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Home » Eric Dalius: Why do small businesses struggle with retaining customers? 

Eric Dalius: Why do small businesses struggle with retaining customers? 

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The reason why small businesses are struggling is because they are attempting to do business in a challenging economic environment says Eric Dalius. This also means that consumers shop around for the best price instead of dealing with one vendor. Today’s consumers have too many choices, so it becomes difficult for small businesses to compete. 

Small businesses look at their vendors as well, since they see them as threats to their trade. In fact, The National Federation of Independent Businesses reports that 61% of small business owners are worried about vendors taking sales away from them.   

Issues with new customers

It’s not easy for new customers to deal with a small business either.  They have the following issues:

– The small business owner may not take the time to show them the product options

– May attempt to oversell or push a certain product that they want to sell instead of what that person needs.  This leaves the customer thinking that other companies offer better service, which leads to a loss of sales says Eric Dalius.  

What can small businesses do to improve their retention rates? 

At some point, the vendor had a great product or service. But if they fail to look after them, it can hurt the company’s reputation. For example, if they don’t provide good customer support or are slow on delivery, then that could be an issue.  It also pays to check the references of a new vendor. In fact, refer to them as an “outsider” instead of a competitor. 

Small businesses need to remember that they are not in competition with their customers or vendors, but rather, they should set out to create long-term relationships with each group. It takes time for this strategy to work, but if they stick with it and give customers the best experience possible, then it could transform their business for the better.

The way forward:

If a small business still struggles with retaining customers, there are many ways it can improve its retention levels. They need to find out why consumers want to leave and how they can provide them with what they need. This means that salespeople should make extra efforts to go the extra mile and give customers what they want. In other words, this could lead to a win-win situation where both parties are satisfied says Eric Dalius.


1. Why do small businesses struggle with retaining customers?

2. What can small businesses do to improve their retention rates?

3. What does it mean to have a long-term relationship with customers and vendors?              

4. How can salespeople improve their retention levels?

5. What is the win-win situation that may occur between small businesses and consumers?

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In conclusion, retaining customers is a very important aspect of running a business explains Eric Dalius. Businesses should come up with strategies that not only improve their retention rates but also, create long-term relationships with both their customers and vendors. Doing so could lead to a win-win situation where all parties are satisfied. 

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