No surprise here, giving great customer experiences is at the heart of increasing retention. But just blasting out bulk SMS in mass quantity is not enough to increase retention. Only 60% of companies allow consumers to reply to SMS messages that they get, while only 13% of companies allow consumers to reply to bulk SMS. With such limited choices, how can a company go about increasing retention? Well, one way is by providing value.
Provide value. If you want customers to keep on using your services and to tell others about them, you need to value them and treat them well. You need to provide a first-class experience. You also need to value their time. The more you can do to make your customer’s experience with you better through enhanced customer retention and greater ease of use, the more likely you are to increase retention among new customers. So how do you provide greater value for both new and existing customers?
Follow up. A solid retention strategy will start with good feedback from customers. Surveys that measure customer satisfaction and feedback are important for creating a strategy that works. Interaction between company and customer is another great measure for measuring customer loyalty. Surveys follow up, so they are important tools for gauging customer loyalty and engagement.
Promote and sell upsells. There are many ways to increase retention strategies by promoting and selling upsells. First, you can simply add a very high price on new accounts when you first offer them. This creates a sense of urgency and gets customers to buy right away. You can also promote and sell upsells without offering an incentive.
Limit churn. In every business, it is important to create a sense of urgency for customers to buy from you. One way to do that is to limit the number of new accounts you send to existing customers who haven’t purchased anything in several months. You can also limit churn by tracking and analyzing your customer retention strategies and the impact they have on customer loyalty.
Be honest with customers. Honesty is one of the most important customer retention strategies. Make sure you are honest about pricing, payment methods, warranties, return policies and other terms of your business. When you are honest with your customers, you make sure they will tell others about your products and services.
Use value based offers. Value based offers are an excellent way to increase retention because they create a sense of urgency. Offer customers freebies if they order online, or if they recommend your business to a friend, family member or co-worker. Offer value to increase retention even when customers don’t want new insurance. If you can create a good value offer, you will retain customers for longer because they see that you are putting real value in giving them what they need.
Sticks to what works. It is impossible to increase customer loyalty if your website and other marketing materials are not relevant to the customers you want to attract and retain. For example, if your target audience is single men over 30 years old, don’t use statistics from the last year when calculating premiums to stick around on your home page. Use the past to where it makes sense, such as how many male customers have purchased a car in the last year, how many have taken a trip to a doctor in the past year, etc. Being honest about your target audience helps you stand out from your competition and builds credibility with your potential customers.
Stick around. This one seems simple but can actually be one of the most important parts of building customer loyalty. Offer something new to your customers or a discount to increase retention. Offering a free gift, like an e-book or video course, is one way to do this. Another is offering a discount to customers who get a certain number of referrals within a certain amount of time, such as five referrals within a month. Either of these tactics should keep your company at the top of their mind when potential customers are searching for a specific product.
Make sure they can trust you. After you build credibility, make sure your website and other marketing materials are truthful. Be sure to include references of existing customers in your value proposition. Your success plan should also include an emphasis on making your customers feel like you truly care about what they have to say. The more information you share about how you value your customers, the more likely customers will be to give you their phone number, email address, or name.
Send out clear messages. Send your customers clear messages about what’s going on, what’s new, what’s going to happen, and anything else your customer needs to know. Be honest with them and don’t try to “sell” them on anything. Keep it simple and straight forward. This will increase retention and customer support, which will give you the best results.