Once you have a customer, you have to keep them…
In today’s world, many businesses focus on customer acquisition. But little attention is spent on Customer Retention. Companies concentrate on bringing new customers in the door, leaving existing customers to feel undervalued.
Acquiring a new customer is often 5-10 times more expensive than retaining an existing one. And depending on your fixed costs, an increase in customer retention can boost your bottom line profit 25%-100%.
Most importantly, customer retention isn’t just about future purchases and up/cross-sell opportunities. It’s about creating word-of-mouth advocacy and referrals — the most important form of marketing.
How to retain current customers and get them referring more often?
Customer retention is a result of combining customer satisfaction, engagement, loyalty, and trust. Each must be monitored, measured, analysed, and acted upon to keep your customers coming back for more.
At the core of this lies the Customer Experience (CX).
You should have a clearly defined CX strategy, ensuring a smooth and easy experience at every touch point. You want to put the customer at the heart of your business, focusing on their needs and wants. And, you want to measure and track the Customer Experience to identify key areas for improvement.
A Customer Experience Management(CXM) platform can help with that.