The Driller
  • Sign In
  • Create Account
  • Sign Out
  • My Account
  • NEWS
  • CLASSIFIEDS
  • EQUIPMENT
  • SAFETY
  • VIDEOS
  • EDUCATION
  • SOURCEBOOK
  • EVENTS
  • SUBMIT
  • ABOUT
  • SIGN UP
cart
facebook twitter linkedin youtube
  • NEWS
  • Water
  • Geothermal
  • Construction
  • Environmental
  • Mining
  • All Industry News
  • EQUIPMENT
  • Rigs & Heavy Equipment
  • Consumables
  • Pumps
  • Featured Products
  • VIDEOS
  • Newscast
  • Drill Talks
  • Ask Brock
  • Emerging Drillers
  • EDUCATION
  • Drilling Business Insights
  • Reference Desk
  • Sponsored Insights
  • EVENTS
  • Conferences & Demo Days
  • Newscast LIVE
  • SUBMIT
  • Drillers @Work
  • ABOUT
  • Contact
  • Advertise
The Driller
search
cart
facebook twitter linkedin youtube
  • Sign In
  • Create Account
  • Sign Out
  • My Account
The Driller
  • NEWS
    • Water
    • Geothermal
    • Construction
    • Environmental
    • Mining
    • All Industry News
  • CLASSIFIEDS
  • EQUIPMENT
    • Rigs & Heavy Equipment
    • Consumables
    • Pumps
    • Featured Products
  • SAFETY
  • VIDEOS
    • Newscast
    • Drill Talks
    • Ask Brock
    • Emerging Drillers
  • EDUCATION
    • Drilling Business Insights
    • Reference Desk
    • Sponsored Insights
  • SOURCEBOOK
  • EVENTS
    • Conferences & Demo Days
    • Newscast LIVE
  • SUBMIT
    • Drillers @Work
  • ABOUT
    • Contact
    • Advertise
  • SIGN UP

A Little Known Marketing Secret: More Customers Isn't Your Goal

By Adams Hudson
October 1, 2007


Every contracting business wants more customers, right? Well, yes and no. To keep your business strong, it’s certainly important to use marketing to generate leads and discover new prospects. But if that’s all you’re doing, you’re overlooking a very important and very natural method for bringing in business.

Marketing success isn’t a secret; it’s a strategy. And determining the right strategy begins by asking the right questions. For instance, consider the following questions that I ask at seminars around the country:

  • Who buys faster … the existing customer or the first-time caller?

  • Who’s more likely to pay more … the existing customer or the first-time caller?

  • Who’s more likely to buy the upsell … the existing customer or the first-time caller?

  • Who’s more likely to refer others your way … the existing customer or the first-time caller?

Right about this point in any seminar room, you’re likely to hear shouts overwhelmingly in favor of the “existing customer!” But just after they confidently yell their answers, the other question I stump them with time and again is: “And lastly, how many of you have a customer retention program in place?”

With that, you hear sickening sighs of discontent from the previously excited horde. The color fades from their faces as they see the error of marketing purely for acquisition. Perhaps you’re a tiny bit pale right now, too. In an odd way, I hope so, because pain precedes change. And at least now you’ve realized your error, and are ready to hear what to do about it.

Retention marketing is about keeping the customers you already paid to acquire. A customer retention campaign investment will range from a minimum of 6 percent to 8 percent of your total marketing budget. But it pays you well beyond that in the aforementioned benefits provided by existing customers.

If you’ve employed some of the most fundamental elements of customer retention, including maintaining regular contact through regular mailings, you’ve made a wise investment in your relationship with customers.

But let’s get more specific about these regular mailings. Of course you’ll want to make your customers aware of special offers, but if that’s all you’re doing – contacting them to sell them something – it’s a big turnoff.

That’s why the customer newsletter is by far my favorite part of customer retention. And that’s because of an important reason – a newsletter filled with interesting and practical information is not perceived as advertising, and, thus, forges a far better image and strengthens your relationship with your customers. It’s perceived as being helpful, rather than being pushy.

As a contractor, you’re an expert at what you do. So why not share your knowledge with customers in the form of a professionally produced newsletter? They’ll appreciate you for it. And as you use effective marketing tools like newsletters to improve your relationships with customers, you’ll also improve your retention of same.

Make sure you send newsletters between two and four times per year to every customer who has written you a check in the last 48 months.

For those who do it right, customer retention newsletters are among the most cost-efficient marketing methods around. After all, it costs you $275 to $325 in marketing costs for each new customer, and that’s money you’ve already willingly spent. Now, to keep those dollars working for you, you’d only need to spend another $3 per year per customer for a good customer retention newsletter.

Isn’t keeping your customers worth that small price? I trust the answer to that question is a big, resounding “Yes!”
ND

Share This Story

Looking for a reprint of this article?
From high-res PDFs to custom plaques, order your copy today!

Adams Hudson is president of Hudson Ink, a marketing firm for contractors. Visit www.hudsonink.com for other free marketing articles and reports.

Recommended Content

JOIN TODAY
to unlock your recommendations.

