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.
Customer Experience Management refers to a system of:
- Collecting customer feedback
- Engaging with customers to create relationships
- Measuring effectiveness and bottom-line results
- Improving retail experience based on customer feedback
This systematic approach helps manage experiences. It helps you understand what your customers want, building loyalty and increasing retention.
Create Higher Profitability with CX
By actively engaging, listening and responding to customers, you gain their trust, loyalty and enthusiasm.
And by taking into account their feedback and behaviors, you’re able to make more intelligent business decisions to feed bottom-line results. Resulting in higher retention rates and greater lifetime values.
Customer Experience analysis can help with retention marketing strategies as well. It allows you to tailor your products and services to match your customers personal values and preferences.
The key is to identify the trends from data your customers submit through messages and surveys. Then take action!
Now, you’re able to intelligently invest in you marketing. You’re better positioned to launch new products which has a reciprocal benefit for your customers and your margins.
If you’d like to learn more about RipeMetrics, and how we can help you improve customer satisfaction, loyalty, retention and repeat purchasing…
Schedule a Demo Today