While it is important to craft out strategies for attracting new customers for the purpose of expanding your business, it is also important to note that repeat business from existing customers plays a major role in your business expansion and growth. Studies show that improving customer retention rates increases profit up to 95%.
Customer Retention Strategies
Most customer retention strategies include customer loyalty or brand loyalty programs. However, the best customer retention practices allows you to build a more meaningful and lasting relationship with your customers. Here are some ideas for you to consider and implement in your business:
Provide Great Customer Service:
Great customer service policies and practices can turn disgruntled customers into personal brand advocates (who spread the word about your product or service for free). By showing your clients that you are there for them no matter the circumstance, you ensure a strong relationship going forward.
No one likes to hear complaints, but for business owners, every piece of negative customer feedback is a crucial opportunity to improve your product, your communication, your service, and your relationships. Even if you think you are getting enough feedback through review channels and customer service complaints, you should be soliciting additional feedback from your clients through regular interviews and special rewards as part of your marketing plan. The information your customers will share is invaluable in shaping how you can improve your efforts.
Take Expectations Seriously:
The service strategy “under promise and over deliver” is the secret to making customers feel you are doing a superior job. For example, if a customer expects that his/her clothes will be ready in two weeks, and they take delivery within a week, they feel you are outperforming for their convenience and satisfaction.
Build a Trusting Relationship:
Customers will be more loyal to your brand if they do not feel you are constantly trying to sell them something. Therefore, aim to become an expert in your field and share knowledge, whether in the form of a blog, inspirational Instagram posts or regular email updates. As a source of information (and inspiration) to your clientele, you can build a stronger emotional connection as your company’s communication rises above the general marketing noise.
“Word of mouth” referrals are one of the best marketing tools available to businesses. You can incentivize your current customers to spread the word about your products or services with a referral program, reward points, loyalty club, or special discounts when they leave reviews or share their testimonials on social media. By making them part of your marketing plan, they increase your brand visibility and get rewarded in the process.
In the simplest form, this may mean using first names when sending emails. If you have a more advanced program, you can recommend products based on a customer’s past purchases, send product purchase or maintenance reminders, add birthday or anniversary messages, etc. These incentives can make a customer feel cared for by your brand in a more genuine way than your average retailer.
Make Things Convenient:
Always look for ways to make transactions faster and easier for customers. When you save your customers’ time and effort, you give them something truly valuable.
Build a Stellar Workforce:
As your company expands, you cannot be the only person interacting directly with your customers. Therefore, it is incredibly important that you have great employees. However, the numbers are not everything. It is about both quantity and quality, which means finding and keeping employees who will work hard to keep customers happy. Finding the right people to represent your brand means spending time and energy on recruiting and training programs. Make sure every employee has the right attitude and understands the importance of their customer interactions. Their work helps ensure that each and every client will think the best of your brand.