Entrepreneurs know that keeping customers coming back is good for business. Returning customers deliver larger lifetime returns on investment (ROI), and save money and time on marketing and sales.
Looking after existing customers usually costs only a fraction of what one might spend on gaining new customers. So, to enjoy the benefits of this tried and trusted principle, what customer retention strategies should a business follow?
Loyalty Programmes
Implement customer loyalty programmes, to reward repeat business and new customer referrals through personal introductions.
A great way to let existing customers know that you appreciate their repeat orders, loyalty schemes help to keep customers involved. Some impressive statistics reveal the potential value of this point: researchers have shown that in some sectors, the 10% of a customer base spends up to three times more than the other nine-tenths put together. It makes sense, therefore, to keep loyal customers satisfied.
Newsletters
Publication of regular company newsletters, to inform customers and keep them feeling involved.
Relatively simple and cost-effective, newsletters are a great way to inform a client base of the latest news, trends, benefits of the product(s) or service(s) on offer. You might want to include any special deals. The latest email automation tools mean that this medium is enjoying renewed popularity due to its immediate, cost-effective nature. Customers will remember your brand every time they see your newsletter in their inbox.
Thank You Notes
Offer a personal touch wherever possible, including follow-ups and individualised thank you notes or messages.
Taking time to thank your customers – outside purchase acknowledgements or promotions – will build positive, long-term business relationships. Used well, it will contribute to forming a memorable brand image. Saying thank you to customers distinguishes faceless companies from likeable businesses that have a personal approach.
Feedback Channels
Encourage customer feedback via email and social media surveys.
To save time and avoid direct requests (which might influence the result), you might want to automate feedback collection. Apart from web-based survey tools, you could consider user testing or focus groups. One of these approaches – or a combination of them – should provide relevant and ample feedback. When collecting and analysing the information, do share the results and insights with the rest of the team.
Staff Morale
According to a study carried out by researchers from the University of Warwick, happy workers are around 12% more productive.
Because happy teams tend to deliver a better service, their collective efforts are more likely to retain customers. Successful SMEs should strive to keep employees and partners onside as part of the overall drive to attract customers and grow the business.
The Key To Better Retention Levels
Whenever feasible, you should strive to set yourself apart from the competition, through good service levels and ensuring positive customer experiences – thereby giving customers a compelling reason not to take their business elsewhere. This cycle of gratitude, encouragement (through special offers), feedback and improvement is made easier through modern digital marketing techniques.
To find out more about how digital marketing can supercharge your retention strategy – as well as gaining you new customers – please call 01332 343281 today.
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