Customers are one of the most important factors determining the success or failure of any business.
You may have the most product or inventory in the world, but if you don’t have the right strategies to retain customers, your business will fail.
Why bother retaining existing customers when you can only get new ones?
- It costs five times more to acquire new customers than to retain existing customers.
- The success rate of selling to old customers is 60-70% compared with the success rate of selling to new customers is 5-20%.
- Just increasing your retention by 5% can lead to a 95% increase in profits.
Losing customers not only affects your revenue, but also takes away the resources you used to convert them.
The question now is – how do you develop a customer retention strategy to help retain existing customers and keep them happy?
In this article, I will detail 9 customer retention strategies that will help you prevent customer loss and also increase your sales in the process.
1.Create a loyalty program:
The fact that customers are loyal to the business helps them achieve their goals. If your competitors offer your customers a better offer, you can be sure they will accept.
This is why you need to create a loyalty program. The loyalty program rewards customers for their continued loyalty. Show your customers that you value them choosing you over your competition. This is one of the most effective ways to build a loyal customer base.
Instead of just offering a product or service, give the customer the experience.
Today’s customers are making buying decisions not just based on price. Factors like shared value and emotional relationship to the brand are influencing a buyer’s decision.
Loyalty programs allow you to interact with customers beyond the point of initial purchase. It allows you to deliver more value to your customers and show them that you have the same value.
Offers like free shipping on their next order or rewarding customers with special discounts and perks in return for purchases can also help you turn first-time shoppers into repeat customers. again .
2.Create product introduction programs for new customers:
A referral program is a process by which a new customer becomes acquainted with the products or services offered by a business. The right referral helps new customers learn everything they need to know about using a brand’s product instead of self-learning.
This strategy influences the process of integrating a new client into the company. It starts when a customer buys your product and ends when the customer has a good idea of how to use it. This can usually take weeks to months.
Why should you deploy referrals?
Users can quit using a product if they don’t know how to use it effectively. Instead of spending valuable time trying to learn how to use the product, most customers are just looking for a different solution.
The initial response a customer receives when dealing with your business influences the decision to stick with you.
A study from Harvard Business Review says that “the increasing focus on referrals will have a significant or moderate positive impact on the term of the contract on sales, client renewal and referrals. customer.
The referral program includes things like phone calls with customers, technicians visiting homes, and exchanging multiple emails.
Some reasons to invest in referrals:
- You get valuable feedback from your customers on how to improve your product
- Chances of selling more products / services to customers will increase
- Marketing Word. Happy customers are your best advertisers.
- Reduce downtime if your business depends on monthly sales
3.Create deals with a term:
A limited time offer is a type of reward that customers receive when they make a purchase from you over a certain period of time. For example, check out Shopee’s limited offer:
This strategy is popular with e-commerce retailers and store owners trying to increase customer conversions. It also works well as a customer retention strategy.
Offers available for a limited time are a great way to attract customers who are no longer active with your brand. Customers are more likely to buy a product when they feel like it’s on sale knowing that the product will be out soon.
One best practice is to add a promotional gift card to the customer’s cart at checkout. This could be a coupon for another product or some sort of deal that makes them feel like they’re getting great value for their money.
Not only will you increase your conversion rate with a term offer, but adding a coupon or gift card to their cart also ensures that the customer will come back for another purchase.
4.Personalize customer service:
Excellent customer service is essential to optimizing customer experience.
Customer experience is where a business loses or wins over customers. Providing seamless customer service is what every business should aim for. When your customers are satisfied with your service, they’re more likely to stick with your brand for a long time.
Personalized customer service refers to the provision of customer services that meet the exact needs of the customer. It includes tailored solutions to specific customer problems.
How can you provide personalized customer service?
Understand your customer
In order to build a good relationship with customers, first of all, businesses must understand their customers well. It is the duty of the customer agent to interact with the customer to determine their needs and pain points.
It is important that customer service agents are present around the clock. Businesses should maintain regular contact with customers through digital channels such as social media and email.
Provide customers with options to choose from
Provide customers with many customer service solutions to choose from. For example, if a customer is visiting your company website, they might be offered alternative support options like live chat or a call with a support staff. Provide customers with a variety of support options that make the experience more personalized.
