The key to a business’s well-being is customer retention. It requires single-minded, focussed commitment to building long-term relationships with them to be able to keep one’s head above the crowd. Retaining existing clients as opposed to acquiring new ones is definitely more cost-efficient and profitable in the long run. With every business having its own clientele base, it is practically not feasible to pinpoint a specific strategy that fosters trust and promotes loyalty. Nonetheless, client retention is the most efficient strategy to drive profitability. In fact, an organisation should treat its existing clientele base as the lifeline of cash, value and money.
PR consulting agencies say a company capable of facilitating lifetime customer loyalty bags higher referrals. In simple words, the lifetime value of the current clients is extended. Managing and maintaining the client retention rate is crucial to the growth of a business.
Often overlooked, customer retention should act as a make-or-break focus area for enterprises. As per a Harvard research, if a company is able to increase client retention rate by 5%, profit jumps between 25% and 95%. On an average, a business loses almost 20% of its clients on an annual basis because of failure to meet client expectations. Realising that loss is mounting at a steady pace, businesses are deploying measures to curtail losses and fast-track growth.
Undoubtedly new business leads are important to keep a business robust and moving but business acquisition is costlier than keeping existing clients happy. After all, customer churn can impact the overall ROI of a business.
Meeting your clients’ demands in order to retain them is an arduous task. This is one of the reasons why businesses choose to collaborate with PR agencies to build a positive image and foster client satisfaction.
Wondering what key strategies to follow that will increase client retention considerably? Here are some actionable tips to help you understand how clear communication and messaging can build a loyal clientele base and deepen engagement.
Focus upon customer service
Like it or not, customer satisfaction is driven by customer service. Price, value or even timeliness matter, but a client will choose you again when ‘outstanding’ support is your pillar of strength. PR agencies, which are actively engaged in brand positioning activities for online businesses, say that nowadays consumers’ demand 24×7 customer support while making a purchase, hence setting up a client servicing team is mandatory.
Marketing honchos have vouched for the use of a CRM system as it can boost client retention by over 60%. Pay attention to deadlines and problem-solving skills. It is a good idea to add a personal touch to your client interaction to stand out amidst competition and get noticed.
Be grateful and acknowledge
A simple ‘Thank you!’ works wonders just like a smile. It is integral for businesses to acknowledge customers for consistent business. Tell them that their experience shows respect and value. PR agencies harp on paying attention to minute details – cite dates, add reminders and respond to clients when they choose you – as it goes a long way in boosting relationships.
Clients are the cornerstone and foundation of a business. A simple ‘thank you’ note or a personalised email will make the customers feel special and help a business stand out.
There are companies that do not focus upon implementing a comprehensive programme to reward clients but when it comes to tapping new clients, they offer incentives. It is important to understand that providing incentives or special offers to existing clients is important for repeat business and boosts client retention.
PR professionals, who drive loyalty programmes for businesses, widely leverage marketing initiatives based on analytics and latest client trends. Loyalty programmes play a key role in helping companies to bond with clients and keep them engaged and interested.
The advancements in the field of technology are making a huge impact on how social media is used to engage clients more effectively. As a business owner, you should pay attention to add a personalised touch to client interactions.
Different clients give preference to different platforms. While there are some who prefer Facebook, many choose emails, others opt for F2F conversations, etc. When a client adds a hashtag to their Instagram photo, a business should leverage the opportunity to use it as a way to build a personal connection. This is one of the reasons why many top PR agencies in Delhi have diversified their service offerings to social media engagement services. Post to social channels constantly and get the clients engaged via blog, newsletters and emails.
It has been found that clients respond to daily interactions with an over 80% hike in loyalty and advocacy rate.
Must know what they love
It is key to personalise the marketing campaigns in accordance with the audience base by finding out what really connects with the audiences. It is important to target the marketing campaigns only after analysing the client data.
Even a simple survey or use a questionnaire to identify what the customer wants. If required, collect testimonials and feedback to enhance the success rate and effectiveness of social media content. PR agencies often use word of mouth marketing as it is brings desired results as compared to paid advertising.
Also Read: Turning clients into brand advocates
Customer retention is a tricky balancing act. There are innumerable strategies but no shortcuts to success. The above-mentioned tactics are meant to give a fresh outlook towards retaining clients and will cost you nothing to implement. At the same time, your innovative spirit is the topping you must add. Customer loyalty is dependent on product/services offered by a business.
So, do keep an eye, in fact, more pairs than one.