TMCnet Feature
May 11, 2021

Customer Retention: 5 Proven Strategies to Boost Profits

First, here’s a couple of things you should know about customer retention

In basic terms, customer retention is the process of continually encouraging customers to use one’s services or buy their products. Knowing it costs less to retain than to acquire clients, one can generate more profits by placing a high priority on their customer retention program.

Sometimes, however, getting your clients to stay may feel like getting blood from a stone. That’s because customer retention seems relatively easy on the theory side of things, but the moment you actually start doing it, it turns out it ain’t no “two-hour drive.”

Still, you have to do it – the long-term success of your company depends on it. Plus, the customers that have already tried one of your products or services will be willing to try a few more if you find a way to get their attention again – so there’s profit to be made.

What is more, you have (or should have) some information concerning your clients in your database, which means you can learn what they like and then present them with offers that hit the spot. And you know what they say – “Make a customer happy, and they will tell other people about it.”Therefore, if you follow the principles of retention marketing and create enjoyable experiences for your existing customers, you will attract new clients as well.

Last but not least, when working on retaining customers,you will also pay more attention to how satisfied your customers are (with your products and customer service). Hence, this is a win-win situation. Why? Because clients usually walk away from a brandwhen theyare unhappy with how the company made them feel – and you will be able to prevent that.

So, without further ado, we present to you…

Five customer retention strategies that will help you increase brand awareness

1. Maintain high-quality customer service

Knowing that negative content and atrocious comments easily influence consumers, you must do whatever it takes to maintain high-quality customer service and reduce the number of woeful experiences to the bare minimum. If not, even the most loyal clients will give up on your brand and start following your competitors. Customer service plays a huge role in how your company is perceived by your audience. Thus, anyone who represents your business should have a positive attitude.

2. Keeping working on your customer relationships

You cannot create long-lasting customer relationships overnight.It will happen if arepatient and find a way to communicate with your target audience. Well, there’s one more thing you will need to do - listen. Learn about your clients’ hopes and dreams,and you will gain their trust. Then, even if you make a mistake, they will be willing to forgive you and not complain or turn away from your brand completely. Also, give your customers some reasons to remember you – find out what they like and provide them with discount codes, special promotions, or small gifts. Believe us, it will work like a charm.

Let’s go back to the “listening” part for a second. You should be asking your customers how they feel about your products and services. Reach out to them using short messages and surveys,and remember that honest feedback is worth much more than the most expensive market research.

3. Create personalized content

Every client is different – thus, getting the attention of each one requires an individual approach. Act as if you know your clients personally and don’t forget that even the smallest of gestures can make a huge difference.

It’s little wonder why personalization has become an essential customer retention tool/technique. Not only does it help boost revenue, it can also increase customer lifetime value (CLV). Just try sending a few personalized messages, and you will see for yourself.

You can also assume that many of your customers are on social media right now, so you should use that to your advantage. Create official accounts on Facebook, Twitter (News - Alert), Instagram, LinkedIn, YouTube, Snapchat, and whatever else is appropriate for your business. Figure out which channels work best for you and use them to communicate with your clients. Using the same social media platforms they use will help you find common ground.

4. Make your app/website user-friendly

Now, we’re entering the UX territory. Let’s start with the obvious - the more seamless your shopping process is, the better. In other words, it should be quite clear how to use your e-commerce site/application. If it’s too complicated, you will most likely find many abandoned carts and unpaid orders. What’s the solution?

Make the process as simple as possible.Run tests with focus groups, introduce more language options, create content that is easy to understand for everybody – anything that will encourage your clients to keep going and finalize their transactions.

5. Use customer engagement platforms

Finally, let’s talk about modern loyalty management technologies. Using one of today’s customer relationship management (CRM) platforms, not only can youkeep track of your customer retention levels, but you are also able to manage your client database, send automatic messages, suggest promotions, and issue payment reminders with ease. Not to mention the fact that it can help your employees provide clients with high-quality service and content.

Be careful, though, as not every loyalty management system workswith every type of brand. Make sure you find a solution that provides all of the features you need to run your customer engagement operations. There are plenty of them out there, though some are clearly better than others. In the end, the choice is yours.

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