How important is it to bring in new customers? – Very. Now, how important is it to retain old customers? – Equally important if not more. Retention and acquisition are two parts of the same book of marketing. While most marketers concentrate their resources on attracting new customers, retention has become a loose end. Honestly, it costs about 7 times more to get a new customer than it does to keep an old customer. An old customer will more likely buy your product, and a loyal customer will bring in more customers – this will help you build a most consistent customer base over time.
So, what customer retention strategies should you employ to convert new customers to loyal, long-term customers? Read along with the following tips:
- The first thing to begin with is to establish a Customer Relationship Management System that will help you track your customer, monitor their behavior and communicate with them, on an automated platform. You can even customize messages to appear personal to specific customers that look interested in your product.
- It is time to shift your focus from acquisition to retention. Don’t rely on mass advertising and general advertisements. Your customers should feel important. That is the kind of attention you need to give them. A satisfied customer will keep buying from you, and also refer other people to you. It is a sort of marketing of your product that happens on a secondary level.
- What most people don’t realize it the importance of measuring customer value. Businessmen limit themselves to sales data. They should be tracking and measuring customer lifetime value as well, which gives a score on how recent they have been with their purchases, how many purchases have they made, and of what value. The higher the value, the more efforts you put into retention because they are considered to be god customers.
- The next point to keep in mind would be the service you provide to them. Customer service should be mandatory for all businesses. It is important to make sure the product is being delivered safely to the end customer, the customer is being delivered a product that works, and it is also important for you to make sure the customer is explained how the product is too be operated. Additionally, in case the customer has any queries, they should be able to contact the concerned professional easily.
- During the festive seasons, send your customers with emails and postcards or gift coupons. Regular newsletters is another way of maintaining constant communication and ensuring that you haven’t forgotten about them. Social media platform can be used to engage more with your customers from time to time.