Customer Buying Cycle
It is a common misconception that business transactions are simple affairs. Business majors and entrepreneurs have spent decades trying to understandÂ each step of a customer’s buying process in order to better attract and retain customers.
There are three consecutive steps that customers take when they show an interest in purchasing a product or service. Unfortunately, many business owners are not aware of the best way to target each of these phases. Each phase reflects a different stage in the customer’s mentality, meaning the ideal strategy to targetÂ each phase will differ.
Three Main Phases
- Awareness – first becomes aware of the product or service
- Interest – shows interest in making a purchase
- Purchase – final evaluation and ultimately purchase decision
It is important to understand how to address the needs of each phase. It will go a long way towards boosting your sales and securing long-term customers for your business.
In this phase, the customer becomes aware of who you are and what you can offer them. Through various advertisingÂ channels, you can deliver your message to appeal to your desired target market. Search Engine Optimization (SEO) is also an important tool that is commonly used during this phase. SEO refers to the practice of creating a website that is tailored to the demographic that you wish to reach. Relevant keywords will be inserted into the indexed pages with the intention of leading searching customers to yourÂ website.
In the interest phase of the customer buying cycle, you get a chance to build upon the customer’s awareness. Typically, customers do not want to commit during this phase; they are likely still doing research and shopping around. You need to give potential customers a compelling reason to purchase from you, instead of your competition.
- First, you need to market yourself as the solution to your customer’s unique problem.
- Second, you need to address the customer’s needs and perspectives. Many businesses will provide positive reviews and testimonials.
This phase of the customer buying cycle includes the purchase of the product or service, as well as the final evaluation. The time to up-sell additional products and services is appropriate in this phase.
For example, car dealerships are especially fond of this phase of the cycle. Once the customer is ready to negotiate price, the sales person will do everything they can to convince the person to purchase the vehicle. They may slash the price, throw in extra bonuses or offer rebates.
Are you having difficulty attracting and retaining customers in any stage of the customer buying cycle? Contact Rob Carol Business Coach today!Â Rob has helped many of his clients achieve results that they didnâ€™t even think were possible.