Don’t forget about existing customers

When running a business that requires people to have a membership, it can make sense from a business perspective to try and give your new customers the best deals.  It can be a “thank you for joining” reward, and maybe can be an incentive for other people to join as well.  However, the problem with this logic is it completely ignores any and all previously existing customers and shows a lack of appreciation for the loyalty they’ve had for a business. 

If a company is in a position to offer a great deal to its customers, it must go to the customers who have already been there for some time.  They are the ones who have paid the most and helped the company grow, so they cant be ignored.  Also, if they feel as if they’re being treated well, the less likely they are to leave.  Basically, they need to know they’re loyalty is being appreciated rather than ignored.  This is an essential business practice.

Providing the best deals to current customers rather then joining customers can work to both keep customers and convince others to join.  If they’re receiving great compensation and service for their loyalty, they are much less likely to leave.  In addition, by providing support to customers, it can create a strong reputation for a company, and more importantly, build trust.  As a result, if consumers trust a company because existing customers and members give a good recommendation, the company is more likely to gain more members.

The same goes if there is a crisis or a problem with service.  A business can’t ignore longtime customers and only tend to new customers out of fear they will leave.  Existing customers must be a priority, too.  Basically, the incentive for joining a company should be good service across the board and respect for existing customers, and in return, they will be loyal to the business.