Customer loyalty is a key metric you want to pay attention to. Return clients are the lifeblood of any business. Did you realize that on average it costs 5x times more to acquire a new customer than it does to maintain a relationship with your current customer base? Neil Patel says that constant focus on acquisition without also paying attention to retention is like being on a hamster wheel, and doesn’t build long term businesses. In this article, we’ll be discussing life-changing tips from the 9 billion dollar man on How To Increase Customer Loyalty.
- 1 My Story
- 2 Who is the 9 Billion Dollar The Man?
- 3 1. The Strategy of Preeminence
- 4 2. Do You Have Customers or Clients?
- 5 3. See Yourself as Fiduciary
- 6 4. Fall in Love with Your Client
- 7 5. Sell a Belief or Outcome rather than Products and Services
- 8 6. Stay Strategic rather than Tactical
- 9 7. Intangible Assets are More Valuable than Physical Assets
- 10 Here’s a Playlist so You Can See Jay Abraham Teach Preeminence for Yourself
- 11 Final Words on How To Increase Customer Loyalty
- 12 Now, it’s Your Turn…
I’m an entrepreneur like you. I help others who want to start and grow their businesses to solve problems that stop them from achieving their goals.
Previous to starting this blog, I was a cyclical and tactical entrepreneur who always wondered why my businesses stayed within the characteristics of a startup. I’ve written several articles here about problems that disabled me from achieving maximum success in business like this one or this one. I was very good at starting the business, creating products, and getting traffic to my business, however, the next challenge is keeping the customers, nurturing the relationships, and scaling the aquisition and retention processes into massive impact with the byproduct of 6,7,8,9, or 10 figures and financial confidence.
I haven’t arrived to the ultimate destination yet, but I’m on this road with you towards massively impacting others and achieving financial confidence. This blog is where I chronicle the business journey from zero to hero. LOLOL.
Yesterday, I read an article called Frank vs. Matt that had a profound impact on me. It made me self-analyze and identify mindset issues that could be creating a glass ceiling for my personal business success. The article linked to another concept called the Strategy of Preeminence by Jay Abraham, which is a life-changing paradigm shift. As a result, I decided to write this article to encourage and empower you to accept this paradigm shift. I believe this article could very well be a life-changing concept that can help you and I achieve massive impact helping others, which makes 6,7,8,9, or 10 figure levels of success a byproduct.
Who is the 9 Billion Dollar The Man?
Jay Abraham is a marketing legend and a key influence to Tony Robbins, Daymond John, Grant Cardone, Steve Sims, Brian Tracy, Stephen Covey, and others. In 2000, Forbes named Abraham one of the top 5 executive coaches in the world. He has worked in over 465 industries with 18,000 businesses and his profit-driven strategies have collectively created more than 9.4 billion dollars in increased profit thru his 30-year consulting career. He normally charges $100,000 per day for consulting and his seminars cost $25,000 per person, and people are willing to pay!
1. The Strategy of Preeminence
Jay Abraham is well known for his Strategy of Preeminence. It’s a methodology of how we should see ourselves in relation to our clients, and how our clients should see us because of the way we present ourselves. The strategy of preeminence has foundation principles that say:
- I (the business owner) will be the most trusted advisor and fiduciary to my clients and I’ll serve the client better and more fully than anyone else does rather than being a commodity
- I will protect, educate, advise, and give the maximum value to my clients
- I will begin to give value (carrying out my fiduciary responsibility) before money changes hands
- I will fall in love with my clients and empathize with them about their problems, needs, and concerns–subordinating my own needs to the needs of my customer
- I will sell beliefs and solutions rather than products and services
- I will focus on strategy and long term outcomes rather than tactics that create shortsighted outcomes
- Intangible assets are more valuable than physical assets
So far, all of this can sound like minor changes in verbiage, but if you really think about each statement, there is a completely different vantage point we must use to see ourselves and our customers. Abraham says, “The transaction begins with your intention before the transaction ever takes place. From there, it’s only a matter of time before the people you want to effect most–ie. your most coveted prospects–want to do business with you.”
Let me explain further…
2. Do You Have Customers or Clients?
A party that receives or consumes products (goods or services) and has the ability to choose between different products and suppliers.
In contrast, “Client” is said to mean:
One who is under the protection of another.
Do you see the completely different connotation between customer and client? Yes, it’s terminology, but there’s meaning.
The customer relationship points to commodity sales. There’s no real trust connection that is isolated within the meaning of the term; whereas, the client “is under the protection”, there’s a very different relationship there.
As entrepreneurs, we have to think about all of the sharks out there that are trying to steal the attention, money, and assets of our clients. When you think about it, it’s really a dog eat dog world. We are supposed to protect our clients, and provide the safety that their goals can be achieved because of their connection with us.
3. See Yourself as Fiduciary
A fiduciary is a person who is given authorization to make decisions about assets that are in the best interest of their client. Fiduciaries usually take an oath to serving the needs of their clients subservient to their own or anyone else’s, and the oath is enforceable in court.
