15 Customer Retention Strategies that Actually Work
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15 Customer Retention Strategies that Actually Work
Customer retention should be the most fundamental goal of any business. Converting leads to clients can be challenging, but your efforts will definitely pay off if you focus on what matters most – customer retention, as loyal customers are always happy to come back and recommend products or services they love. Unfortunately, only 18% of companies have implemented actionable strategies, even when statistics show that a 5% increase in customer retention increases business revenue by about 95%.
In this blog, we wanted to share the top 15 customer retention strategies that actually work.
1. Seamless Onboarding Process
An easy and quick-to-use onboarding process saves customers time and mental energy. This could be done by leveraging common data sources to prefill some of the onboarding entries, so customers don’t have to type everything explicitly. Customers get frustrated by time-consuming and messy signup procedures and might quit midway, so create a robust yet simple onboarding process that resonates with customer expectations.
2. Omnichannel Customer Experience
Omnichannel customer experience is one of the best strategies to improve customer retention. It offers customers a coordinated experience across different touchpoints and on different devices. For example, a customer query that begins on Facebook can be continued via phone call or chat with all the relevant contexts preserved across channels.
Omnichannel helps drive more sales by combining emails with calls and SMS – all from one platform! Thankfully, iwinBACK can help you capture new leads, nurture them with unified experiences, and ultimately convert them into loyal customers. Book a demo today to learn how!
3. Offer Your Customers Personalized Services
It feels great to walk into a room and you are recognized by your name. Take advantage of the tons of data you collect from customers to enhance their experience with personalized offerings. For instance, before contacting any customer, use data to know how they like to be reached. Don’t make them feel overly bothered, as they can get frustrated if they have to receive the same information repeatedly. Offer them a personalized experience to make them feel recognized and valued.
4. Increase Social Media Presence
LinkedIn, Twitter, and Facebook combined have about 2 billion monthly active users. It would be best if your business had a solid social media presence. With such a high number of online users, enhancing and increasing your presence allows you to develop other communication platforms with your clients – one that fits their pockets! Collaborate with your social media team to launch customer engagement strategies like promotion campaigns to increase engagement with the existing customers.
5. Monitor Retention Metrics
Metrics like Loyal Customer Rate are fundamental in making decisions for the future of your business. To calculate Loyal Customer Rate:
Loyal Customer Rate = Number of Repeat Customers / Total Customers
Aim for higher metrics because loyal customers are the most precious assets your business can ever have. They’re likely to make repeat purchases and referrals.
6. Use Referral Programs
Successful businesses have either periodic or ongoing customer referral programs. Referral programs differ from business to business, but all give the existing clients something back and help bring in new ones.
Some of the popular referral program ideas include:
- Money Back
- Buy One Get One
- Rewards and Points
7. Create Training And Educational Materials
Customers love the value they get from their favorite brands. For instance, banks that offer financial literacy programs are likely to retain more customers than those that stick to the offering only. Create free training and educational materials for your clients, so they have everything they need under one roof. No wonder research shows 131% of customers are likely to buy from a brand that provides educational content.
Increase brand engagement and customer loyalty with:
- White Papers
- Special Reports
8. Resolve Customer Problems Effortlessly
Impressive customer service shouldn’t just be going “above and beyond”. The actual driver of customer retention is getting your client’s queries solved effortlessly and instantly. It’s all about consistently going the extra mile to fulfill their expectations.
9. Create a Communication Calendar
A communication calendar is one of the effective customer engagement strategies. It helps manage clients’ interactions and creates opportunities to cross-sell and upsell. Include a timeframe to communicate birthday wishes, events, special offers, handwritten cards, or “thank you” notes. Also, it should include major interaction points in the sales, pre-sales, and post-sales processes.
Customers like buying from a brand that knows when, how, and most importantly, when to communicate. Appropriately planned interactions keep clients informed, solve their doubts, and make them realize that they’re an integral part of your business.
10. Set Clear Expectations
Setting genuine Service Level Agreements is one of the most sustainable ways to maintain customer retention. An SLA outlines the level of services a client can expect from your brand and defines the consequences if the services aren’t met. It helps you set the appropriate expectations and live up to them.
11. Be Active in Your Community
Many customers are socially conscious- they pay attention to whether your business gives to charity, whether your employees participate in community improvement programs, and whom you partner with or engage. Luckily, you don’t need to have an elaborate Corporate Social Responsibility plan, as there are simpler ways you can care for the community.
For instance, if you are into tech, you could visit a local school within your neighborhood and offer them advice regarding tech careers. Remember, customers don’t want to associate with cold business entities; they long for a sincere, all-rounded, and humane brand.
12. Treat Your Staff Well
This is one of the most underrated strategies to improve customer retention. A loyal staff conveys that loyalty to the customers they handle. So treat your staff with dignity, understanding, and respect, and they will translate the same to your prospects. Create a low-stress working space, and they’ll be more sensitive to customer concerns.
13. Collect Feedback With Customer Surveys
Use customer surveys to collect feedback and diagnose potential dissatisfactions. It makes you understand what needs to be fixed in your overall online experience. Clients appreciate it when you ask about their comments, queries, complaints, and opinions, as it shows you care and that you can go the extra mile to address their needs. Add this to your customer engagement strategies and watch your business grow!
14. Innovate Ahead of Time
Clients expect brands to anticipate their problems and solve them even before they ask. Identify gaps and customer expectations, then take proactive measures to continuously innovate towards finding solutions.
15. Use Self-service and On-demand Tech
Last but not the least, self-service is also among the most effective strategies to improve customer retention. Customers don’t have time to wait around in the chat or phone queue to have their queries sorted. They want instant responses! Invest in self-service tech like chatbots or create relevant FAQ sections to help them get the answers they need when they need them.
Final Thoughts On Customer Retention Strategies
All the customer retention strategies we have discussed above are great, but can only bring change to your business when implemented. At iWinBack, we have an omnichannel solution that your business can leverage to unify customer engagement journeys for a seamless experience. That also helps your business use data to make informed decisions. Book a demo with us to learn more.