How to retain customers and attract new ones?
It is more profitable for business to invest in the development of sales to existing consumers than to look for new ones. This is one of the reasons for the rapid development of subscription sales. This model is especially popular in the USA and Canada, where the share of such sales is significant and continues to grow every year. Everything from food to bedding is sold by subscription, which seems to apply to products of irregular demand.
Why is it profitable to retain customers?
- attracting a new client is 5-10 times more expensive than retaining an existing one;
- reducing customer attrition by 5-10% can bring the company 75% of additional profit;
- as the market is saturated, the cost of attracting each new client increases, and the cost of retention remains at a consistently low level;
- a large percentage of regular customers ensure business stability and attractiveness for foreign investments.
But how to make sure that customer will stay with us and will not go to the competitor?
- Social media
Many users never close tabs with social networks, so providing support through these channels is a natural solution for those who want to be closer to their customers.
According to the research results, 44% of consumers prefer e-mail as a support channel. However, the quality of e-mail support often leaves much to be desired. So a small increase in the quality of the support provided by e-mail can become a significant competitive advantage.
Poor operator training and long waiting time are the most common causes of customer dissatisfaction. Accordingly, the improvement of quality entails the transition to the next level in competition.
To retain customers registration is important, but this is not the most exciting process.
In order not to scare off customers with a large number of lines of blank information, use the social authorization buttons in networks.
Show buyer the benefits that registration will give - tracking, ordering, simplifying future purchases and so on.
For you, this is an opportunity to fill the customer base.
- Know everything about the customer
We can’t but agree that it is a pleasure when on your birthday you are offered a discount, and knowing the interests, hobbies and other information you will know exactly what to offer your client and push him to purchase a particular product.
Thanks to the history of purchases and more detailed information about registered customers, you can not just spam offers in e-mail newsletters, but offer more personalized offers, which will give you another advantage over competitors.
- The simplicity of the subsequent orders
The store remembers the payment and postal addresses of the registered client, so making a purchase in one click requires only an account login. For mobile users who are faced with the need to enter a bunch of letters and numbers, this is especially important.
Customer focus is a criterion that characterizes the capabilities and abilities of the company, focused on the maximum volume of sales and income generation, by improving the quality of customer service.
The company needs to understand what customer orientation is for its key customer. It is very difficult. First of all, the key client should like any actions of the company. The opinion of all others can be ignored. It is much easier to sell new services and products to a client-oriented company, since such a company already has a positive image and a good reputation among its customers.
- Fine line
Customer orientation is the balance of fulfilled expectations and requirements. Meeting expectations, the company is gaining advantages and putting forward demands – disadvantages. The estimate is provided in the final sum. The client has certain expectations regarding your business, product or service. You can live up to their expectations, not live up and exceed.
Loyal customers are less sensitive to the price, so they are willing to pay more for the products of the client-oriented company. As a result, the client-oriented company can sell its products or services more expensive than competitors.
Delivery often becomes a headache for the owners of online stores. The goods can be excellent, high-quality service, but the third-party delivery service is able to spoil the impression of you. The conclusion of a contract with a reliable delivery service will be a reasonable solution.
- Expectation and reality
Better to promise less and do more, than conversely. Promise to ship the order within 2-3 working days, pack the orders and send them to the carrier every day. The customer will be glad that the delivery is completed faster than expected and will return to you with a positive attitude.
Agree, very unpleasant situation happens when the Manager has already processed the order and promised delivery within 2 working days, and then it turns out that this product is absent in a warehouse. Implementation of WMS-type systems or their integrated solutions into other systems will help to avoid unpleasant situations and negative feedback.
You have seen that customer retention is one of the most important elements of doing business. Each lost client not only takes away your profit but also gives it to your competitor.
The solution is not a secret for a long time, but not everyone knows about it - the introduction of CRM system.
All information about the client is on the one screen:
- record the entire history of communication with customers — letters, calls, meetings;
- set goals for yourself and control your managers;
- present invoice, сreate documents and contracts directly from the counterparty card;
- make mailings to your customers by e-mail;
- call your counterparties in one click directly from the client's card via the Internet;
- monitor balances with the integrated inventory system;
- the possibility of integration with the delivery service.
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