So, you’ve started your business and have already gained customers? That’s great! The next step of strategic thinking centres around how you will keep those customers coming back time and time again. That’s customer retention. Whilst there’s a lot of ideas and approaches floating around, we’re here to give you five proven strategies that just work!
Make repurchasing easier Most ecommerce software will allow you to give your customer the option to set up an account. By doing this, your customer’s data will be stored ready for the next time they shop, meaning they won’t have to spend time filling in information like addresses. This is a great tool to allow customers to repurchase with ease. A lot of people will go for the ‘guest checkout’ option so it’s worth dropping an email to your mailing list to explain the benefits as well as including a link to sign up.
Engagement is key Let’s be honest, the world is incredibly fast paced and remembering where you bought something is probably not at the forefront of your mind. This is why consistent engagement with your customers is key. The best way to do this is by sending emails. Emails have an amazing conversion rate when it comes to customer retention. Ensure your messages give your customers value; include some products that compliment their previous purchase, send a discount code, invite them to an upcoming sale. Emails will be a repeat reminder to your customer’s inbox that you’re still trading and you value their custom.
Offer an incentive to return So many times we purchase something, get the confirmation email, wait for the product and that’s the relationship over. Instead, why not add to that confirmation email an incentive to return? Try including a discount code or the offer of a free gift on their next purchase. Not only does this show you value them as a customer but it also makes it far more tempting for them to go back for that other product that caught their eye.
Be ahead of the curve with customer support A great feature that most ecommerce sites allow you to add is a chatbot. A chatbot is an automated chat that appears when someone goes onto your website and will answer your customer’s queries before they go to customer services and potentially abandon their cart. The more customers you get the more queries there are to handle so make the process easier for them by answering their questions before they even ask.
Listen to them Your customers know why they do or don’t come back. They hold the key to identifying issues in your retention and so the best thing you can do is ask them. After a customer's initial purchase, ask them to do a quick survey. Include questions such as; On a scale of 1-10, how happy were you with the service you received? How likely are you to recommend us to your family/friends? How can we improve your experience with us? This data is key to identifying trends that may be negatively impacting your customer retention rates. As well as giving you ideas as to where you could alter or improve your processes to ensure you meet your customer’s needs.
Figures show that the probability of selling to an existing customer is between 60% and 70% whereas the probability of selling to a new customer is only between 5% to 20%. Which just proves how important customer retention is for your business. Not only does it create loyalty, it helps greatly with your turnover.
Plus, having awesome customer retention can benefit your reputation as you’ll gain more reviews and organic brand ambassadors.
These are just a few proven ways to increase your customer retention. The list of retention strategies out there is huge and the deeper you delve the more intricate they become. Start out with these basics and if you like the result, try researching more ways to keep those customers coming back!
What’s your best tip for customer retention?
Have we given you some ideas to implement in your business?
Let us know in the comments below.