“Typical”vs “Ideal” Client Lifecycle

Written by Dyfrig

23 Jun, 2023

The “Typical” Client Lifecycle and how you are missing out on clients and Opportunities.

If your business is in a competitive niche, and let’s be honest most of us are, understanding and optimising the client lifecycle is fundamental for sustained growth and success. From lead generation to sales conversion and client retention, each stage plays a vital role in deciding the revenue of your business and how a client moves through these stages and how easy it is for you to administer has a big impact on the success of the business.   In this blog, we will explore the “typical” client lifecycle and see how it is not the best model for business success.

    1. Lead Generation: The Foundation for Business Growth.

Effective lead generation is the first step in getting potential clients and too often the only lever that businesses pull when sales need a boost. This process involves attracting leads through various channels such as social media, word-of-mouth, and websites and can involve a great deal of time and effort.  Many individuals may come across your brand but may not be ready to explore it further or make a purchase decision. How do we capture those leads? The problem may not yet be pressing enough!  They may not see you as the answer to the problem, or not even fully accept they have one!

“On average, nurtured leads result in a 20 % increase in sales opportunities, compared with leads that didn’t receive that attention, according to a study by the B2B marketing publication DemandGen Report.”

After capture, nurture is the process of educating your clients, positioning yourself as the expert, and staying top of mind.  Having a robust and effective capture and nurture sequence is crucial before bringing in more leads otherwise you are not getting the best out of your efforts.  A very quick way for businesses to improve their revenue is to go back to leads that have not been purchased initially and run them through a nurture sequence

    1. Sales Conversion: Turning Leads into Clients.

The sales conversion stage, taking qualified leads through a well-defined sales process can vary in complexity, depending on the nature of your business.  As with capture and nurture it’s also a stage that needs to be well-defined and effective before bringing in more leads.  In the world of Amazon 1 click purchase, it needs to be easy to do business with you.

In the B2B world, 73 percent of leads aren’t yet ready to become customers, according to a report by the research firm MarketingSherpa.

The sales process is also the first opportunity to impress your clients, reassure them that they have made the right decision, and position yourself as the expert in the field and a consummate professional.  It can also be a good point to offer upsells and cross-sells.

III. Client Retention and Revenue Expansion

Client retention is a critical aspect of any successful business. There have been many studies on why client leave, and the reasons can vary, but always a large proportion don’t have a valid reason!  No major failure or falling out but likely just indifference.  Retaining existing clients not only ensures a steady revenue stream but also opens up opportunities for referrals, testimonials, and upselling. By maximizing the value of your current client base, you can tap into their potential for generating more revenue.

The probability of selling to an existing customer is 60 to 70 percent—compared with 5 to 20 percent for a new prospect, according to the authors of the book Marketing Metrics.

Building an Effective Client Lifecycle System

Essentially the client lifecycle should be a system that intentionally and automatically maintains contact with prospects and clients, you should focus on building an effective system that minimises lead loss, nurtures leads effectively, convert sales efficiently, and ensures high client retention.

    • Streamlining Lead Nurturing: Implementing targeted and personalised communication strategies to engage potential clients and move them through the sales process effectively.

    • Enhancing Sales Conversion: Ensuring a well-structured and efficient sales process that addresses the needs and concerns of potential clients, enabling them to make informed buying decisions.

    • Nurturing Cold Leads: Re-engaging with leads that have gone cold can provide a quick way to get new clients by rekindling their interest and displaying the value of your offerings.

    • Prioritising Client Retention: Investing in exceptional customer experiences, prompt communication, and personalized interactions to foster long-term relationships and maximize client retention.

    • Leveraging Existing Clients: Using your current client base for referrals, testimonials, and upselling opportunities, thereby expanding your revenue potential.

Understanding and perfecting the client lifecycle is vital for businesses aiming to achieve sustainable and consistent growth. 

My Name is Dyfrig and I help businesses think in terms of Smart Client Lifecycle Management to plan and implement the systems and automation that improve client experiences, create a sustainable business, and increase revenue.

Click below to send a message or book a Zoom Call.