Sales lesson 101: The cost of a lost customer

Many years in sales and working in customer service have turned me into a very annoying client. I like to receive the treatment I would give any customer when acquiring something, either a product or service.

Have you thought about how valuable a happy, returning customer is to your business? It might be time to start addressing any internal issues or processes that could be standing in the way. A few small changes can make all the difference.

Losing customers comes with significant indirect costs that can impact your business in more ways than one. Negative word-of-mouth can damage your reputation and drive away potential clients, while the loss of a customer means forfeiting their entire lifetime value (CLV), including future purchases and opportunities.

Additionally, understanding why customers leave often requires costly market research. I had once a case of a customer who asked me to find out, why his customers were not coming back.

How do you handle lost customers? Do you actively track and address the root causes, or do you overlook the issue and move forward without resolving it?

Facing the problem and solving it could be the turning point for your business.