No matter how great a business’s products and services are, they’re meaningless without customers. Customer acquisition costs are significantly higher than the costs to retain your current clientele. Therefore, it’s important to solidify customer relationships and help to grow revenue. After all, a company who increases customer retention by just 5% can increase profits by 95%.
Customer retention is more than simply holding onto current customers. It’s the strategies a company implements to actively increase the amount and profitability of repeat customers. Acquisition lays the foundation for customer relationships while retention develops those relationships into sales growth.
To increase revenue and build brand loyalty, companies should invest in the efforts of developing a customer retention strategy that will benefit their customer base as well as the bottom line.
4 Effective Customer Retention Tips to Boost Revenue
The key to maintaining a loyal customer base is user experience. From the moment they land on your website to the follow-up contact they receive afterwards, your audience is analyzing their interaction with your business. If a customer enjoys a positive experience with your brand, they’re more likely to return for future purchases.
To boost sales growth and increase revenue, follow these 4 effective customer retention tips to keep current customers happy, engaged, and coming back for more.
1. Offer Rewards
Customers return to companies that help them solve their problems. Set yourself apart from competitors by offering rewards to loyal customers. This shows customers you value their repeat business and want to keep them satisfied. It also helps to create a faithful following.
Through a customer loyalty program, you can provide discounts on goods and services or offer free shipping on the next order. This can entice first-time shoppers to return, and it can encourage current customers to shop with you again. Price isn’t the only factor consumers consider in their purchase decisions. You can also reward customers with experiences, like exclusive events and outings.
By interacting with your audience beyond their primary purchase, you have the opportunity to provide further value to your following and exhibit shared social principles. This boosts revenue, as 75% of people are more likely to purchase from a company who shares their mindset.
2. Provide Product Introductions
Help new customers learn about your products and services by walking them through your offerings. It can take time for a new visitor to scour your website and to try and make sense of everything they see. By onboarding customers with a guided tour complete with product demonstrations, you flatten the learning curve and expedite the shopping process.
Website videos, email communication, and follow-up phone calls can all help in solidifying customer loyalty. By providing this outreach, you can:
- Gather customer feedback: they may have suggestions for product improvements, web design pitfalls, or customer experience suggestions.
- Sell more products: adding another touch point provides more opportunities to pitch potential solutions to your customer base.
- Expand audience reach: pleased customers are more likely to spread the word about your business to their own contacts.
Investing in new customer onboarding can help improve the customer experience and result in an increase in ROI.
3. Personalize the Customer Service Experience
For many businesses, customer service is what makes or breaks a customer’s loyalty. Companies who provide a personal customer service experience are more likely to solidify a lasting relationship with their audience. When a customer’s specific needs are met, they feel valued, important, and cared for. Personalized customer service allows you to create customized solutions for unique problems.
You can deliver a personalized customer service experience by:
- Knowing your audience: understanding your customers’ pain points and concerns allows you to develop tailored solutions that bring ultimate satisfaction.
- Maintaining availability: customers want answers in a timely manner. By using communication channels across multiple channels, like social media and messaging services, you’re able to keep in contact outside normal business hours.
- Providing options: give customers a variety of ways to contact your support team. Clearly post contact information like a customer service phone number, live chat features, and a direct email address. Let customers use the method that works best for them.
4. Deliver Dependable, Valuable Content
After a customer has made a purchase, follow up with messaging that delivers valuable content. This helps to maintain engagement with your company and build customer advocacy.
Stay in touch with your audience through an email marketing campaign, newsletters, or by writing a blog. Information could be educational, providing tutorials and demonstrations of your products. They could be insightful articles about social topics of interest. Or they could share information about the features of specific products in your offering. Either way, it’s important to deliver meaningful information to the right people at the right time.
Consider implementing a communications calendar to help schedule your content delivery. It’s important to contact your audience (prospects and customers alike) at regular intervals and to ensure that nobody is overlooked. A schedule also enables you to keep track of who you’ve contacted and with what information.
This customer lifecycle marketing not only keeps your brand front of mind. It sets a level of expectation among your following. Developing a regular communication schedule solidifies corporate identity, signifies dependability, and helps to build customer loyalty. By serving as a reliable resource beyond just the products you offer, you can improve customer retention and boost corporate revenue.
Televerde Can Help with Customer Retention
Customer retention is essential to a company’s overall success. Televerde is a global sales and marketing services company that helps businesses develop customer retention strategies to improve customer loyalty, impact best-in-class lead generation, and increase sales. Televerde provides the experience needed to help you drive revenue and increase your pipeline.
Contact us today to learn more about how we can help you develop an effective customer retention strategy.