Customer retention and customer profitability are at the top of every CEO’s list today regardless of what industry or vertical you’re in. Marketing gurus tell us that we must become trusted advisors to our customers, intertwine value-added services with our base offerings to create “stickiness.” Make it harder for the customer to switch providers, while at the same time creating multiple revenue streams from each customer.
I’m not going to argue that logic, in fact I’ve woven that discipline into every company where I’ve led their sales and marketing efforts. One thing we often overlook is that we are not the only ones reading these marketing books, and everybody that sells anything to our customer is using the same strategy. As expanding technology creates opportunities for us, it also enables our competitors, and overlapping offerings put us at risk, often unknowingly.
A good example of this is letting your customer select their own merchant services provider. On the surface there may not appear to be any overlap or conflict with the POS services that you provide, but you can bet that there is a strong and constant undertow of cross-selling efforts at work. Every day your payment processing partners are calling your customers to sell gift and loyalty programs, text-based marketing services, cash and factoring programs, and much more. You may not compete with them on the initial sale, but you will compete with them for every additional product or service that you want to sell to that customer.
A better solution is to eliminate that cross-sell conflict by embedding a merchant services solution in your software. Yes, it creates additional paperwork to have the client switch their merchant account at the time of the sale, but it’s certainly not going to cost them any more in the long run, and in fact you may be able to lower their fees.
In addition to expanding your revenue base from the merchant services offering, you circle the wagons around your own cross-selling strategy by eliminating another supplier’s access to your customer. Earn more today by selling more upfront, and more importantly, protect tomorrow’s sales by keeping potential competitors at arm’s length from your customer.
Learn how to protect your customers from the invisible cross-selling being done by your service partners; call Don Apgar at Integrity Payment Systems, (631) 404-0131, email firstname.lastname@example.org, or visit us online at www.integritypays.com.