Customers and the Transfer Portal

Retention is King

For those who are unfamiliar, college athletes now have the ability to transfer schools by entering a transfer portal, allowing other programs to recruit them. This means coaches no longer focus solely on recruiting high school athletes; they must also actively “recruit” their current players to keep them from leaving for other teams. This shift highlights a challenge familiar to every small business owner: the constant need to engage and nurture existing customers to prevent them from turning to competitors.

Here’s a closer look at how these challenges align and what small business owners can learn from college coaches who are navigating the transfer portal era.

Retention is the New Recruitment

Just as college coaches once focused on building strong recruiting classes, small business owners often prioritize acquiring new customers. But the game has shifted. In sports, athletes are constantly tempted by promises of better opportunities elsewhere. In business, customers face a similar barrage of options: aggressive competitors, enticing discounts, and the allure of shiny new offerings.

Lesson for Business Owners

Don’t take loyalty for granted. A signed contract or long-term relationship doesn’t guarantee commitment in a world where options are just a click away.

Stay Close to Your Customers

Coaches know their players’ needs, ambitions, and concerns to keep them engaged. They foster strong relationships by listening, adapting to changing circumstances, and making players feel valued. Similarly, businesses must actively engage with their customers to maintain loyalty.

Actionable Tips

• Check-in regularly: Whether through surveys, personal calls, or account reviews, stay in tune with your customers’ needs.

• Add value continuously: Offer something extra—whether it’s exceptional service, exclusive perks, or proactive solutions.

The Cost of Losing a Key Customer

In sports, losing a key player to the transfer portal can cost a team wins, morale, and even recruiting power. For a business, losing a major client doesn’t just hurt revenue; it can have a ripple effect, impacting reputation, team morale, and operational stability.

Pro Tip for Businesses

Calculate the lifetime value of a customer and weigh it against the cost of retaining them. Often, a small investment in retention can yield significant returns compared to the cost of acquiring a new customer.

The Competition is Always Watching

Other teams watch for cracks in relationships between players and their coaches, just as competitors look for signs of dissatisfaction in your customer base. The moment a player—or a customer—feels undervalued, someone else will be ready to swoop in with an offer.

Stay Competitive

• Be proactive: Identify and address issues before your customers voice them—or worse, leave.

• Monitor competitors: Keep an eye on how competitors are courting your market and be ready to counteract.

Adapt or Lose

College coaches have had to embrace new tactics, leveraging technology, mentorship programs, and enhanced support systems to adapt to the transfer portal era. Businesses, too, must innovate and adapt to a rapidly changing marketplace.

Innovation Ideas

• Implement loyalty programs or customer appreciation events.

• Use data to anticipate customer needs and provide personalized solutions.

• Build community around your brand through events, newsletters, or exclusive forums.

Winning the Retention Game

The reality is that your customers are always in the transfer portal. And just as the best coaches in college sports build programs that players don’t want to leave, the best businesses create relationships that customers don’t want to end. The key is a mindset shift: stop thinking of customers as "won" and start thinking of them as "retained."

By adopting strategies inspired by college coaches navigating the transfer portal, small business owners can create a loyal customer base that not only stays but advocates for your brand. Are you ready to win the retention game?

Mike Warren

President

CAPcolumbus.com