How the customer card enables profit growth

As an entrepreneur, you likely know which of your products or services are the most popular. However, do you also know who buys these products the most? Do you know their demographic details? For example, whether they are male or female, their age, and their family situation? Do you notice if one of the many customers who regularly comes to one of your stores for a specific product suddenly stops coming?

The possibilities of data- based marketing

Marketing offers unprecedented possibilities. Where in the past people would distribute flyers door-to-door and hope for increased sales, there is now a clear shift towards marketing that must deliver measurable results and engage in dialogue with the customer. Customers nowadays expect to be able to purchase products and services through multiple channels. They expect not only telephone customer service but also active support through, for example, social media. If customers receive a newsletter with offers, they want the products or services mentioned to truly suit them. On one hand, this means that a single designer can no longer be 'the marketing department' alone. On the other hand, it offers enormous growth opportunities for organizations that adapt to this.

Know your customer

It all starts with a good customer profile. The simplest way to establish this is through digital customer cards and the information customers leave behind when they order online (two systems that should, of course, be linked). If done correctly, you can send that loyal customer who suddenly doesn't come by anymore, let's call her Sandra, an email with a special offer after two weeks. Not just any sharp offer, but specific to one of the products she collects every week. When she next visits, the staff member, who sees all relevant information directly on the cash register, can give her some extra attention to ensure she leaves the premises as a 100% satisfied customer. If she doesn't come, you might consider giving her a customer satisfaction call after another two weeks. This allows you to find out what she thinks of your business and quickly adjust if she had a poor experience. In this way, a customer who might otherwise have been lost could be retained and possibly even become a brand ambassador.

Approach every customer in a personalized way

This is called personalized marketing. No more spreading flyers door-to-door where the customer finds 90% uninteresting. Instead, a targeted mailing with an offer that truly suits the customer. Without each email being crafted manually. It's all about data and good automation.

Big data is a term often referenced in this context. It refers to the gathering of large datasets, such as comprehensive customer profiles, potentially supplemented with other information that enables an organization to make a good offer at the right moment. A butcher, for example, can decide based on weather forecasts to offer a suitable deal on a BBQ platter or a delicious stew kit. Of course, everything is personalized with the ingredients that person enjoys.

With great power comes great responsibility

Franchise models that capitalize on this effectively can distinguish themselves positively in the market. However, besides the challenge of making good use of data and finding good marketers, it all starts with proper agreements regarding the data. If you do not handle your customer data carefully enough, the Data Protection Authority can impose fines of up to € 20 million or 4% of the worldwide annual turnover. This means it's important to handle this data properly.