When we (as business owners) see ourselves as fiduciaries, responsible to help our clients make decisions about their time, effort, and money to achieve their stated goals, it changes our prospective from simply providing commodities. We invest our time into studying their goals, understanding their desired destination, and formulating solutions in partnership with them.
As fiduciaries, trusted advisors, set apart from everyone else in the commodity sales, we begin to give value before money exchanges hands. When clients feel safe, clear, and honor our leadership, sales is a byproduct.
We are advisors and not those who pass out information. You may be asking, “What’s the difference in information and advice?”. Let me explain…
Abraham says information is non-conclusive, it tells, and says, “You should do this…”. On the contrary, advice is conclusive, it shows and tells. It says, “You should do this, here is why, and here is how”.
We recommend and show application.
4. Fall in Love with Your Client
Commitment to empathy is a premise of the strategy of preeminence. In order to truly empathize for another person, you have to concern yourself with your well-being as you would your own. The Bible says:
Love your neighbor as yourself. (Mark 12:31)
The things that make your customer smile are the things that make you smile. The things that make the customer sad are the things that make you sad for them. Empathy for the customer is being sensitive about them on a mental and emotional level.
5. Sell a Belief or Outcome rather than Products and Services
Steve Jobs was a great example of selling outcomes and beliefs rather than selling products and services. He sold quality, peculiarity, simplicity, trendsetting, and ease of use. Anyone who wanted to have quality, be peculiar, enjoyed simplicity, and wanted to set trends was attracted to Apple products simply because he connected the Apple products to personal beliefs.
They weren’t just computers. Many of the Apple competitors sell commodities: just electronics. While electronics are amazing, selling an electronic connected to a belief, created a revolution that can stand for generations.
When we’re selling, remember we’re in partnership with our customer, solving a problem. There are underlying beliefs they have: maybe their not happy with the “system”, they want more than the status quo, and you can create a competitive advantage by connecting your product to an underlying belief much deeper than a commodity.
There’s a lot we can learn from Steve Jobs:
When you connect a product to a belief, you create a solution that will attract customers and keep them returning.
6. Stay Strategic rather than Tactical
Tactics are like running in a rat wheel. They keep us focused on the immediate spike and instantaneous outcome. Tactical business owners say:
“I want to increase sales now”, “I want to increase subscribers now”, or “I want to grow my email list now”.
I’m guilty of being a tactical thinker.
Unfortunately, when we focus on tactics, we can sacrifice longevity and important metrics like lifetime customer value, lifelong customer relationships, or genuine volumes of impact.
If we choose to follow tactical philosophies (even people with big platforms are using them), we may find ourselves pitching our customers like spammers, emailing them aggressively whenever we have a product that comes out, or only inquiring about others when we have something to gain.
Tactical strategies can get short term metrics like sales, but we want physical and intangible assets. We want raving clients, people who are excited to open our emails, share our products and services, and people who feel like we genuinely understand them like no one else does. We can’t be that “trusted advisor” and put bad tastes in our customers mouths by being spammy, selfish, and self-centered.
Customers can see right thru tactical business owners, so theirs a glass ceiling with the business growth. Instead, people are magnetized to the genuine leader–the one who nurtures, leads, and is not concerned about the quick dollar, but focuses themselves on the long term quality of the relationship.
7. Intangible Assets are More Valuable than Physical Assets
At the end of the day, we all have finite lives. We’ll all be remembered by something, and the physical things we acquire won’t be our most important metrics of our achievements. Instead, people will remember how we made them feel, how we inspired them, what we encouraged them to do, and those intangible assets can’t be translated into direct currency.
We need to pay attention to the intangible exchanges:
When people volunteer or give us their time
When people cheer us up or make us feel a sense of accomplishment
When we feel more confident or more joy
Intangible assets have value that withstands generations, and when we’re thinking on the strategic level, we can think about how to scale the intangible outcomes in the lives of others. When you scale the intangibles, the byproduct is physical.
Here’s a Playlist so You Can See Jay Abraham Teach Preeminence for Yourself
You may want to Pin this article to Pinterest or bookmark it, so you can come back and watch this playlist when you have time. The videos here had a profound impact on me, so I’ve created this playlist so you can listen to Jay Abraham, and glean golden nuggets for your business:
Final Words on How To Increase Customer Loyalty
The goal of this article was to show you Jay Abraham’s advice on how to increase customer loyalty. I’ll be applying these principles as I build my business, and I’d love to see you achieve massive impact in the lives of others with the byproduct of 6,7,8,9,or whichever financial successes you’d enjoy. If you have questions or concerns about this, don’t hesitate to leave them in the comments section. I’d love to help you out!
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Now, it’s Your Turn…
Have you studied the strategy of preeminence? What impact has it had on your business? What have you done to increase customer loyalty? Leave your answers, comments, and questions in the comments section below.