Holding on to current customers is way more cost effective than finding new ones. So why not focus on ways to increase customer retention? Here are a few tried and true methods to get you started.
Just how important is it to make efforts to increase customer retention? Â Studies show that â€śThe average business loses around 20 percent of its customers annually simply by failing to attend to customer relationships.” Therefore, the real profit is in keeping your customers satisfied and coming back for more.
In this piece, I will discuss some tips that will not only keep your customers satisfied and wanting more, but will also encourage them to become â€śbrand advocates.â€ť Integrity, loyalty programs, quick response time, and customer feedback are all keys to increase customer retention.
1. Integrity is one of the most important aspects of business and retaining customers. The services rendered should be as you presented them at the time of sale. The quality and reliability of your service must always meet or exceed the customerâ€™s standards. Customers will want to come back if you demonstrate honesty, are consistent with services, and do not let them down.
2. Todayâ€™s customer has options and they are aware of those options more than ever. Loyalty programs help to brand your company and keep your customers excited about choosing you. The rewards can widely vary from discounts on services for a month or even free stuff! Who wouldnâ€™t like that? These rewards often times are marked at purchase milestones. This will help to keep the customer interested in your companyâ€™s services and can even make them aware of other beneficial services that you offer. For many businesses, a customer loyalty program is a great way to increase customer retention.
3. Customer response time should be one of the highest priorities of your support team. A swift turnaround time of any support issue is imperative to the customerâ€™s satisfaction and their loyalty to your company. If a customer has a support issue it is necessary that it getâ€™s resolved not only swiftly but with care. A customer may start having second thoughts about who they are doing business if it takes a week to resolve any issue. This reassures your customers that you will be there for them when in need and strengthen their resolve for choosing your services.
4. It is important to encourage feedback from your customers. Send your customers a feedback survey or annual service review that not only has multiple choice ratings and questions, but also open-ended response options for more precise feedback. They are free thinking people just like you and I, after all. This will be appreciated because your customers will know that you are always looking for ways to improve the business and their satisfactions. Then, follow up with them by sending a thank you card to your customers showing your appreciation of their business and feedback. The customer will feel valued by being more involved and now your relationship extends beyond only complaints (which can be draining on any relationship).
These tips will all help to build a better rapport, increase customer retention, and ensure long lasting business relationships with all of your customers. Â Having such a great service, your customers are likely to spread the word and refer other business your way. When was the last time you reached out to your customers to say thank you?