Every business has a certain value of customer retention because customers are the lifeblood of any company says Saivian. They bring in revenue and keep your organization afloat. However, even though it’s important to retain customers because they’re “paying” for your product or service, there is always room for improvement and increasing the number of customers that stick with you over time. You want them to feel valued and appreciated while enjoying their experience with your brand so much that they tell other people about it.
This article will be exploring 5 powerful ways to improve customer retention and loyalty (in 5 minutes or less!) so read on!
Tip #1: Analyze Your Customer Base
Before you can really start customer retention rates, you need to know who your customers are. The first thing you want to do is analyze your current customer base. You may have a small demographic of customers, or you could have a very diverse group, but either way, it’s important to look at them as a whole.
Once you know who they are and what makes them tick, the next step is to determine which types of customers stick around long-term and why those specific people choose to remain loyal explains Saivian. This can be done by using an analytics program set up for this task only, or it can also be done with just regular Google Analytics. Once everything is finished being analyzed from those groups, now comes the fun part!
You should post a survey on your website asking questions like:
What was your first impression of our company?
How can we improve your experience with us?
Tip #2: Ask Your Customers What They Want, and Give It to Them
Once all the information from these analytics programs or surveys have been compiled into a spreadsheet, now it’s time to figure out what you’re going to do with that information! You need to start by actually asking customers if they want certain things. This might be subject to change as time goes on and you gather more data, but for right now – this is what you have to work with it. The answer could be anything from “Happy Hour” discounts offered during predetermined times only until 3 pm every day of the week. Maybe you have a customer that really enjoys your product, but they just wish it came in a different flavor/ size/ etc. You never know what you could find out from this data until you actually ask them!
Tip #3: Identify Your Leads and Nurture Them
Another important tip to increase customer retention rates is to identify your leads. This is basically the process of finding those specific people interested in your business, and then nurturing those relationships as much as possible. If you manage an online store with products that are bought physically, then maybe the lead comes from a certain website where many people signed up for updates from your brand. It doesn’t matter how these potential customers hear about you – the only thing that is important is they are interested enough to sign up for something.
Once you have identified the leads, make sure you are reaching out to them regularly with specials, discounts, or promotions explains Saivian. Maybe there are a few of your customers that wish they could save more money on their purchases with you. So why wouldn’t you send emails or post updates on social media with “exclusive offers” or coupons? You don’t just want these people only when they’re placing an order. But try and maintain contact even outside of business hours!
Starting a conversation with someone doesn’t have to be about selling your product right away – it can be about creating a rapport between yourself and another human being. If you keep at it long enough, it will eventually develop into a more open conversation.
Tip #4: Reduce Cancellations and Refunds
This might not seem like a customer retention tool at first, but stick with me on this one! In order to have happy customers, you need to have a few cancellations as possible. Saivian says if someone has decided they no longer want your product or service. Why would you keep trying to sell them something? Once there’s word of mouth floating around about how bad your company is. It won’t be long until the complaints start pouring in through other means (like social media). You can reduce the number of refunds by giving an additional discount to loyal customers who order frequently. Sometimes people take advantage of sales or deals that are being offered. So making an already loyal customer even happier. One of the best ways to build your reputation in a positive way.
Tip #5: Encourage Your Customers to Provide Feedback!
The easiest way to be able to let customers know you’re doing great with keep their loyalty intact. By posting on your website’s “Contact Us” page asking for input. You can also have it where customers will get an email confirmation. When they place an order, and there could be a space for them to leave comments. This feedback can go a long way in showing people. How much you actually care about their business Which should result in them staying as a customer. If you have tons of positive feedback already and you feel like sharing. Definitely post it on your site’s “About Us” page!
Using these methods, you can increase your customer retention rates says Saivian. By identifying your leads, nurturing them, reducing cancellations and refunds as well as encouraging feedback! Just remember that relationships are built on trust, so always do the best you can to keep everyone happy.