Already have an account? Sign In

  • geotechnical drilling rig

    6 Onsite Phrases Environmental Drillers Hate

    Here are six phrases that highlight common frustrations...
    The Underground Network
    By: Jeff Garby
  • Wayne Nash

    Pipe Stuck? Common Causes and Solutions for Drillers

    If you have drilled for any length of time, sooner or...
    Oil & Gas Drilling
    By: Wayne Nash
  • submersible pumps, water well pumps

    Selecting and Sizing Submersible Pump Cable

    This article helps pump installers and servicers decide...
    Markets
    By: Bob Pelikan
You must login or register in order to post a comment.

Report Abusive Comment

Subscribe For Free!
  • eNewsletters
  • Online Registration
  • Subscription Customer Service
  • Manage My Preferences

The Driller Newscast: Coiled Tubing Drilling and the Future of Geothermal

The Driller Newscast: Coiled Tubing Drilling and the Future of Geothermal

The Driller Newscast: New York Geo Talks 2025 Conference with Hands-on Driller Education

The Driller Newscast: New York Geo Talks 2025 Conference with Hands-on Driller Education

The Driller Newscast: 21st Century Drillers | Part 1 DEMAND

The Driller Newscast: 21st Century Drillers | Part 1 DEMAND

The Driller Newscast, Episode 147: Global Geothermal Collaboration at NY-GEO 2025

The Driller Newscast, Episode 147: Global Geothermal Collaboration at NY-GEO 2025

More Videos

Sponsored Content

Sponsored Content is a special paid section where industry companies provide high quality, objective, non-commercial content around topics of interest to the The Driller audience. All Sponsored Content is supplied by the advertising company and any opinions expressed in this article are those of the author and not necessarily reflect the views of The Driller or its parent company, BNP Media. Interested in participating in our Sponsored Content section? Contact your local rep!

close
  • demo of a DM450 drilling rig during a customer factory visit
    Sponsored byGeoprobe

    Built for You: Smarter Drill Rigs, Stronger Support, Bigger Opportunities

Popular Stories

MainPhotoTwoBrothers.jpg

Two Brothers' Journey Through the Drilling Industry

demo of a DM450 drilling rig during a customer factory visit

Built for You: Smarter Drill Rigs, Stronger Support, Bigger Opportunities

AI and Drought Concerns

AI’s Growing Thirst for Water and Power

The Driller Classifieds

COMPRESSORS

EAST WEST MACHINERY & DRILLING IS BUYING AND SELLING AIR COMPRESSORS, AIR BOOSTERS, AIR ENDS & PARTS
Company: East West Machinery

DRILL RIGS

LOOKING FOR LATE MODEL TOPHEADS & DRILLTECH D25'S
Company: Spikes’s Rig Sales

DRILL RIG PARTS

MEETING DRILLERS NEEDS AROUND THE WORLD
Company: East West Machinery

ELEVATORS

SEMCO INC. PIPE ELEVATORS
Company: Semco Inc.

GROUTERS

GROUTING EQUIPMENT - GROUT PUMPS & GROUT HOSE REELS
Company: Geo-Loop Inc.

PUMP HOISTS

SEMCO INC. - BASIC PUMP HOISTS
Company: Semco Inc.

WELL PACKERS

LANSAS PRODUCTS - INFLATABLE WELL PACKERS
Company: Vanderlans Lansas Products

WELL SCREENS

WELL SCREENS & SLOTTED PIPE
Company: Alloy Screen Works

Products

Water Quality Engineering: Physical / Chemical Treatment Processes

Water Quality Engineering: Physical / Chemical Treatment Processes

By carefully explaining both the underlying theory and the underlying mathematics, this text enables readers to fully grasp the fundamentals of physical and chemical treatment processes for water and wastewater.

See More Products

Subscribe to The Driller Newscast

×

Dig deeper into the drilling and water supply industry!

Build your knowledge with The Driller, covering the people, equipment and technologies across drilling markets.

SIGN UP NOW
  • RESOURCES
    • Advertise
    • Contact Us
    • Directories
    • Store
    • Want More
    • Classifieds
  • SIGN UP TODAY
    • Create Account
    • eNewsletters
    • Customer Service
    • Manage Preferences
  • SERVICES
    • Marketing Services
    • Reprints
    • Market Research
    • List Rental
    • Survey/Respondent Access
  • STAY CONNECTED
    • LinkedIn
    • Facebook
    • YouTube
    • X (Twitter)
  • PRIVACY
    • PRIVACY POLICY
    • TERMS & CONDITIONS
    • DO NOT SELL MY PERSONAL INFORMATION
    • PRIVACY REQUEST
    • ACCESSIBILITY

Copyright ©2025. All Rights Reserved BNP Media.

Design, CMS, Hosting & Web Development :: ePublishing

The Driller
search
cart
facebook twitter linkedin youtube
  • Sign In
  • Create Account
  • Sign Out
  • My Account
The Driller
  • NEWS
    • Water
    • Geothermal
    • Construction
    • Environmental
    • Mining
    • All Industry News
  • CLASSIFIEDS
  • EQUIPMENT
    • Rigs & Heavy Equipment
    • Consumables
    • Pumps
    • Featured Products
  • SAFETY
  • VIDEOS
    • Newscast
    • Drill Talks
    • Ask Brock
    • Emerging Drillers
  • EDUCATION
    • Drilling Business Insights
    • Reference Desk
    • Sponsored Insights
  • SOURCEBOOK
  • EVENTS
    • Conferences & Demo Days
    • Newscast LIVE
  • SUBMIT
    • Drillers @Work
  • ABOUT
    • Contact
    • Advertise
  • SIGN UP