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Five Great Tips for Customer Retention

By: capturecode | Aug 22, 2014

These days, consumers know better than to hold on to a brand just for the sake of loyalty. If they can get the same product or service in a better format or quality for a lesser price, people are willing to change loyalties as quickly as they form them. In such times, how do you keep your customers interested in your offerings? How do you encourage them to stay with you?

Here are 5 tips that you should keep in mind when developing strategies for customer retention.

1. Don’t misread your customers

The first step is to understand your target audience thoroughly. Try to focus on the factual information and not on the predicted or assumed behavior of consumers that you are targeting. Make the most of web analytics to understand what you customers are trying to say to you. Rely on facts and figures for accurate information you can use.

2. Develop a better way to thank your customers

Consumers would like to be with a brand or a company that recognizes them and appreciates the business they offer. Find creative ways to say “thank you” to your customers. Make them feel important by enhancing how you show your gratitude to them. Review your automated ‘thank you’ responses and ask yourself – are they really putting the company’s best face forward?

3. Design and develop an effective customer retention program

Customer loyalty is not going to come easily. You have to strive for it. In addition to a high quality product or service and exceptional customer service, you should also have an effective customer retention program in place. A customer may choose to leave you for many reasons – what are you doing about it? How do you approach a customer who wants to leave and what do you do or offer to make them change their mind? Without a solid customer retention program, you may not be able to identify or correct the problem areas that could slowly get bigger and create a larger hole in your pocket.

4. Engage customers via social media

Social media engagement is important if you want to know what your customers are thinking about your brand, your service and your products. Have a workable social media engagement plan that allows you or your team to interact with your customers on a regular basis. This can nurture and strengthen the relationship between the brand and the buyer, and increase retention too.

5. Make the most of feedback channels

Customers give you constant feedback through many channels – if you aren’t paying attention, you are likely to miss it. Optimize all channels to ensure that feedback from customers is received and proper response or resolution is given to the customers. More importantly, companies should spend time focusing on customer feedback and find ways to improve product and service quality based on that, to improve retention.

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