Customers are the lifeblood of every business, regardless of the industry. Whether you’re a skilled tradesman in construction, a professional in law or accounting, or a retailer, you rely on a steady stream of customers to keep sales moving forward. The question is…how do you make that happen every day? Setting sales goals at the start of the year is important, but without a plan to achieve them, those goals remain out of reach. 

As a business owner, it is important to review your revenue stream regularly, ideally monthly, to understand who is contributing to that critical number on the top of your sales report or income statement. Management is often surprised to discover how smaller orders or invoices can accumulate to a significant total. To avoid being caught off guard, it’s recommended to include a ‘Year to Date’ column in your monthly sales reports (generated from your accounting software). This simple step makes it clear which accounts are driving the most revenue. But once you have this information, the key question becomes, how do you put it to work effectively?   

Once all the sales data is entered in your month-end spreadsheet, focus on the far-right ‘Sales Year-to-Date’ column (a standard column in your month-end spreadsheet that totals sales from the start of the year). Start by looking for any surprises – perhaps an account that is generating more revenue than you expected or one that is smaller than anticipated. Even more telling…look for accounts with sales trending downward month to month.

Whatever you find, examine each account closely and ask why the numbers are what they are. For seasonal businesses, fluctuations may be normal and nothing to worry about. But if a long-standing account shows declining sales, it’s important to investigate why the account is trending downward and what steps you need to take to address it.

This is where the collected data takes you to the next step. Any questions or observations made in your account review should be addressed promptly. This analysis can take many directions, but let’s focus on the accounts trending positively.

These accounts are your rising stars and it’s important to show your appreciation for their business. Call the main contact or even better, visit them in person, to thank them for their trust and loyalty. This gesture goes a long way, demonstrating excellent customer service and strengthening relationships, which will help you grow these accounts further.

Unfortunately, not all trends are positive and you may see a gradual or significant decline in sales for a particular account. In these cases, it’s more important than ever to reach out to the main contact to gain insight. This serves multiple purposes: a discussion can reveal issues within your business (customer service, pricing, or product availability) or provide early warning to potential problems on the customer’s side.

As a banker, John Lockie always advises customers to come to him early if they anticipate a problem. Addressing issues early is far easier than trying to fix them later when they may be more complicated or even unsolvable. As a business owner, you should take the same proactive approach.   

In short, know your customer. Serve them consistently and make sure they know you appreciate their business. Competition can be fierce and customers may explore other options if they feel neglected. Don’t let it get to that point. Building strong customer relationships doesn’t require a major investment, just time, attention, and follow-through. 

Reach out to John P. Lockie, Senior Vice President – Commercial Lending at (708) 946-2246, to review your accounts and uncover opportunities for growth. By identifying top performers and address potential challenges early, he can help you strengthen customer relationships and drive your business forward.

About First Community Bank and Trust
First Community Bank and Trust is a privately-owned bank. Established in 1916 First Community Bank and Trust has been serving Beecher, IL, Peotone, IL and the surrounding communities for over 109 years. Our commitment to providing the best banking products and services is matched only by our outstanding customer service. We offer traditional community banking services, including mortgage, consumer, and commercial lending, as well as state of the art electronic banking services.

Press Contact:
Steve Koehn, Senior Vice President
First Community Bank and Trust
(708) 946-2246

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