Majority of businesses are always seeking ways to acquire new customers; so what’s wrong with that? For businesses to attain growth there is always a strong need to acquire new customers but if we are to believe the old saying that it costs six times more to recruit a new customer than to retain an existing one then more efforts should be spent on retaining customers too.
In order to have a successful business, you need to be able to have loyal customers and retain them.
In most cases, it requires a little effort such as providing customers value for money, ensuring customer’s satisfaction, and building integrity to win their customers’ loyalty.
According to Barclays study, application of good customer retention tactics can lead to over 75% increase in profitability through new customers won by recommendations from loyal customers and request for more services by the already existing customers.
Effective customer retention techniques would ensure your customers remain with your business for as long as it lasts. Here are some tips:
Most business owners believe that delivering and exceeding a customer’s expectation is the most effective way to ensure customer retention. Customers who get just what they require may only remain with an organization as long as they don’t cross paths with a competitor who is willing to offer more than required.
A customer may remain oblivious to certain needs. One of the most effective ways of ensuring the customer’s loyalty is to identify those needs and meet them.
For instance, if a customer requires just internet and remains oblivious to the porosity of the network. The customer will most likely remain loyal to the provider that meets the internet need and further identifies inherent network problems. In order to win customers loyalty, the provider needs to employ creativity and innovations towards providing services that exceed the customer’s expectations.
Emerging data continually shows how important it is to provide a satisfactory experience to customers. One of the best ways to encourage customer loyalty is to make them feel taken care of; this can easily be achieved by being ahead of the game with proactive customer service. Being proactive would be about identifying and proffering solution to customer issues before they become problems.
Admitting to errors and making efforts in quickly rectifying them will build trust and enhance cordial relationship between customers and service providers.
Integrity in business involves doing what is right even when no one knows the difference. It should not be equated with anything else. When a company displays integrity, it increases her chances for customer base growth and huge profits gains ultimately.
The growth and sustainability of customers in any business cannot be over emphasized. So much effort and attention should be invested in ensuring that acquired customers remain loyal to the business. Over the years, Customer loyalty has been identified as an effective means to business profitability and continuity. It is also a viable means in acquiring new customers (through referrals). According to Gregory Ciotti, “In a world where competitors are just one click away, customer’s loyalty is indeed the new marketing.”
- Written by Johnstephen Aguinam
- On February 26, 2018
- 0 Comments