5.Make a contact schedule:
Communication calendar is something you use to keep track of and also keep in touch with customers periodically. It is similar to the editorial calendar you use to keep track of your schedule for creating, publishing, and publishing content.
Even if your customers are not contacting you, it is your duty to contact them periodically. This is especially important when a customer hasn’t interacted with your brand for a while. Your job is to reach out to the customer and reassemble the relationship.
Regular communication with customers also increases their engagement. Statistics show that businesses that communicate with their customers at least 10 times a year are 300% more profitable.
The most effective way to communicate with customers is to keep communication schedules. The communication calendar ensures that you keep track of every aspect of customer communication, so you won’t neglect any client.
There are online calendaring tools that make it easy to automate periodic communication with customers. These tools allow you to periodically send letters, cards, gratitude messages, phone calls and special offers.
6.Educate and provide value through content:
Content marketing is one of the most effective ways to keep customers engaged with your brand. Your relationship with a client shouldn’t end at the end of an agreement.
Customers today have a lot of options at their disposal and if you don’t have strategies to retain them, you lose them. One of these useful strategies is delivering value through content.
“Education” through content marketing can take many forms. You can provide practical knowledge (using practices and tutorials), theoretical sections that delve into specific topics, or articles about brand-specific products and features. friend.
The key here is to provide actionable (not slick) content in the right context and at the right time.
You can keep your audience informed by maintaining a blog, launching an email marketing campaign, or publishing a newsletter.
A prime example of a brand’s use of content marketing is the British chocolate distributor Cocoa Runners. They use email campaigns to deliver valuable insights, offers, and valuable chocolate recommendations to their customers.
Email campaigns are great for content marketing. You can use it to educate customers, submit promotional information, highlight new products and features, and provide discounts to attract uninterested customers back.
7.Re-engage customers using marketing automation:
Marketing automation allows you to optimize customer retention marketing by expanding personalized messages at key points in the customer journey.
With the rise of personalized communications, automation offers businesses more solutions to retain customers and expand their efforts to attract customers. Fortunately, there are many digital sales tools and applications available that help with marketing automation.
One of the most effective uses of marketing automation is to track abandoned shopping carts (Customer adds product to cart but has no intention of buying).
Abandoned shopping cart is a problem all ecommerce store owners face. Sometimes shoppers can get distracted and leave the page without making a purchase.
Marketing automation can be used to remind shoppers that they are waiting for them in their shopping cart and also encourage them to return. With automated email, you can offer deals, recommend related products at a cheaper price, or provide customer service information to help them buy.
For e-commerce businesses, customer retention is all about getting customers to buy again. Marketing automation helps to do just that.
With automation, you can easily manage customer contacts, schedule promotional emails, and send event notifications and emails to customers quickly.
8.Create a community for your customers:
One way to retain customers is to create a forum or discussion forum on your website. Clients value being among other clients, and it can also be a form of social proof.
For example: A1Demy creates communities on the social network Facebook to be able to bond with customers, and inform about events and webinars so that customers can easily grasp information.
Community users can present discussion, challenge, and ideas questions that they can use to promote their store. Customers keep coming back to learn about new product features or promotions.
You can even go one step further by rewarding your most active users. Using offline gaming can also improve customer retention. A good giveaway price for active users could be offering premium programs for half the price, or a useful add-on for free.
Another advantage of having a forum or community is that you learn about customer complaints. When you see negative complaints, don’t ignore them. Resolve this complaint openly and show how you will improve. This allows users to appreciate and trust your brand more.
9.Exceed customer expectations:
Do you want to retain customers? Exceeding your promises to them.
A satisfied customer will keep coming back to see more. The reality is that only a small portion of businesses ever exceed customer expectations. The higher your expectations, the harder it will be for you to overcome them. To avoid embarrassing customers, follow the old business saying— “promise less and deliver too much”. With this recipe, you can be sure to exceed your customers’ expectations.
Here are 9 customer retention strategies that you can use to drive sales. Apply these strategies and you will see increased customer retention, increased customer loyalty to your brand, and faster business goals.
Translated by Hoai Thi
Source from: advertisingvietnam.com