Losing customers to competitors? Here’s how to get them back.

Mmm, smell that? Fall’s in the air. Hot cider, crockpot chili, spiced pumpkin Yankee Candles, burnt hair. It’s feeling warmer already.

Hot off the SMB press this week: 

• BRB. Winning back customers using a pretty savvy process.
• 10 tips that’ll turbo charge your SMB (h/t Seth Godin).
• Turns out, having work friends can lead to high-performing work teams.

But first, here are some headlines that caught our attention this week.

TL; DR

This week's highlight reel

• Cash grab. Grants. We like those. Free money, and all. Anywho, Wells Fargo is funding a bunch of grant programs for small businesses in various underserved U.S. cities. See if your city made the list and hit ‘em with an application. 
• The gig is up. This week, the Labor Department dropped some news: A new proposed rule would reclassify “gig” workers (or, independent contractors) as employees entitled to certain benefits. The new rule would affect millions of janitors, home-care and construction workers, drivers, and other SMB sectors. Keep this one in your Netflix queue to watch.   
• RIP, GIF? Apparently, GIFs have gone the way of dinosaurs, or… Boomers. Giphy reported declining uploads on its platform, giving way to the MP4 video format (which works a lot like a GIF but is a smaller file). We don’t know about you, but we’re partial to good ol’ T-Rex. 
• This Is Halloween. One of 2022’s hottest marketing tactics — nostalgia — is rearing its head again. This time, it’s McDonald’s, who’s coming in hot with a special adult version of the Happy Meal and the return of Boo Buckets. Treats > tricks — every time. 

HELLO AGAIN

Lost customers to your competition? Here’s how to win them back. 

[Insert arch nemesis] is the worst.

That’s just a straight-up #fact. And it’s time to convince the customers who dropped you. Your knee-jerk reaction might be to throw a coupon at them. But before you do, put away your promo codes and hear us out.

Not only does offering discounts put a dent in your immediate revenue, but it’s also not a practical long-term resolution. After all, you have to get to the root of the problem to find an effective solution.

Follow these four steps to create a plan that’ll make your customers come crawling back to you (as they should).

Step 1: Figure out the “why.” AKA, why are customers making the switch? Check out your competition’s marketing campaigns, website, return policies, product features — everything that impacts the customer experience. Then, compare it all to your own data and take note of any key differences.

Step 2: Identify your best customer. In other words, which customers are the most profitable? They may not be your most frequent buyer or even the one you reliably lure in with your tempting sales. More often than not, they’re simply the most loyal. Determine who your most devoted customers are and dive into what makes them die-hard fans. You can even send out a survey to this group to understand why they faithfully choose you.

👉 Put insight into action with the last 2 steps.

WE HAVE A PODCAST

This week on Organize Chaos: Recession pricing strategies  

Hi. We heard you’re looking for a new podcast to binge. Well. Allow us to be that friend and introduce you to your new favorite listen: Organize Chaos. Every weekday, founder and CEO of Trainual, Chris Ronzio, offers up entrepreneurial and small business leadership advice that covers everything from people to processes to productivity — and how to organize your life around it all.

In last week’s podcast, Chris synched up with Patrick Campbell, CEO of ProfitWell, to talk about pricing. Specifically, how to price your product or services in a recessionary environment. Patrick also breaks down his framework for communicating pricing changes to your customers and how frequently you should be making those price adjustments. Sounds pretty relevant right now, eh? We agree. Give it a whirl. 

Only have 10 minutes to spare? Check out these mini pods:

• Are you noticing the layoff and hiring freeze headlines? 
• Turning your greatest problem into a competitive advantage.

TIP INCLUDED

10 thought-provoking tips for small businesses from Seth Godin

Meet Seth Godin. 

If you’re not familiar with Seth, he’s the mastermind behind 20 (yes, you read that right) best-selling books including “Tribes” and “This is Marketing.” He’s also written ebooks, given TED talks, and pioneered ethical online direct marketing, which is now a $30B a year industry. 

Okay, so the guy’s got some cred.

You can say that again. So when we had the chance to ask him a few questions at Playbook 2022, we took full advantage and condensed some of his most fire tips and advice into 10 thought-provoking takeaways that any SMB can use.

1. Focus on reaching someone versus everyone. Seth says there’s too much pressure on entrepreneurs to reach everyone and take their brand to the mass market. Find your smallest viable audience, weave together a community they’d miss, and support them with valuable offerings.
2. Start documenting and know it will most likely change. The first step to documenting is learning how to write a recipe that eliminates any assumptions. Then, it’s just a matter of writing out all your SOPs — and knowing that you’ll probably get it wrong. “You have to write it wrong so that people can give you feedback,” Seth told us. Then, it’s just a matter of updating your documentation. 
3. Spam isn't marketing, and cold DMs aren't sales. “Job number one is [creating] a contagious, viral, and useful service or product that spreads without me having to call people on the phone,” Seth explained. Then, it’s about spreading relevant messages to the people who want to hear them (AKA, your target market). 

👉 See the rest of the 10 tips and watch the full Playbook 2022-exclusive interview.

THAT’S MY BEST FRIEND

Looking to boost team performance? Employee friendships are where it’s at.

How important is it that my employees are friends?

Humans are social and need a sense of belonging, which is why meaningful workplace relationships produce positive outcomes. More specifically, it drives high performance.

Employees with close work connections are more productive, creative, and collaborative. Plus, they’re less susceptible to burnout and turnover because they have more job satisfaction.

That’s sweet! But what if my employees aren’t really friends?

Unfortunately, people aren’t able to focus, relax, or work well with others when they feel lonely at work. Meaning, your friendless team members are way less efficient, which can raise your operating costs by 25% per year.

Got it. Sounds like I need to get my team connected.

We got you. Here are three foolproof ways to make your work peeps best friends forever:

1. Help employees identify shared commonalities. Friendships often develop between people who have things in common. Maybe two of your employees share mutual hobbies, have kids the same age, or binge the same TV show. Help them connect by having everyone share fun facts and interests when they onboard. 

🔥Tip: Build a digital, interactive team directory where everyone adds a bio. They can include the TikTok video that brightens their day, a Spotify clip by their favorite artist, or a family photo — the opportunities are endless! Get started with Trainual.

👉 Learn two more ways to foster connection.