Use Your Lost Customers

One of dozens of strategies listed and linked to here:
How to Make More Money From Your Business


There are two basic ways to use lost customers to increase your profits. The first is to find out why you lost them in the first place, and use that information to improve the service or product you sell. There will be times when there is nothing applicable from such research. If a customer stopped coming to your store because he moved, for example, this doesn't necessarily suggest a solvable problem. Then again, if you hear the same reason enough and the moves are to the same area, it could be time to build another store in a new location.

How you apply this idea will depend on the nature of your business. If you run a fast food restaurant, for example, it can be tough to even identify lost customers, let alone find them to get information. In that case, the best you might hope for is to ask around about anyone who has heard bad things about your business, and look for common complaints that might suggest improvements.

If you have a business that has a customer list, you can note who hasn't used your service or bought your product in a long time, and contact them. For example, if you clean houses and a regular client stopped using your service a year earlier, you might just call and ask why? If it is because they no longer could afford the cost, you might consider offering minimal service at a discount. If they tell you that your employee broke things or stole from them, that's something you need to fix.

I recently canceled my subscription to an online service that provided content for my sites. I explained in some detail why I wasn't satisfied with what they offered. But this is rare. Most of the time you will not know why you lost a customer unless you find a way to locate and question him or her.

Another Way to Use Lost Customers

It's a good idea to make improvements based on information gleaned from lost customers, but you can also make money more directly from them. How? Help them get what they want elsewhere, and arrange with other businesses to get paid for sending them there.

Suppose you sell new cars and you have a customer who just can't qualify for normal financing. Help him out by sending him to a used car lot seller who arranges financing for bad-credit buyers. You helped yourself out too, if you arranged to get a commission for each purchase made by a person you send.

To prepare to use this strategy, list all the most common and essentially unresolvable problems potential customers have with your product or service. Then find solutions outside of your business for these lost customers, and start arranging a way to make some money by providing this help.

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Every Way to Make Money | Use Your Lost Customers