You’ve likely heard the adage that keeping existing customers is much more affordable than going out and getting new ones. What you might not realize is customer retention also boosts profits. Retaining five percent more customers can lead to a profit increase of over 25 percent. Unfortunately, though, customer retention is not an easy task. In fact, as many as 80 percent of customers who are satisfied with a company don’t do any additional business with them. Those numbers might be frightening, but you can overcome the odds and retain your customer base by incorporating the right strategies.
Focus on Personal Relationships
If you don’t form a connection with your customers, they will find another company to fill the void. On the other hand, if people connect with you and like you, they are more likely to remain loyal to your brand. Put a team in place to provide outreach to your customer base; this team should build a rapport with your existing customer base. That doesn’t mean the team needs to know how many kids each customer has and what their dinner plans are for the night… In the fast-paced world of social media, there are countless ways to make quick, yet lasting, connections with people. Simply asking questions and creating conversations on social media will help your brand connect with customers.
You can take it a step farther by having customer appreciation events from time to time. This is a fun way to show people that you appreciate them, and it will allow you to build relationships with your best customers.
Loyal customers expect to be rewarded for their efforts. If you don’t reward them, they will find a company that does. A rewards program makes customers feel valued and appreciated, so incorporate one immediately. The program can provide gifts, offers, or discounts to your customers. They will know that, as long as they shop with you, they will build up a reward balance. That is a great reason to continue to shop at your establishment.
Make Shopping Easier
No one says, “I want to buy X, and I want to do so in the most difficult and time-consuming way possible.” People constantly look for ways to save time, and if you can help them accomplish that, you will be well on your way to getting customers for life. Simple things like streamlining the checkout process, offering customer service via social media, and providing auto billing can set you apart.
You can easily take steps to make things even easier if you currently only run a brick and mortar establishment. Digital checkouts, personal shoppers, and other features can make your customers’ lives easier.
Get Started Today
It’s time to create and roll out your plan to increase customer loyalty. Your plan will help you save money on marketing and increase your revenue. It will also help you create brand advocates who will tirelessly talk about your brand to their friends and family members.