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Some Pertinent Suggestions on How
to Develop and Keep Regular Customers
by GOODREAU SOPER, Small Business Division
U. S. Dept. of Commerce
Like most other retailers, you prob-
ably spend considerable money and time
in an effort to attract new customers to
your store. Do you give equal attention
to holding them once they have started
to buy from you? And are you making
a determined effort to keep your pres-
ent regular customers?
Obviously, you always must try to
obtain new customers. But at the same
time, you should not become so intent
upon winning new customers that you
fail to keep old, regular patrons. They
are the most profitable you have, both
in sales and in the word-of-mouth adver-
tising given to a store by satisfied buy-
ers.
Reasons why you may be losing cus-
tomers.—Listed here are a number of
questions based on customer statements
as to why they dislike or refuse to shop
at particular stores. If you are losing
regular customers or failing to make
regular customers out of newcomers to
your store, a careful application of the
questions to your store services, appear-
ance, and policies may help to uncover
the reasons. The list does not pretend
to be all-inclusive. As you go over it,
additional questions may come to mind.
In applying the questions to your own
operations, don't be too quick to give
favorable replies. Think over each ques-
tion carefully before answering. If not
absolutely certain that you can give a
favorable answer, check the question for
further careful study. If you must give
an unfavorable answer, note the condi-
tion and correct it as soon as possible.
1. Do your sales people make a genu-
ine effort to fill the needs of customers?
Or does indifference on their part send
customers to competitors' stores?
2. Are customers served promptly?
3. Are customers called by name,
made to '"feel at home," and shown that
their patronage is appreciated? How
many customers do you know by name?
4. Do your sales personnel give cus-
tomers sufficient time to look over the
merchandise? Do they provide adequate
information about it? Do customers feel
that they are being "rushed" into buy-
ing?
5. Is equal courtesy given to all types
of customers? Or do your salespeople
8
make some types of customers, such as
teen-agers and persons who are dressed
shabbily, feel that their business is not
wanted?
6. Are y r our employees careful to
charge cash customers the correct
amount and to bill credit customers cor-
rectly?
7. Do you select merchandise care-
fully so that you carry the brands, qual-
ity, styles, sizes, color and price ranges
desired by customers?
8. Is your merchandise always clean ?
9. Is it displayed openly? Are prices
indicated clearly?
10. Is your merchandise so arranged
that customers may buy all related mer-
chandise for a particular need or use?
11. Have you an "out-of-stock" book?
Are out-of-stock items kept to a mini-
mum?
12. Are your store hours convenient
for customers? Would remaining open
later be helpful to them? Would it bring
you additional sales and additional net
profits?
13. Can you provide customers with
needed services and conveniences, such
as check-cashing facilities, drinking
fountains, etc.?
14. Are parking facilities for custom-
ers adequate? If not, can you provide
additional facilities either alone or in
cooperation with other merchants?
15. If your store provides alteration
or repair service, is it of high quality?
16. Are your window displays and
advertisements interesting and attrac-
tive?
17. Is your advertising always fac-
tually truthful? Do you sometimes paint
too glowing a picture of your merchan-
dise? Do your salespeople represent
merchandise to customers fairly and
honestly?
18. Is your store clean, orderly, at-
tractive, and well-lighted?
19. Are promises to customers kept?
For example, is merchandise delivered
on the date promised?
20. Are customers'
complaints
handled promptly, cheerfully, tactfully,
and to their complete satisfaction? Do
you try to remove the causes of com-
plaints, insofar as possible?
Asking
opinions of
employees,
friends, and suppliers.—Even though
your own appraisal of the store may be
thorough and impartial as possible, don't
rely upon it alone. Instead, ask also the
opinions of your suppliers, business as-
sociates, and selected employees. You
may wish to do this before making your
own appraisal, since their answers may
suggest shortcomings of store policies
and operating methods to be considered
in your study.
Asking present and previous custom-
ers.—Present customers and those who
formerly traded with you but now shop
elsewhere probably are the best sources
of information about the faults of your
business.
You may be able to obtain worthwhile
suggestions and at the same time build
good will by asking present customers
how to improve your services to them.
Many will be flattered that you seek
their opinion. One way to ask for sug-
gestions is by stating occasionally, in
a boxed part of your advertisements,
that customer recommendations and criti-
cisms will be appreciated. You might ask
that the customer speak with you per-
sonally about her suggestion or criti-
cism during her next visit to the store.
Perhaps the most helpful information
would be frank and honest statements
from former customers as to why they
no longer trade at your store. Such in-
formation would enable you to remedy
the offending conditions, where possible,
and at the same time, (perhaps, win back
the former customer's patronage. Here
are several ways to ask former customers
why they stopped buying from you:
a. You might send each former cus-
tomer a typewritten or personalized re-
produced letter, saying in effect that you
haven't seen her in the store recently,
that you appreciate her past patronage,
and that you are anxious to serve her
again. The last -paragraph of the letter
might urge her to write you stating how
your store may have displeased her or
why, for any other reasons, she hasn't
traded with you recently. You might
point out that the customer need not
sign the letter if she would prefer to re-
main anonymous. As an inducement to
the customer to visit your store again,
the letter might include mention of a
THE MUSIC TRADE REVIEW, SEPTEMBER, 1950