There is a lot of talk about how to attract new customers, but not much about the best strategies to retain them. And retaining the customer base is crucial to growing any business. It's easier than just selling something new to your customers because customers who are satisfied with your company are more likely to be ambassadors for your brand, promoting your products or services to family and friends. If you want to know what are the effective marketing strategies to retain customers, be sure to read this post.
The cost of retaining your customers
Retaining your customers and achieving repeat purchases - the more time they spend, the more your organization needs to grow. Obviously, retaining customers is a cost. You have to invest in a product, marketing, customer service, sales service, etc. But much less than attracting new customers.
- It costs 5 times less to hire an existing customer than to hire a new one.
- The probability of selling to an existing customer is between 60% to 0%. But the probability of a new sale is between 5% and 20%.
- Existing customers are 50% more likely to use new products and spend 31% more than new customers.
- Increasing the customer retention rate by 5% increases profits by 25% to 95%.
What are the effective marketing strategies to retain your customers?
1. Personalize messages and offers
Sharing based on your customer buying habits helps you design your retention. Marketing campaigns based on each group of customers also help you make your result. Depending on whether your goal is to increase the frequency, regularity, or value of the sale.
The message you send to each group - for example, through a weekly newsletter - should be offered to help you achieve your goal. For example, if you want to increase the frequency of purchases you can offer a discount of -1 2-1.
Or if you want to reactivate a customer who hasn't bought in a while, you can buy their latest product or service. Or you can promote them based on complementary products. Because you know they might be interested in them.
2. Customer service activism
Prevention is better than cure. In business, it is better to expect and deal with small problems than to try to solve them once they have already become problems.
It's normal for your customers to have problems using something with your products or services on many occasions. Having a trained customer service team will please the customer by being able to solve any problem. Also, they will take second place to the problem that they may have.
Those who work in the customer service department who are interested in better execution, direction, and event resolution and who are dealing with a new client or lifelong client should practice the original behavior.
3. Ask your customers what they need
Ask your customers what they need before launching a new product or service. That way, you have more new guarantees that your new product will be successful. You will also make your customers feel that somehow that product is “his”. In this section, the Influencer Marketing strategy can help you a lot.
Another option is to first develop a prototype and select a group of your best customers to test it for free and give you feedback. These customers will feel special. And they will surely appreciate that their suggestions have been considered to finish designing a new product or service.
But, involving customers in creating new products is a great way to build a community and build an idea of inherent and loyalty to your organization.
4. Use social networks
The use of social networks is a very good tool that contributes to growing your customer retention ratio. Through these channels - especially Twitter - you can not only know what people think about your brand, but it is also a direct contact channel that helps build good relationships with your customers.
Increasingly, many use Twitter as a channel to inform themselves or report incidents when using a product or service. And you need to be there to give them adequate (and educated) feedback as soon as possible.
Quick and useful feedback greatly improves users' perceptions about brands that are quickly available and thus contributes to better ideas.
5. Communicate transparently
Transparent and honest communication is essential to create a brand image that inspires trust. Start with the information on your website. Keep in touch with your clients through newsletters or social networks.
If there is a reputation crisis on social media, clear and transparent reporting is especially important. To prevent and expand the values of spreading bad news or bad customer experiences through networks, it is important to adopt a protocol or action plan. And can do it quickly.
Acting fast and well, in this case, has a lot of impact on the customer’s perception of your brand. Whatever the cause of the bad experience, managing the reputation crisis, and managing it properly will go into the background in your client's memory.
These marketing strategies can undoubtedly hold and keep your customers. If you use them often, customers will always like your brand more than your opponent, no matter what.
Of course, don’t forget that to put in place these successfully, the first thing is to know your customers very well. And you have the data about the frequency, repetition, and price of each sale. Influencer Marketing campaigns can help you to keep your customer coming. There are so many advantages to this marketing strategy to grow your business. You can learn more with the help of JOCIAL - the largest Influencer marketing strategist. Also, they can help you with any online marketing base campaign that you are searching for. Analyze your marketing plans with them and build your results instantly from the online world.