Marketing a small business may be difficult and costly. However, the majority of that cost is spent on acquiring new clients; keeping existing ones is significantly less expensive. As a small business owner on a tight budget, keeping as many clients as possible makes financial sense. Remember that every year, many businesses of all sizes lose a significant number of customers. The average loss is roughly 20%, but in some areas, it might be quadrupled. You can see how easy it is for business development to stagnate and even reverse if this accumulates over time.
As a result, it’s critical to investigate better ways to keep your customers, because the ability to retain customers Is one of the important factors to consider when it comes to making a business decision, and if you don’t consider this you might be giving competitors the chance to take away some of the customers you work hard to get especially if you use long marketing strategies as part of your promotions.
In a research conducted by Hubspot, 80% of customers who have transacted with small businesses complained that many of these businesses don’t understand the importance of retaining customers. Also, 71.5% of small business owners complain of customers not coming back for purchase after the first one and this is believed to have forced many businesses off the market race.
Therefore, in this blog, We’ve outlined some of the most effective client retention techniques now in use by the most well-known firms. We’ll go through everything a customer success or marketing team needs to know, from utilizing convenience to prioritizing uniqueness.
1. Accept Customers Complain
Customer complaints can be difficult to handle, but they will occur. Often, rather than the underlying issue, a company is rated on how it handles complaints. So, to get started on your retention strategy, think about how you might improve your complaint response. You should also strive to develop a method for tracking complaints, as it is generally known that many dissatisfied customers will remain silent. If you can reach out to them before they leave home and reflect on what happened, you could get a second opportunity.
2. Conduct a Thorough Customer Service Audit
Examine your customer service and determine which areas are causing you to lose customers. obviously, any business will lose some customers. However, many businesses become complacent after investing so much effort and money in cultivating their core support. They let things slide, and before they know it, their customers have begun to look for alternatives. This means they’ll have to refocus their efforts – and money – on attracting new customers. A monthly customer service audit will help you detect where your standards are falling.
3. Recognize the worth of your customers
Every customer has a lifetime value. If consumers only buy one item from your store, for example, the amount won’t be significant. However, if that person continues to do business with you for weeks, months, and years, it’s easy to see why you should keep them. It will also give you a decent idea of how much you can spend to keep them while still making a profit. Introduce loyalty cards or programs as a means of determining consumer value. We’ll get into that a little bit later, but it offers a lot of advantages. It can provide you with a detailed view of your customers’ purchasing behaviours, allowing you to develop more accurate estimations of their lifetime value.
4. Develop customer trust
Because trust takes time to develop, don’t assume customers trust you just because they buy from you. When it comes to making a purchase, 81 percent of customers feel trust is a key component in their decision. Building trust isn’t a one-size-fits-all strategy that can be implemented quickly by any company. After all, trust is defined as “a deep belief in someone or something’s reliability, truth, capacity, or strength.” Because consistency in delivering value to clients is a significant aspect in creating trust, your organization should be reliable.
Following through on your brand promise and doing what you claim you’ll do over time will affect whether or not your customers regard your company as trustworthy.
5. Provide an Exceptional Service
Offering a better item or administration than your opposition according to your clients is no simple undertaking, yet the result is definitely worth the work. You’re on the right course to keeping clients assuming you’ve made a speciality for your association that tends to a vital client torment issue.
customers eventually buy what they esteem. A strong inspiration for customers to focus on your image is eliminating a bottleneck, eliminating a wrinkle in a work process, or robotizing a cycle such that no other organization would be able.
Completely finishing your brand promise and doing what you guarantee you’ll really do over the long run will influence whether your customers see your business as dependable.
6. Promote Aftersales
Aftersales are an excellent technique to get more from each customer while also maintaining a key relationship. Assume you own a stone flooring company. You sell a set of kitchen floor tiles to a customer, who pays you to install them. It may appear that the transaction is over, but if you can get them on an aftercare or maintenance plan, you’ll have a lot more options. You’ll return to your customer’s home a year or two after the sale to clean the tiles professionally. By that time, they may be considering replacing their bathroom floor, and you will be ready to assist them.
Marketing and advertising are all about small reminders and easy ways to stay in the minds of your customers. Because you don’t have the luxury of billboards and television commercials as a small firm, this aftersales method is a brilliant way to stay focused.
7. Always Reach Out to Customers
Regularly communicating with your customers will help you stay in front of their minds. There are a few possibilities. After-sales calls are great for checking up on customer happiness. Email can also be used to send out newsletters and special offers based on previous purchases. Email marketing, according to Market Motive, can assist in customer retention. It can also help you increase the lifetime value of your customers. It’s a valuable tool that many small businesses overlook; don’t let your firm fall into that category.
Part of knowing and understanding your customers is knowing where they spend their days using your product, and how they most want to get customer support when needed.
8. Employee Branding and Development
All staff that interact with consumers should receive the appropriate training. Each one represents your company, and irresponsibility or a negative attitude will cost you clients. Of course, ideal customer service is impossible to achieve. However, by providing training, you will be able to bring your clients up to speed on your expectations and establish a degree of expectation. Customer service essentials that work for retention include the following. A smart place to start is with rapid responses to emails or phone calls. You must also follow through on your promises. Finally, make the most of your tiny company position. Instead of treating customers as clients, treat them as friends. It’s something they won’t get from your larger, more established competitors.
9. Always Say Thank You
To the point made above, saying thank you to your consumers outside of an email campaign or a customer transaction is important. To return to the previous point, thanking your consumers outside of an email campaign or a customer transaction goes a long way toward creating a beloved and remembered brand. for example Zappos, a clothing and shoe eCommerce business, is well-known for its great customer service, which includes efforts to express gratitude and give gifts to consumers.
Zappos even keeps track of how many presents and surprises were sent to customers in the preceding month to ensure that everyone on the team is doing their part to show consumers how much they’re valued.
Thanking customers is a simple yet powerful customer retention tactic that distinguishes anonymous websites from well-known business.