Increasing Customer Retention

If you want to increase retention, you have to provide value to your customers in other ways. Surveys show that if you provide good value and good service, customers will return-and in greater numbers than ever before. But simply blasting out mass SMS to a captive audience is not enough to increase retention. Only 60% of consumers are willing to accept unsolicited marketing messages from mobile phones, but only 13% of companies allow consumers to respond to their mass SMS marketing campaigns in any way.

This has led companies to search for another way to draw customers back-both returning customers and those who haven’t bought from you in a while. As with any form of marketing, the best way to attract new business is to offer more than just a product or price. Companies have started to take notice of what consumers need, and the solution lies in using social media as a means to offer more than just one product or price point. Instead of offering the latest iPod, many companies have begun offering an information product such as a free e-book or video course that helps your customer to learn more about their company. By doing this, you’re not only appealing to the latest gadget on the market, you’re also appealing to a person who may not even own an iPod but who would appreciate the newest information on how to maximize the life expectancy of their new product.

Another important step is to get feedback from customers. Companies can’t sell products or services without getting customer feedback in the first place. So why not offer a customer an opportunity to submit their email address for updates about new products or services. Alternatively, companies can follow up with a short survey that asks them to give their opinion about their experience. This is another great way to get honest feedback about your business.

Lastly, you must value your customers. While it’s true that you might be working toward making more money, it’s just as important for you to show your customer that you value their business. This doesn’t mean giving away expensive promotional products. Rather, value your customers by treating them well, offering promotions that fit their lifestyle and promoting yourself as an honest and open business owner.

The key to getting real feedback is to follow up. Follow up on comments, on Facebook and Twitter, and on the blogs of those that you’ve previously published articles on. You don’t want to promise too much and then not keep to your end of the bargain. In fact, the best way to increase retention rates is to provide value and build trust before you start promoting your products. If you’ve provided great content and engagement, you’re likely to receive more customer service questions or comments in the future. If you’ve been prompt and honest, your credibility in the industry will grow and you’ll become trusted as a source of information.

Tracking and measuring customer responses is very important. You can do this through surveys and interviews, but another good idea is to develop a questionnaire or survey that you can send to customers over the Internet. Many companies today have online questionnaires available where you can ask customers specific questions about retention strategies. The Internet makes this process easy because you can actually view past questions and corresponding responses from previous customers. Your goal is to gain even more insight into how you should adapt your messaging and customer service efforts going forward.

Interactivity and customer touch points are essential to customer retention. A simple example of this is interactive walkthroughs. Interactive walkthroughs show your customers what the product is like and allow them to experience it firsthand. Most people like to take part in the buying decision-they want to see what they’re buying and feel a bond with the product. A properly implemented interactive walkthrough makes your customers feel at home when they buy.

Overall, customer retention is important to your business. If you want to improve your current customer retention levels, start by understanding them better. The next step is to implement strategies and tactics that will help you enhance customer retention. There’s no limit to the innovative ideas that you could implement to achieve excellent customer retention — start applying your ideas now.