Is your company more concerned with customer acquisition or customer retention? The most commonly given response is the acquisition, however, the emphasis should be on retention. You can maintain consistent revenue and avoid losing market share to competitors by implementing the correct customer retention strategies.
The cost of losing a single consumer is seven times the cost of converting them. It is critical not to allow this to occur by establishing effective customer retention strategies to boost customer retention. Customer retention is critical to increasing your company’s profitability. In some circumstances, boosting customer retention by 5% might result in a profit increase of up to 95%.
Customer retention might be one of the most difficult tasks for businesses. There are numerous reasons why businesses lose consumers, but the reality is that most businesses aren’t doing anything to keep them. In this article, we will discuss why it is critical to boost customer retention and why every firm should begin working on this critical topic.
- Why do customers leave?
- Here are a few customer retention strategies that will help your store sail smoothly.
- Summing up
- Unfair Treatment. Customers who believe businesses have mistreated them are at the top of the list and would prefer to remain loyal if they had a better customer experience. Customers are also enraged and dissatisfied as a result of inefficient service automation, such as limited access to customer support.
- Even if pricing is the most influential element in turnover, consumers are willing to stay provided they are treated honestly. Competitors get new users quickly when another company promises a better experience at a lower price point.
- Lack of Personal touch. When a customer has an issue, they prefer to speak with a live person. Searching for information on a website or communicating with a bot chat fails to address a customer’s particular demands, leaving them feeling unheard and with solutions that do not solve their problem.
Here are a few customer retention strategies that will help your store sail smoothly.
1. Prioritize personalization
The capacity to provide a unique, personalized journey for the customer is critical to a brand’s success. “79% of customers are eager to disclose relevant information about themselves in exchange for contextualized encounters in which they are quickly known and understood,” according to Salesforce.
Getting users to register/signup for an account is a terrific method to learn more about them and provide them with a tailored experience that will entice them to buy from the company. Using product recommendations based on user behaviour is another simple method to provide a sense of personalization. Tools such as Truepush, provide the personalization push notification to users that add value to the customer journey in terms of a relevant and valuable message. It adds value to developing a bond with customers on a personal level that boosts user acquisition, retention, and engagement.
2. Provide unbeatable customer support
Customers have always valued excellent customer service. However, demand for it has grown over time. Customers now demand shorter wait times, quicker problem resolution, and happier customer care employees. And, in many circumstances, your users are willing to pay a premium for it.
The issue is that many retail and eCommerce enterprises are unable to deliver it on their own. Their customer support teams are either too tiny or do not have all of the tools necessary to give excellent customer service.
Many businesses believe that providing outstanding customer service requires going above and above – that loyalty is founded on grand gestures. The ease with which a problem can be resolved is the underlying driver of customer retention and loyalty. Delight is not the cornerstone of a customer service strategy; it is a byproduct. Here are a few more pointers.
- Provide assistance through the appropriate channel (s). It’s critical to ensure that you’re delivering customer support through the channels that make the most sense for your company and your consumers. Hosting companies, for example, understand the need for a live chat when their clients’ websites go down; other businesses may have consumers who prefer self-service or even phone help.
- Make customer service a group effort.
- In developing an efficient support system, numerous case studies have made one thing quite clear: you must keep everyone in the loop.
3. Use the content in the customer retention strategy
You’re certainly aware that quality content marketing is critical to increase customer engagement, improving search engine results, and converting new leads, but few people discuss content tactics for maintaining existing clients. To address this, assemble a content-focused strategy that will help you keep customers interested long after they’ve made a purchase.
- Pre-plan material — Brainstorm 20-30 ideas at a time so you can start writing without having to focus on innovation every time you start a new blog post or podcast.
- Hire a guest blogger — When you locate other industry experts that hold similar viewpoints, invite them to blog on your website. This provides you with a break and allows you to benefit from the authority of another.
- Repurpose your work – Take one large asset and milk it for all it’s worth through research. In podcasts and blog articles, break down facts, highlight unusual results, and summarise your research—you’ll be able to make one asset go a long way.
4. Add value to the customer’s journey
After a consumer has signed up, the last thing you want to do is leave them to fend for themselves. It is critical to provide tools that help new clients understand how to utilize your product. Being in touch with new customers is necessary at that stage, henceforth running a drip campaign as a “welcoming message” helps new customers to connect with you directly and give a push to customer acquisition, retention, and engagement.
There are numerous methods for teaching new clients how to utilize your product.
- Provide in-product onboarding with tips and lessons to assist new clients in getting started.
- Send a series of emails to new & existing customers to encourage interaction.
- One-on-one training sessions with customer service, sales, or an onboarding specialist are recommended.
- Create an online training school with self-service training tools for new customers.
- Create a community of product specialists to whom new and returning consumers may turn when they have questions.
5. Smoothen the onboarding process
Poor onboarding and underperforming products are the two main causes of churn. If you’re confident in the quality of your product, it might be time to look at how customers engage with it right after they buy it.
Smoothing up your onboarding process is especially crucial for software companies, whose solutions may have a learning curve or features that are not intuitive. There are a number of approaches to dealing with this, but popular choices include portals that answer all of your users’ inquiries and email campaigns to orient new users.
Whatever material you use to help your onboarding process, make sure it addresses your audience’s pain points and overcomes any obstacles to entry that may deter them from using your product. Customers will usually provide you feedback if you ask for it, so use that information to enhance your process. Even basic barriers to entry, such as a lack of understanding of how a product could be utilized at the time of purchase, might be problematic.
It takes a lot of effort to gain a customer’s loyalty. And once you’ve brought someone into your company’s environment, you don’t want to lose them. You can guarantee that your priorities are in the correct place by prioritizing customer retention as a key performance indicator (KPI) for your organization. When you maintain contact with your audience, you demonstrate that you care about them rather than their wallets and they keep coming back to your brand. Try these customer retention strategies and let us know your feedback.
Chaitanya Patel is an ardent writer at SaaS Brothers, who generates best-in-class posts on a wide range of SaaS tools and techniques. He also produces well-researched and factual posts on strategic solutions for SaaS.