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When running a business, repeat customers are one of your best assets. They provide a steady flow of income (most of the time), and they’re valued people you already have a history with. Though there’s the possibility that they will jump ship when something better comes their way, you can’t discount how big of a help they’ve been to you.

With that in mind, you start thinking of ideas on how to gain and cater to new customers. While they may not look like it, taking in new people who want to experience what you offer can also be a big aid. Not only do you get to make a first impression on them, but it’s also easier for you to get them to try your newer services.

Of course, getting new customers first is your duty. How do you do it, aside from wowing potential consumers with a great copy and killer PowerPoint presentation (perhaps designed by an awesome presentation design agency)? By being creative and clever. Here are three ways you can hook them with your wit.

Offer Free Trials

People love free stuff. It’s a trend both businesses and consumers take advantage of. So why don’t you do the same?

On the onset, it may look like businesses are losing potential profits from giving away stuff for free, but thanks to the reciprocity principle, people feel obliged to come back and avail of the service even if it’s without charge.

Let’s look at a giant of an example. AOL offered free trials of their services (1000 hours!) in the form of floppy discs and eventually CDs during the early 90s, surviving with two hundred thousand subscribers. When the millennium turned, they had more than twenty-five million account users. It’s safe to say that their marketing strategy worked.

Take a few notes from free trials. A properly handled tactic like this will pull through in the end.

Invest in Customer Advertising

If people like free stuff, how would you like to experience the same thing? Pretty sure you do.

Advertising takes away a major chunk of your revenue. In 2013, Procter & Gamble spent $5 billion on ads. Sure, it’s a really big company, but at least you have an idea of how much can be spent just to promote, publicise, and market products.

What if you can save $5 billion? What if you can turn to your customers for free advertising? This is what Coca-Cola did during their “Share a Coke” campaign in 2015. The crux of the whole advertising tactic was letting people get a Coke bottle with their name and sharing it online. Soon, almost everyone wanted their pictures taken, no matter how unique their names were. It’s simple, effective, and very successful. Best of all, the customers did most of the advertising.

Having this personal connection with your existing customer base is a great way to hook new ones. For the latter, it’s about seeing the former’s experiences and wanting it for their own. For the former, it’s about continuing that bond with your company and directly helping it.

Hold Contests and Giveaways

Hosting a contest sounds like a lot of work. Mechanics, prizes, following up, etc. But there are a lot of companies that still do it because of the great returns. It can be a small one or a big endeavour, but the most important thing is that both business and customers benefit.

A great initiative was Visa’s Ideas Happen. It was a contest where young people were encouraged to come up with and share their great ideas. Twelve won $25,000 and were trained to make and realise their ideas. Visa benefited from the incredible media and online attention, and the winners benefited from the prizes.

Contests are also a great way to cater not only to your existing customer base but also to new ones by showing them that you’re reaching out to both groups. It also builds your reputation as a good company that knows what its customers’ side interests are.

Getting new customers makes you realise how many people want and/or need your services. It’s a good pat on the back that shows you’re taking the right steps forward with your company. Doesn’t that feel good?

Once you’ve established yourself as a business that takes its customers seriously, then with a little push, everything will follow. Until and by then, make your company consistent. Don’t lose sight of the reasons why you’ve got this far: your own hard work and your customers.

Resources: : 3 Clever Ways to Attract New Clients

Recurring Payments Vs Recurring Invoices

Recurring Payments	Recurring Invoices
Recurring payments charge the customer’s credit card account or debit card account on a predetermined schedule for the same amount as preapproved.	Send an invoice to your customer on a regular basis. The client receives the invoice but, money is not paid unless the customer approves.
A business that takes prepayment of money and sells a monthly subscription service and product. Subscription services are excellent examples of this.	A company that provides fixed services with billable hours is an excellent choice for recurring billing. For example law firms and consulting agencies.

Pros and Cons of Recurring Invoices

Pros	Cons
You eliminate the possibility of human error by automating the billing process. If you use a recurring invoice, you will not be concerned about forgetting to charge your customers for the things they ordered.	You must exercise caution while recurring billing to prevent issuing inaccurate pricing. This also holds for price changes that could take place right once an invoice is created.
If you provide your customers with the option for recurring billing, they are more likely to buy products regularly.	It could be difficult to cope with recurring invoices if a transaction fails for any reason.

Net 45	Invoice is due in full within 45 days with no early payment discount offered
2/10 net 45 terms	2% discount if you pay within 10 days; otherwise full payment of the invoice is due in 45 days
1/15 net 45 terms	1% discount if you pay within 15 days; otherwise full payment of the invoice is due in 45 days
1/10 net 45 terms	1% discount if you pay within 10 days; otherwise full payment of the invoice is due in 45 days
1/7 net 45 terms	1% discount if you pay within 7 days; otherwise full payment of the invoice is due in 45 days

Category	Net Method vs. Gross Method	Explanation
Calculation Approach	- Applies tax credits first; reduces taxable income before computing tax liability.	- Doesn't apply tax credits; computes taxable income without considering tax credits.
Tax Credit Eligibility	- Allows for greater likelihood of tax credit eligibility due to reduced taxable income.	- Limits tax credit eligibility because taxable income hasn't been reduced yet.
Itemized Deduction Requirement	- Lowers threshold requirement for itemizing deductions due to decreased taxable income.	- Raises threshold requirement for itemizing deductions due to higher taxable income.
Advantages	- Leads to lower taxable income and increases chances of meeting qualifications for other tax benefits.	- Results in higher taxable income compared to net method.
Disadvantages	- May miss opportunity to reduce tax burden if taxpayer doesn't itemize deductions or take advantage of tax credits.	- Increases taxable income and may result in higher overall tax bill.