Here are seven steps to building customer loyalty. Know your customers (and get them to know you). Take advantage of your strengths and values. Send letters and emails to remind your customers that you appreciate them by offering discounts on certain days or on weekly or monthly sales.
Focusing on customer relationships can help your small business grow exponentially. As a small business owner, you have the advantage of being close to your consumer base. You can learn about them and get to know them better than any large company. One of the best ways to keep customers coming back is to reward them for their loyalty.
Set up a loyalty program that offers customers discounts, gifts and exclusive offers. First of all, companies must offer their customers a memorable customer experience, as well as have quality products to support it. Offer your customers a fast, polite and attentive service. Loyal customers are essentially brand ambassadors, who spread information about your company through word of mouth.
What they say matters, as the news spreads quickly. Increasing customer retention by even 5 percent can increase your company's profits by 25 to 95 percent. When a customer stands in line, makes a return, calls for a broken product after a purchase, asks a question on Facebook, or works with an employee to find the perfect gift in your store, keep track. Consider streamlining the payment process so that customers can sign in and out, answer questions on social media, instead of forcing them to go through an automated maze of menus over the phone and offering automatic billing.
Loyal customers have gotten into the habit of doing business with select brands and looking for them, even if it's a minor inconvenience or if a competitor offers a similar product at a reduced price. Admire different customers every week or month by posting information about how they use your business on their social media platforms and websites. Since 40 percent of the world's population uses social networks, it's absolutely necessary for companies to maintain an online presence if they want to interact with customers and have an opinion on how the public perceives them. For business owners looking to increase customer retention and loyalty, here are ten dynamics related to customer relationships that could damage, or even destroy, customer relationships.
And since 77 percent of transaction-based loyalty programs actually fail in the first two years, you might be wondering why bother implementing one in the first place. These programs also provide the company with the means to collect useful data, such as identifying the most valuable customers and those who are at risk of doing business elsewhere. The only way to get answers to these questions is for companies to talk to customers early and frequently. These consumers are your regular customers, those who mention you on Twitter, those who tag you in their Instagram stories and tell their friends how much they like your product or service.
When properly executed, customer loyalty programs express your gratitude for the continuity of your customers and recognize their role in the continued success of your company. No matter how big or small a company is, it only takes a good experience for a customer to make you viral and catapult you to fame. If a customer has done your business the honor of recommending your company to a friend, family member or co-worker and you disappoint them, they may go to a competitor who won't make them look bad to the people whose opinions matter most to them. A company must highlight its ability to evolve with the market and meet customer needs in order to keep customers interested.