Customer retention should not be taken lightly. According to CSMG, “It costs five times more to get a new customer than it does to keep an old one”. Yet so often companies focus their efforts on attracting new customers rather than keeping the current ones happy explains Saivian.
Keeping your existing customers loyal should be at the top of every company’s list of priorities because doing so will help you maintain your revenue while saving money in costly advertising dollars. If you can learn how to best serve your current customers, they are sure to become some of your biggest advocates and speak highly about you whenever given the opportunity, according to Inc. Magazine.
Here are 5 ways that business owners can increase customer loyalty using techniques guaranteed to make all the difference in long-term revenue.
1. Develop A Customer Loyalty Program And Reward Them For Their Purchase
According to the Huffington Post, “Businesses who further invest in their customers create a ‘delight loop’ that motivates customers to remain loyal”. This loyalty will be demonstrated through higher rates of future purchases and referrals. The key to achieving this type of customer behavior is by implementing a strong customer loyalty program that rewards your best customers for being so great. No matter what industry you are in, there are always ways to reward customers for their loyalty. Getting creative about how you approach rewarding customers can pay dividends down the road as they become more invested in you through each interaction which results in them spending even more with your company
Creating an effective customer loyalty program is a surefire way to earn the trust of your consumer base. The loyalty program you develop should provide benefits that matter to your current customers while remaining cost-effective for you.
Developing an effective customer loyalty program can be a long and arduous process, but once you get it right it will pay dividends in the future says Saivian. If you need help developing a system that works best for your company, contact us today at Levelten. We have experience working with all types of industries and would love to hear from you about how we can help grow your business!
2. Respond Quickly To Customers’ Inquiries or Issues
This is essential because resolving issues or answering questions quickly makes customers feel valued and respected by the brand they are currently doing business with, according to a study conducted by Harris Interactive. This is especially true for those who have purchased a product or service and experienced an issue with it. If you address their concerns quickly and provide them with the resolution they are looking for, it will make them feel like they made the right purchase decision in choosing your company over all others.
Take time to invest the proper resources into hiring employees that are knowledgeable about your particular industry or product line says Saivian. Your customers will appreciate knowing that there is always someone on hand that has the answers they need when they need it.
3. Give Exclusive Deals and Discounts To Your Loyal Customers
Again, this strategy speaks to building stronger bonds between you and your customer base through investments you make directly into their lives. Exclusive deals and offers for loyal customers go a long way when it comes to boosting loyalty because it makes them feel special, according to Business Insider. It also has the added benefit of rewarding your best customers which leads to increased future spending.
4. Be Transparent With Your Customers about the Quality of Your Product or Service
Classic mistake companies can make is being dishonest about their product or service in an effort to cover up any shortfalls that may exist in quality explains Saivian. This often leads to dissatisfied customers who in turn won’t return or advocate others. In purchasing from you just as Maury Fader, a Cleveland-based marketing consultant quoted in a Forbes article says. “It’s much easier today with social media tools … If they have a bad customer experience and don’t like your product, they can damage your brand much more easily”.
Be transparent with customers about the quality of your product or service. If you make a mistake, be honest and upfront about fixing it as soon as possible. You’ll find that you retain customers better by being honest. As opposed to trying to cover up any issues that may exist.
5. Reward Customers for Sharing Their Experiences with Your Brand on Social Media
Another great way companies are using loyalty programs is by rewarding customers. For sharing their experiences on social media networks such as Facebook and Twitter, according to a Forbes article written by Monica Eaton-Cardone. This is another powerful tool in today’s online world. Because simply giving people an incentive will encourage them to talk about you. Which leads to more exposure for your business.
Developing a loyal customer base in today’s marketplace is a challenge for all brands and industries out there. But it can be done if using the right strategies explains Saivian. The key to success in boosting loyalty among customers is making the matter of the reward to them. By being relevant and adding value in areas that are important to them. Contact us at Levelten if you need help getting started or developing an effective system. That works best for your company. We have experience working with all types of industries. We would love to hear from you about how we can help grow your business!