“Customer retention often relies on your ability to offer an even more fantastic opportunity than the one that got those customers to convert in the first place. Upselling involves inviting your customers to try out a more expensive product or service.” This task plays a crucial role in your business because prioritizing the customer is extremely important. So give them such an awesome experience that they are loyal to your brand or store and give them enough reason to shop more thereby increasing revenue for the business.
It is said that 61% of businesses get their revenue from repeat customers then new ones and 67% of them are said to spend more than any new customer. So, as per this statistic it makes more sense to retain customers than to find new ones through much effort and expenditure. Hence the strategy of customer retention and up selling is more important than many other things for the welfare of your business. It is necessary to research a few angles that lead up to customer losses which affect business.
Gathering information about customer behaviour and the reasons for it makes a lot of sense. This can be through data captured via CRM, social media, and surveys or call centre data or just inputs and feedback from customers themselves. Engaging with customers is an important part of business today because to grow you must understand them.
The question here is how, that is what can be the best method to retain customers.
- Provide Better Customer Experience: Looking at up-sell opportunities might lead to the answer because you can increase upsells if you can identify the cause of customers leaving. The customer’s voice plays an important role in business improvement. They provide valuable insights, and this leads to problem solving. Engage customers through social media, nurture them and shower them with loyalty programs because loyal customers are the best targets for up-sell and they are the ones who will further recommend your products. Give a great shopping experience and involve the different teams (train them if necessary) to be responsible for the customer’s smooth shopping journey.
- Compare: Compare in terms of revenue acquisition of new customers with upselling to existing customers and it will usually reveal how much more it costs to get a new customer. So set the goals appropriately and do not focus on new business development but on keeping your customers happy. The latter must be at the top of your agenda and as Daniel Pink said, Anytime you’re tempted to upsell to someone else, stop what you’re doing and up serve instead.
- Personalize: Personalize the experience of your customers. Remember that each person has a different interest and need and hence each is unique and requires a different angle of treatment. Leverage their personal data to improve the shopping experience.
- Data matters: The touch points for your customers could be through forms that are submitted, emails, visits to your website and from clicks on links during campaigns. During active campaigns, every time a customer clicks and shows interest he leaves a trail, he can be tagged which means his specific interest can be stored to be acted upon later. Sending targeted messages using this information can have a good impact too in retaining customers. Suggestions can also be made by studying what they have shown interest in while browsing. This shows you care and the customer is happy.
- Discussion Forum: One great way to retain customers is by creating groups and participating in community discussions and it can be a platform for like minded people to connect. This is another way to show your positive attitude. The chances of finding new customers are also high here.
- Loyalty Program: Your Loyalty program should be convincing that you are now in a mood to give back to your customers. It gives the assurance of great service. Stay on top of their minds by popping up suggestions for things to buy or re-purchase from your store. This can have an amazing effect on the psyche of customers who keep their loyalty up.
- Motivate Customers: Since retention also involves up-selling, it is important to up-sell to make your business prosper. So motivate existing customers to go in for the more expensive product or to upgrade and even go for an add-on, all of which are beneficial to you. At the same time it is a good idea to cross sell that is if a lady is purchasing a dress you can suggest a matching bag. Both ways there is retention because the customer is enamored by your suggestions. It also leads to boosting of your revenue and improving customer experience.
Finally, it all boils down to great customer service as we at Eunimart strongly feel. So make an effort, kick up a storm with new ways to give the customer a mind boggling experience. After all everything boils down to good service and you can be on top with a loyal customer base and the trick is to keep them happy.