Acquiring a new customer costs more than retaining a new one. Depending on the industry you operate in, it can cost five times more to acquire a new client. This underscores the importance of retaining your customers, irrespective of what type of industry you operate in.
Research shows that repeat customers spend more than those who purchase on a one-off. In this blog article, we shall be discussing some tips on how you can keep your customers coming back for more.
Understand the customer journey
To be successful in your business undertaking, you must understand and invest in the customer journey. Business owners must place themselves in the position of their current and prospective customers and understand the benefits and pain points. Questions should be addressed as to where the customer journey can improve. Are waiting times for service too long? Are front line staff helpful enough in addressing customer queries? Can the provision of the service be shifted completely online? Is the website or e-commerce platform user-friendly enough? These may all be potential avenues that can diminish the customer journey and hence retention.
Familiarise yourself with the needs of your customers
Understanding the needs of your customers both prior and after the purchase is a necessary component to promote retention. Knowing what your customers need will allow you to target them specifically, with tailored messages aimed at promoting your business. A personalised customer experience is more likely to lead to retention. There are several ways how you can understand the needs of your customers better. These may include quantitative methodologies such as surveys to gather customer insights and implement improvements.
Customer loyalty programmes
These play significant roles in customer retention. These programmes increase loyalty and make it easier for customers to buy your products again. With the proper execution, you can improve sales and retention figures. To create successful loyalty programmes, the business would need to understand what type of rewards are more meaningful. Some customers may enjoy additional products at reduced prices to reward them for their consistent purchases.
Your relationship with the customer does not end after the sale is made. To keep the relationship ongoing and increase possibilities for future sales, follow-up with your customers after the sale is made and see if your business can offer any assistance. Such follow-ups can be made both via call and also email. If your customer has opted in to receiving marketing material from you, do not allow this opportunity to go to waste. Keep customers informed with the latest developments surrounding your business.
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