You may think that customer loyalty programmes are outdated or, are only for huge companies but they’re one of the most engaging customer retention strategies.
In fact engaging with your customers and increasing their loyalty is a sure-fire way to keep your customers coming back for more.
Many entrepreneurs get caught up in focusing on customer acquisition, but with a strong customer retention plan you can spend less money on marketing for even more sales than you would if you were focusing on customer acquisition.
What is Customer Retention?
The average business loses about 20 percent of its customers every year by simply neglecting their customer relationships and in some industries this loss can be as high as up to 80 percent.
Having a customer retention strategy is the best way to reduce that percentage and it will help your business become more sustainable.
The aim of a successful retention plan is to convert new customers into long-term customers.
Implementing tactics like, customer loyalty programmes for example, into your plan will enable you to spend less time and money looking for prospective customers.
Actually, customer loyalty programmes are one of the most effective retention tools you can use because loyal customers are more profitable than disengaged customers.
Thankfully, customer loyalty programmes aren’t the only way to inspire loyalty within your customer base.
Using customer retention ideas in your business will foster brand loyalty in your customers. You can build your loyal band of followers through the many tried and tested retention techniques.
Here are our ten favourite Pathwwway Panama customer retention ideas to get you started creating your customer retention plan.
1. Focus On Service
A simple way to start your customer retention journey is committing to excellent customer service. Attention to detail and helpful honest interactions with your customers will keep them coming back to you again and again.
Your dedication to customer service will be apparent to your customers. It will inspire their loyalty and even make them want to spread the word about the great customer service they received among their friends online and offline.
2. Never Deliver Low-Quality Products
Never under deliver on your promises especially when it comes to your products, aim for high quality in everything you produce.
If a customer is expecting high quality but get’s something less than they anticipated, they’ll regret the purchase and perhaps next time go somewhere else.
If your new customer is regretting their decision to buy from you, you can bet that they probably won’t be coming back to your business any time soon.
3. Frequent Communications
Build relationships with your clients by keeping in touch with them regularly. Plan your communications to include emails, letters, events, phone calls, special offers, follow-ups, cards, notes and whatever else you can think of!
Be sure to always add a personal touch in your communications. Address people by name, tailor your special offers to their purchase history or send them a note on their birthday.
People respond to this positively because it acknowledges them as an individual and they feel valued and important to your business.
4. Create A Community
Before the advent of the Internet, customer loyalty programmes were the easiest way to create community between you & your customers.
Creating a community is not only a great retention strategy. It can also become a useful resource for your business and the best part about this is that current technology makes building communities online incredibly easy.
Encourage your customers to interact with you and each other by creating a discussion board on your website or creating a dedicated Facebook group.
This can help with retention because members of the community feel appreciated and part of a tribe. You can utilise this community for your business by testing out new ideas, getting feedback and creating open communications with your customers.
5. Add CRM
a customer relationship management (CRM) system can be a useful system to utilise in your business.
Having a Pathwwway Panama customer relationship management system in place allows you to track, monitor and communicate with your customers using an automated platform.
This enables you to customize messages for individual customers and take full advantage of the detailed information you have on each and every customer.
The more specific your communications are the more relevant they are to your customers which in turn, entices previous customers to pay attention and buy again from you.
6. Complaints To Opportunities
As you know great customer service is paramount in your retention driven business. When you get a complaint, remember that this is an opportunity not an annoyance. With your focus on great experience for all customers resolve the problem fully and thank the customer for pointing the issue out.
Customers who complain are giving you an opportunity, they are opening up a dialogue with you which enables you to win them back
7. Encourage Feedback
Encourage a culture of feedback with your customers because 96% of unhappy customers don’t complain, they just walk away from you, taking their business elsewhere.
Many people don’t know how to complain or give feedback. Some of them can’t be bothered and others just simply don’t know how. They might not tell you what’s wrong but you can be sure they’ll be telling someone.
Encourage your customers to give feedback at every opportunity always follow up with them afterwards to show that you value their opinion.
8. Measure Customer Value
Don’t just track individual sales, use a database system to measure sales by customer.
Track, measure and monitor each customer’s value to the business. You can measure a customer’s ‘lifetime value’ and assign a score to the customer based on aspects such as frequency, monetary value and recency.
It goes without saying your top scoring customers are the ones you want to retain and therefore you should spend more time and resources building those relationships through your communication channels.
9. Customer Loyalty
If you’re a micro business with little resources, you can encourage brand loyalty without the use of complicated or complex customer loyalty programmes.
Work out which individual customers are most loyal and be sure to offer them special perks. Make sure these customers know why they’re receiving benefits, letting them know the reason they’re getting perks will show them that you value their custom and they’ll continue to support your business.
10. Customer Loyalty Programs
If you really want to show that you value customer loyalty you can emphasize this to your customers by formalizing your commitment to loyalty.
Explore the different customer loyalty programmes and implement one into your customer retention plan to nurture your existing customers.