So how can you go about growing customer retention? Most companies think that their customers are just numbers and therefore they don’t give them any more attention than necessary. SMS is the latest and one of the most effective marketing tools available and it’s not as expensive as you might imagine. But just blasting out mass SMS to your customer base isn’t enough to increase retention so much as follow up. 60% of consumers want to be able to easily reply back to SMS message they get, but only 13% of companies allow consumers to reply to their SMS marketing.
It really makes sense to follow up with new customers. One of the first strategies that many companies overlook when trying to retain customers is to offer incentives for referring new customers. When someone refers a new customer to you, it means they are already thinking about buying from you so it makes sense to reward them for doing so. Here are some of the best incentives to use in your efforts to increase retention:
Provide honest and clear customer support. Being able to provide clear and honest feedback to your customers goes a long way to keeping them around. If you can’t give them honest feedback, they will quickly see that you aren’t committed to giving them honest feedback. Also, if your customer support is poor, you won’t be able to foster the relationships with your customers that you need in order to grow. On the flip side, if you consistently provide good customer support and your retention rate goes up, you know you are on the right track.
Use upsells to increase retention strategies. Most large companies try to use upsells to increase their retention rates but the results are typically disappointing. Although upselling can work if you have the resources and the information available, it’s not a very reliable upsell and should be avoided unless you know you have strong future retention strategies.
Create customer success events. If you can create an exceptional and unique event that you can invite your current users to, you can significantly increase your retention rates. These events should focus on being more useful to your current customers and also increasing customer satisfaction. On the customer support front, if you have an excellent and user friendly in-app messaging system, you should strongly consider using this instead of traditional email marketing campaigns.
Take a proactive approach with your customer experience. Many companies focus on getting new customers while forgetting about the retention aspect of their users. On the contrary, by simply making sure that any messages you send your existing users are easy to read, clear, concise and easy to customize, you can greatly increase their retention rate. A great example of making your userpilot easier to understand is implementing a welcome screen right when they first sign up or download your app.
Provide value regularly. A simple yet powerful method of increasing customer retention is to provide value regularly. You can do this by answering questions, providing content, promoting a contest, releasing a blog post or sending out a tweet. You can even provide value by creating in-app news feeds. This will give people up-to-date information about the most recent changes that you have made. You should also regularly provide customer feedback either through an internal forum, customer feedback submission service or via social media.
Use email marketing automation to collect your customer’s feedback and deliver it to the right persons. Email marketing automation is an excellent way to receive feedback from your existing customer emails and then use it to improve your email campaign. This will significantly increase your retention rate.