Little Changes That Make A Big Difference In Customer Retention￼
Very often, and not surprisingly, businesses get very focused on acquiring new customers. After all, the simplest and direct way to increase revenue is to, well, sell more.
But there is something more to be done in the customer relationship once a customer makes the first purchase. Gaining new customers certainly has its own charms, but retaining existing customers is better for a business—it costs up to 5x less, is easier to sell to existing customers, and ultimately results in a greater ROI.
There are some changes that demand little or no expenditure from a business but significantly impact customer loyalty positively.
- Offer more than sales
Don’t view your customers in a purely transactional relationship—there’s nothing wrong with a transaction, but just keeping it that way is never a good long-term strategy.
Go beyond just making a sale and not justconnect with your customers when you want them to buy. Consider offering free valuable information in the form of relevant articles, personal blogs, events and more.
Rather than having to be aggressive when selling and just talk about your product, go in and ask them about their business. Nobody likes a salesperson, but everybody loves to buy from a friend.
- Reward Loyal Customers
If you want to build loyal customers out of an existing customer base, one way is to consider creating a customer loyalty program. It is a marketing strategy that rewards customers on a continued basis through discounts, free products, or even exclusive access.
A successful loyalty program would grow your customer retention rate and provide you a way to stop spending as much resources on increasing the number of customers. And what’s more, customers feel appreciated when given a personalized gift in forms of an exclusive offer or discount, and it serves as a simple thank-you for their loyalty.
To start, know your audience well and understand what incentives would make them return to your business. As with most marketing campaigns, build a detailed contact list that allows easy access to existing customers and give you data into who interacts with your business and why. Proceed with tailoring the program by deciding on the type of loyalty program and what customer behaviour you’d want to reward.
- Connect with your customers
Customers drive a business and it is important to note how customers interact with the brand. They tell you a lot just from their behaviour and how they shop with you.
Try to listen and respond to customers and really prove your dedication to keep them happy. Be diligent in replying to emails and responding to reviews—especially the bad ones! Actively collect customer feedback to keep them on board. And don’t forget to respond