Reeling in Customers: Either Fish, or Cut Bait

/

I have returned from a much needed vacation to the Canadian outback where I enjoyed a week of fishing with no phone, TV or newspaper.

Every year, I travel to the far western reaches of Ontario for our annual fish camp outing that has been a part of my family tradition since 1961, when my father first went with his buddies to the same waters we fish today. I started going with my dad in 1984, and now his 16-year-old great-grandson, my grand nephew, is representing the fourth generation to wet a line in these great Northern waters.

On this most recent outing, I started to think about writing a blog post based on the similarities between fishing for dinner and casting a net for new FBO customers.

Read More

Building Long-Term Profitable Customer Relationships, Part 2: Do You Feel Lucky?

/

We’ve all seen Clint Eastwood’s Dirty Harry scene when he aims his seemingly empty .44 Magnum, “the most powerful handgun in the world,” in the face of the bank robber and taunts, “You’ve got to ask yourself one question: ‘Do I feel lucky?’ Well do ya, punk?”

FBOs shouldn’t have to feel lucky when putting together their marketing plans to attract new customers, yet during our NATA FBO Success Seminars, I often sense the frustration FBO owners and operators verbalize when we discuss this very subject.  

Over the years, FBOs have tried all sorts of things to attract customers. Wine, steaks, bobblehead dolls, free this and free that. Sometimes they get lucky, but mostly they’re just shooting blanks!

Many FBOs, when facing seemingly stiff competition, have done the unthinkable to attract customers. They resort to lowering their price of fuel beyond reason. Yikes! 

To be sure, an FBO should always manage its fuel price in order to be competitive and as a component to provide a customer value proposition (CVP). However, nothing good happens when you subjectively lower the price of fuel just to attract customers.

Read More

Building Long-Term Profitable Customer Relationships, Part 1: Are You the Restaurant Owner?

/

The lifeblood of any FBO is building loyal customer relationships. The success of these relationships can be measured in two ways:

Are they long-term, and are they profitable?

Studies on consumer behavior show a loyal customer:

  • Keeps coming back
  • Is willing to pay more, thus providing better margins
  • Loves your FBO and tells other pilots, aircraft owners/operators
  • Lowers your customer “churn” rate — you don’t have to replace a satisfied loyal customer
  • Boosts your long-term revenue and prevents profit erosion so you outperform your competitors

In the end, the effort we put into building these kinds of relationships will pay high dividends year after year, so let’s examine the process.

Read More