• by Gavin Finn , Op-Ed Contributor, June 22, 2010

Business relationships aren't all that different from personal relationships; each needs to be nurtured and tended to. In both cases, people gravitate to interacting with individuals they like and respect. And, while we all can appreciate the fact that we need to focus on existing customer relationships as much as we do with cultivating new ones, the question of whose responsibility it is to do so continues to be up for debate.

A common misperception is that customer retention is the domain of sales, account management or the services department. Yet, marketing departments are key to nurturing and building a continuing relationship with existing customers in many ways, including the development and enhancement of the brand perception, expansion of customer share, and product marketing.

If you consider that it typically costs six times more to sell a product or service to a prospect than it does to an existing customer, it stands to reason that sales, account management, services and marketing should all be supporting up-sell and cross-sell efforts.

There are various strategies companies look to employ when continuing to build long-term relationships with customers. One such strategy that is not only pervasive but profitable is the establishment of a loyalty program. In fact, nearly 75% of shoppers in the U.S. now belong to at least one kind of loyalty program. Why they work is far more about psychology than economics.

Customers want to feel coveted and special, and loyalty programs help make them feel that way, not to mention the programs and technologies that enhance the ability to do that offer valuable ways to help customers save time and money. Successfully leveraged by BtoC marketers, loyalty programs can be extremely successful in BtoB relationships as well.

One trap that BtoB marketers often fall into is that they use loyalty programs to give existing customers special offers and discounts. While this certainly works in BtoC, it's a different game with BtoB. Likely, if they've been identified as a valuable customer, they're already getting a discounted rate.

How a loyalty program benefits all parties is through high-level support and exemplary client service that helps them to do their jobs more effectively and efficiently. At the same time, the BtoB marketers can gain insight through the loyalty program by asking questions about their customers' needs and pains. By doing so, they're able to build solid, detailed customer profiles that can then be used to design customer experiences that are reflective of what has been learned about them. These types of actions will further help to create and maintain long-standing relationships, and ultimately, dramatically increase customer loyalty.

Over the last decade, there's been a proliferation of Web-based customer communities, which serve as another strategy for marketers trying to build customer rapport. Customer communities are essentially online affinity groups, where individuals support each other surrounding the use of products and/or services. Their membership is generally comprised of extraordinarily passionate customers, and as such, their endorsements carry significant weight, and conversely, so can a member's negative experience.

How marketers can best leverage these forums is to, first and foremost, pay attention to the discussion. By doing so, in addition to garnering an understanding of what the target market's perception of the company is, marketers can quickly and easily learn what issues customers are having with the company and/or its products. This presents an incredible opportunity to address the issues swiftly and, often, in a transparent manner.

Savvy marketers will also treat the membership of a customer community much in the same way they'd treat those in a loyalty group. These members might be offered beta-testing opportunities, be given breaking news of a new product or service in advance of the general public, and be granted direct access to an organization's second-level support personnel. Again, this is effective in making them feel special, and demonstrates that their feedback and business is of great importance to the company.

Surveys show that the majority of buyers want to be informed about new and add-on products or services that will address their pain points. Because cross-selling presents a means of demonstrating awareness of a client's needs, marketing should be as responsible for building awareness of cross-selling opportunities as sales. Marketers should be cognizant, however, to offer existing customers products or services that complement the original purchase and further solve the customer's problem. The focus should be on enhancing the overall customer experience, not just their ROI.

Finally, marketers need to be aware of cross-marketing opportunities that can further reinforce broader uses of what's already been sold. Deepening the value of a product enhances the importance of the relationship. Reusable solutions and helping the customer extend the use of a product or service further within a department or throughout the organization reinforces dedication to the customer relationship.

The value of keeping marketing actively engaged with existing customers cannot be overstated as it relates to the health and success of the business, long-term. Continuing to market to existing customers in a manner that adds value to both parties keeps customers thinking about the company and their relationship. And, let us not overlook the role individual customers can play as influencers within their own organizations and among colleagues in terms of referrals and new business leads. In the end, like any relationship, continued personalized care and attention breeds goodwill.