Is it easier to sell to existing customers?

Existing customers are easier to sell to — by a long shot: You’re 60-70\% likely to sell to an existing customer, compared to the 5-20\% likelihood of selling to a new prospect.

Should a company spend more time attracting new customers or retaining old ones?

Don’t Spend 5 Times More Attracting New Customers, Nurture The Existing Ones. And it can cost five times more to attract a new customer, than it does to retain an existing one. Increasing customer retention rates by 5\% increases profits by 25\% to 95\%, according to research done by Frederick Reichheld of Bain & Company.

What is the probability of selling to an existing customer?

70\%
The probability of selling to an existing customer is 60 – 70\%, while the probability of selling to a new prospect is 5-20\%. Existing customers are 50\% more likely to try new products and spend 31\% more, when compared to new customers.

Is it more expensive to retain current customers or to go get new one?

A refresher on customer churn rate. Depending on which study you believe, and what industry you’re in, acquiring a new customer is anywhere from five to 25 times more expensive than retaining an existing one.

Why new customers are more important than existing customers?

Your existing customers are more likely to spend more on your products. Satisfying your customers helps you build a large, reliable customer base. And strengthens the pool of customers you can count on to repeatedly purchase from you. When your existing customers are satisfied, they’re more likely to buy from you again …

What is more important attracting new customers or keeping current customers?

Acquiring a new customer can cost five times more than retaining an existing customer. Increasing customer retention by 5\% can increase profits from 25-95\%. The success rate of selling to a customer you already have is 60-70\%, while the success rate of selling to a new customer is 5-20\%.

Why your existing customers are your best customers?

Your existing customers are your best customers because they are more likely to spend more on your products; because they keep your retention rate strong; because their lifetime value keeps increasing with every consecutive year they stay loyal; and because they are likely to refer others to your brand.

Why are repeat customers better than new customers?

Repeat customers spend more money More than 50\% of their annual revenues were generated from repeat customers. Repeat customers were also found to spend 67\% more than new customers. The more times you are able to get a customer to make another purchase, the greater their potential lifetime value becomes.

What is the best way to increase sales in business?

The simplest way to increase your sales is to sell more of the products or services you’re selling at the moment to the customers who are already buying them. For most businesses this involves: persuading one-off customers to become repeat customers. finding customers who’ve stopped buying from you and trying to win them back.

How can recrecognize help you sell more to existing customers?

Recognize that the key to selling more to existing customers is in your after-sale support. Customers’ expectations and concerns regarding after-sale support influence their future purchasing decisions. When customers purchase a product or service, they believe they are buying more than the specific item.

What is the success rate of selling to existing customers?

The success rate of selling to a customer you already have is 60-70 \%, while the success rate of selling to a new customer is 5-20\%. One customer experience agency found loyal customers are 5x as likely to repurchase, 5x as likely to forgive, 4x as likely to refer, and 7x as likely to try a new offering.

How can after-sales support increase sales to existing customers?

Salespeople who increase sales to existing customers usually view after-sales support as an opportunity to strengthen their relationship. Let your customers know why they’re smart to increase their business with you. Customers want to feel they have made a good decision when they choose you and your products or services.