Investing: More than just money

As small business owners try to increase their business, they need to invest in order to receive a return (called a “return on investment” or “ROI”).

Small business owners invest money in the hopes of making more money. They invest other types of resources, too, like time and effort and knowledge, in order to grow their business.

But there’s one type of investment that you might not think of. And, if you’ve come from a sales background, you might completely miss out on this opportunity! The investment into the customer relationship. Like time, money, and effort, this IS an investment with an expectation of ROI. But in this case, you’re investing yourself.

I recently read an article called “Paying Attention is a Good Sales Strategy” on the SmallBizTrends.com blog. They rightly point out that small business owners (and, very frequently, sales people) aim for the sale and ignore the nurturing relationship that leads up to it. And in today’s business world, that nurturing relationship is vital.

The article, written by professional coach Diane Helbig, gives 3 reasons why investing in that relationship is worthwhile:

1. It enhances the bond between you and your client.
2. It presents opportunities for increased business.
3. It is a cost effective marketing strategy.

These are three very powerful returns that aren’t immediately considered by some entrepreneurs because they don’t come with an immediate price tag.

Case in point: On some sales, you might think: “If I invest 2 hours and $500 cash into selling to this customer, and I make $3000 as a result, I’ll make money.” That is a clear and measurable ROI. However, nurturing a relationship with a customer doesn’t have such a clear metric because it might require a few minutes of your time each week over a period of several months in order to sell. But along the way you’ll enjoy the 3 returns listed above.

The exact ROI on relationship building is fuzzy, but business owners would do well to invest in nurturing a relationship with their customers anyway.

Jessica Routier, IAC-EZ

Jessica Routier

Jessica wants to talk to you! She is who coordinates the contests, travels to all the conferences, and interfaces on a fun level with customers on a daily basis in order to bring our users together as a community.

Jessica has a B.Admin and an MBA. Her background in business, along with a diverse skill-set (including a diploma in Medical Transportation, retail experience, and experience as a paralegal) make her a valued, highly flexible team member.

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