Most businesses work to bring in new customers, and staffing services are no different. They invest large portions of their budgets and devote time to training talented sales representatives to reel in new business. But sometimes focusing on generating revenue from existing clients can bring in more revenue than previously expected. Staffing Industry Analysts recently released its latest list of the fastest-growing staffing firms, and all of the listed companies had a compound annual revenue growth rate of at least 15 percent, with the top company having a compound annual growth rate of 132.7 percent. Growing revenue through upselling and retaining current clients can help staffing services start to reach these top ranks.
But how can staffing firms increase their revenue growth and build profits through existing customers? It's not necessarily easy – existing customers tend to be comfortable with the services they already have. The key is for staffing firms to showcase the value they have already provided to customers and their potential value. According to an article in Inc. magazine by entrepreneur and author Donna Fenn, companies have to focus on the lifestyle value of their offerings to drive continual revenue growth among existing clients, and this requires competitiveness and strategy.
Recognize Which Accounts Can Sign Stronger Contracts
According to advertising resource MarketingProfs, some clients naturally lend themselves to buying additional services, and these contracts should be identified for their potential to bring in more revenue. Staffing firms can determine which contracts can be enhanced by looking at clients' existing relationships with the company, evaluating their current and future staffing needs and assessing their markets' short- and long-term conditions. Clients that may need to hire additional contractors in the near future due to evolving industry needs or high internal growth may soon require more services. If these companies have had great relationships with the staffing firm, they may already feel comfortable investing additional money and resources into their contracts.
Staffing Talk noted auditing customers can also help staffing firms determine their best customers, which in turn may consider being upsold. Convincing those clients that are almost guaranteed to buy more services to do so is a no-brainer. Some clients may even have received complementary services that have already shown them the benefits of the staffing firm.
Drive Collaboration Between Account Management, Sales and Marketing
However, there needs to be strong communication and collaboration between all parties involved in the contract. Marketing professionals at the staffing firm can't start advertising new services without first informing and working with the firm's sales and account employees. MarketingProfs noted horizontal advertising campaigns can help to determine which upsells or cross-sells are most popular among clients, but all professionals involved in the account must be informed and involved in driving the additional services.
Come with a Plan to Every Client Meeting – And Think Ahead
The staffing industry is growing, and many clients may have evolving needs or requirements for their contractors. Every time staffing professionals meet with their clients, they should be looking to advance the relationship, and that means having a plan in place. According to Fenn, just staying in touch with clients – and not necessarily pitching a service to them every time – could help improve the relationship and lead to upsells in the future when they are appropriate. Fenn noted there is a time and a place to pitch a new service. Some companies choose to blast customers with new products at a certain time of the year, but staffing professionals need to be more strategic. Think ahead to what clients may need in the near future, and start to prepare them to buy additional services in time for those needs.
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