As a business owner, you’ve likely heard that it’s cheaper to get current customers to return for repeat purchases, than it is to locate a new customer base. And that is true! For many businesses, especially those with competition, retaining customers is a winning strategy. While your competition is seeking new buyers, you have your regulars returning and paying for great service again and again.
Improve Customer Service
Effectively communicating with your customers and providing an exceptional level of support shows you care about the relationship. A customer support system helps during pre- and post-sale by allowing you, or a dedicated customer service representative, to clearly communicate and address needs and desires with the customer.
In fact, improved customer service has a direct impact on repurchases, recommendations, and reputation. Customers look for proactive assistance, consistently good service, information on new/useful products, a personal relationship, and fast, friendly interactions. Provide each of these, and you’ll find a lifelong customer who will share the good news about your business.
Customer Loyalty Programs
A loyalty program is a useful tool to increase purchase frequency. These programs motivate the consumer to purchase more often to acquire valuable rewards – coupons, contest entries, and so on.
While giving away items and coupons might sound like an unnecessary expense, it becomes a profitable exchange between your business and the customer. The customer receives more value from their shopping experience, and you benefit from repeat business.
In addition, it is important to understand that enthusiastic coupon users can be easily lured away by the competitions coupon. Providing a coupon on your website or direct mail piece helps you keep those coupon users–who by the way happen to be surprisingly be your wealthier customers.
Yes, people really do use email frequently. It has become one of the top forms of communication. Email marketing is part of the customer retention toolkit. Emails provide the chance to further build a relationship with your customer base. Once they’ve purchased a product or service, if they have opted in, follow up with an email thanking them or explaining new services or products that are available.