Meaning of Acquisition: Customer Acquisition
A business cannot exist without acquisition. Acquisition is, in fact, the process of acquiring customers. When you engage in acquisition, you establish contact with potential customers or clients. Without customers or projects, a company cannot sustain itself. That's why acquisition is crucial for both large companies and small entrepreneurs. But what exactly is the meaning of acquisition? And how can you best approach it? We provide you with explanations and tips.
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Acquiring means actively approaching potential customers or clients. These can be people who have already come into contact with your company or offering. In that case, it is called warm acquisition. It can also be approaching people who are not familiar with your company at all. In that case, it falls under the definition of cold acquisition.
Acquisition can take many different forms. You can do it via email, over the phone, or through social media. But also personally, at a networking event, for example, you can initiate the first contact with a potential new customer.
Acquisition is closely related to, among other things, relationship management, marketing, sales, and account management. To acquire and retain new customers, you need all these elements. Before you start acquiring, it is wise to critically assess the state of these aspects within the company. A clear sales plan, a clear value proposition, and a well-coordinated sales and marketing department help in winning and retaining a project.
Cold acquisition is more challenging than warm acquisition. In warm acquisition, you have already built a relationship with a potential customer before making an offer. This makes the customer much more likely to accept your offer. You don't have this advantage with cold acquisition.
With cold acquisition, it is important to do thorough research. You need to know who you are approaching and ensure that this person is genuinely authorized to make a purchase. Because the person you are approaching does not yet know you and your company, it is crucial to establish a connection quickly. Otherwise, there is a high chance that the other person won't even consider your offer.
In the past, much selling was done through a 'product pushing' strategy. This no longer works today. It is essential to focus on the Unique Buying Reasons during sales, and consequently, during acquisition. What motivates the customer to purchase the product from you? And what customer benefits do you offer? If you don't have clear answers to these questions, creating a value proposition based on the One Page Strategy and Unique Business Value is very valuable. During both warm and cold acquisition, you should not focus on selling the product or service but on fulfilling the customer's needs. What the product does is less important than what it means to the customer. In cold acquisition, you must, therefore, know your target audience well and understand the problem you solve for them.
The way you approach someone in cold acquisition is also of great importance. This approach should suit you but also your potential customer. Knowing your customer plays a significant role here as well. The marketing department can support sales professionals in this aspect. Marketers determine who your ideal target audience is and how to address them most effectively.
To make cold acquisition easier for you, we've compiled a few tips:
Warm acquisition has a greater chance of success than cold acquisition. In warm acquisition, the potential customer already has a connection with your company. This has various advantages. You know the customer better and are more aware of any problems or questions the customer may have. On the other hand, the customer already knows the company, creating a goodwill factor. This often makes warm acquisition much more successful than cold acquisition.
Warm acquisition takes more time than cold acquisition but yields better results. Because you want to build a relationship with a potential customer first, it takes longer before you make a paid offer. However, the chances that the customer accepts this offer and returns to you in the future are much greater. So, it is definitely worth the effort.
Social media provides a great opportunity to initiate initial contacts. On social media, you can easily connect with people. By sharing a piece of your expertise on Facebook, Instagram, or LinkedIn, people become familiar with your knowledge and skills. You build your status as an expert in the field and simultaneously increase the company's visibility. You can do the same on the company's website. By regularly sharing valuable blogs, people get to know the company. In warm acquisition, good marketing and a sales funnel are very valuable. With this funnel, you attract potential customers and make them curious about your offer. By the time you actually make a paid offer, they are highly likely to accept it.
Acquisition takes time and, therefore, money. Therefore, it is essential to have a good acquisition plan. After all, acquiring new customers should yield more than it costs. An acquisition plan can help with this.
In an acquisition plan, you describe which target audience you want to address and what your ideal customer looks like. A non-ideal customer can easily cost more time and money than it generates. So, it's not beneficial. Also, clearly state in the plan which need you fulfill for the customer and describe how you want to get in touch with the customer.
An acquisition plan is linked to the marketing and sales funnel, the sales plan, and the account plan. All these documents together form a stable foundation to rely on. Therefore, ensure that all plans are up-to-date, and the right people have access to the documents.
If you want to know the costs of acquisition, calculate the customer acquisition costs after a certain period. You do this by dividing the sales and marketing costs by the number of paying customers acquired during that period. This way, you can see how much it cost to acquire one customer and how much a customer must generate at least.
Social media play an increasingly significant role in customer acquisition. Facebook, Instagram, and the professional social network LinkedIn are good places to recruit new customers. LinkedIn is widely used by many people, making it a simple and accessible place to connect with potential customers and clients. Want to know how to approach this best? We provide you with some tips.
Acquisition is vital for every business. Are you struggling with conducting effective sales conversations or unsure how to approach potential customers? If the value proposition is not clearly outlined or if you could use some assistance in setting up a robust marketing and sales funnel, don't hesitate to seek the help of an expert. With tips, tricks, and training, we ensure that your business continues to grow.
How can I attract new customers? Where can I find the potential target audience for my product or service? What should be my plan of action in this regard? If you provide your contact details here, we will get in touch with you, allowing you to decide whether you wish to proceed to the next step.
