We already know that the Internet has significantly changed the way the world works. This includes how we learn new things, communicate, and how we interact with companies as informed customers.
Although life is easier in general for people, business owners must adapt everything they do to meet the expectations of their target audience.
Strive for Customer Loyalty
If you do not keep your customers satisfied, you will lose them. There is a lot of competition in almost every conceivable niche.
So, an unhappy customer can easily take their business to your competitors.
Customers whose needs are met or exceed expectations will stay and be loyal. They will also share their positive experience with others and spread the word through referrals or social media.
Your ultimate goal is customer loyalty both to increase profits. Current happy and informed customers are likely to make more purchases from your business.
And they will bring in new customers for you by word-of-mouth advertising.
How Much Does Customer Retention Matter?
Customer retention plays a significant role in business growth, brand perceptions, and profitability.
- 64% of consumers are more likely to recommend a business if their experience and communications are simple and satisfactory
- 62% of shoppers will spend more for a customized shopping experience
- 63% of a company’s business is from existing customers
- 65% of companies successfully cross-sell or up-sell to existing customers
- 93% of customers who experience excellent customer service are more likely to buy again
- 73% of consumers will take a chance on companies they have not purchased from yet but have heard positive things about from others
- When customers leave, a business loses $1.6 trillion annually
- 85% of Americans feel great when notified of an earned cashback reward, regardless of size
The statistics above are a small window into the importance of customer retention and brand loyalty. It is the company’s responsibility to provide an experience that is worthy of allegiance.
Meet and Exceed Their Expectations
Most customers want to get their questions answered or issues resolved in the first interaction. While this is not always possible, companies should have a process in place to escalate a call, ticket, or email quickly to someone who can help the customer.
If a customer is required to interact with more than one company representative, the worse thing a business can do is make them repeat their story.
Have a process in place that logs a customer’s initial interaction so that there is no need for repetition.
Give Realistic Timeframes and Updates
While everyone would like to resolve problems or issues immediately, this is not always possible. Be honest and straightforward with customers whose concern will take a little time to correct.
Provide your customers with regular updates about the progress and what they can expect within what time frame.
Consumers are far less patient when they have no idea when a customer service representative to get back them.
Inform Customers of Problems and Delays
As mentioned above, not all issues can be resolved immediately—especially when dealing with large projects or delayed orders.
Be upfront with customers and deal with the issue head-on. For example, if a product does not arrive when expected, explain to the customer what happened. Let them know that you have already shipped out a replacement (ship it before you interact with the customer).
Communicate Through a Variety of Channels
Consumers today expect to be able to contact the companies they do business with via different channels.
Brands need to provide multiple points of contact for a customer to engage with them.
Enabling customers to engage with your brand no matter where they are will improve user experiences and drive better relationships.
When making purchases online, consumers like to be kept up to date about when the product is shipped, expected delivery date and a way to track packages to see where they are in the delivery process.
Follow-up and Stay in Touch
After an issue is resolved, a problem solved, or a question answered, follow up with your customers.
Confirm that they are satisfied with your service. Ask them if they need assistance with anything else.
This will build a relationship of trust with your customers. It will also give them confidence that you are still there should another situation arise.
To keep your customers happy, meet their expectations, keep them updated, communicate with them wherever they are, follow-up, and stay in touch.
Happy customers make more purchases more often. They also refer others to you and increase your revenue.
Satisfied customers make the brands they are loyal to – happy. It is a win-win.
As a Visual Digital Marketing Specialist for New Horizons 123, Julie works to grow small businesses, increasing their online visibility by leveraging the latest in internet and video technologies. She specializes in creative camera-less animated video production, custom images, content writing, and SlideShare presentations. Julie also manages content, blog management, email marketing, marketing automation, and social media for her clients.