Which customer retention strategies should you adopt?
The easiest way to retain your customer is to not lose them in the first place. The goal of a customer retention strategy is to adopt a program that ensures that the company retains as many customers as possible.
These strategies include the following.
A surprise motivates your customers
Offer a customer service or product surprise! Who doesn't like a surprise? You can either offer gifts or discounts or appreciate them when they least expect it. Not only will you be a step ahead in retaining them as a customer, but you’ll also get some honest feedback from them.
Consider if Hilton or another great hospitality brand offered to upgrade your room at no extra cost. Wouldn’t that surprise delight you?
Give your customers something to look forward to
To set customer expectations; you need to understand your customer better. The promise of a benefit is a great way to help retain customers. Amazon’s Black Friday sale is one amazing example of giving customers something to look forward to.
A relationship is built on trust
There are two parties in any relationship - your company and the customer. When you acquire a new customer, you give them an opportunity to trust you. Make sure your customer doesn’t lose their trust in you.
Seek help from automation
As the market and your customer base grows, it’s impossible to track your existing customers manually. Make use of a CRM integrated help desk ticketing system or customer support software to track your customers and also deal with customer-care-related issues.
Get support from KPIs
KPIs are the roadmaps that help you to visualize what the future holds. It can tell you what makes your customers happy or unhappy, and what direction you must take to retain them.
Some KPIs for effective customer retention include:
- Response time: measuring how quickly you respond to a customer who shows interest in your product or service.
- Conversion rate: measuring how many potential customers become paying customers.
- Funnel drop rate: measuring the number of potential customers who unsubscribe from your email list or disappear from your sales funnel.
- Action per engagement: the behavioral pattern of potential customers that helps determine the number of times they need to be engaged before they take necessary action.
Leverage customer feedback
A feedback survey is a powerful tool that can help you understand what customers feel about your products and services and how you can improve on your offerings.
Develop a communication calendar to keep in touch with your customers. Keeping your customers engaged through events, offers, and appreciation messages improve their level of trust and persuades them to come back to you.
Under-promise and over-deliver
Don’t make promises you can’t keep. Use the “under-promise and over-deliver” formula to retain your customers. You don’t lose anything by over-delivering, but you have a lot more to lose if you can’t keep your promise.
Many companies enter the market and fail to establish themselves as they fail to build a customer base. Growing your customer base is just as important as increasing your market share. There are several ways you can increase your market share but there are only two ways to grow your customer base; acquiring new customers and retaining old ones.
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