of a database!

Treat your existing customers like Kings!

An existing customer is 14 times easier to sell to than a new one. Therefore you must look after your existing customers.

The first step in making sure your customers are happy is to create great products and services.

 Spend a minute or two thinking about a product or service you recently purchased that you weren't happy with. Was it the quality of the product or was it the customer service that annoyed you? Whichever one it was, one things for certain... you won't buy from that company again.

Apply the same thinking process to your business. Make sure you create very good products and services and also provide an excellent customer service. Make your customers what to come back for more. If you do this, and you capture their contact details, then this could make you a small fortune in net profit every year. Just re-visit the above figures to remind yourself how much extra profit you can make!

Once you have created great 'base' products you can then start to think like an Entrepreneur. Ask yourself the question - "What else do my customers want?", "What other products or services can I sell them that they might be interested in?".

Remember during the previous section of the business start up course entitled - 'Business Marketing Tips', we looked at the shopper who was buying a bed? What else did he buy? That's right, he purchased pillows and a duvet set. Something which he 'needed' at that particular time.

Apply the same logical thinking to your business database. What else might my customers be interested in? Once you begin to understand the benefits of a database you will then be able to create 'up sell' products for your existing customers. If you don't have a database, then you can't sell to them anymore!

NOW REGISTER FOR THE 'ULTIMATE BUSINESS START UP COURSE BY CLICKING HERE!