Businesses often repeat the same mistakes in regard to customer retention. Rather than learning the hard way, you can learn from other companies and skip the painful process. In this blog, we’ll explain a few common mistakes with respect to customer retention and how you can avoid them:
Share customer feedback with employees
Customer feedback is a great thing. Not only does it engage customers, but it also gives you good insight into your brand experience.
It won’t make much of a difference if it never leaves the boss’ office, though. To improve your customer service, you need to share the feedback with employees. This recent Customer Think article explains the impact of this strategy:
“Make sure you’re sharing customer feedback with everyone within the organization. They might not realize it but every single employee has a role to play in the customer experience. When the importance of customer happiness is reinforced, employees will make a conscious effort to ensure that it’s improving.”
Customer feedback might share new insights with employees. Or, it might just serve as a friendly reminder to value customers. Either way, sharing it will have a positive impact on your customer service.
Never assume loyalty
Customer loyalty doesn’t appear out of thin air. It also doesn’t develop after a single online transaction.
Fostering customer loyalty is a process that takes months or even years. There are different levels of loyalty which correspond to a customer’s experience with your company. For high levels, you need to make it a priority and treat each customer with respect.
The best thing you can do is look at your customer retention from a quantitative standpoint. By measuring it regularly, you’ll see if your making progress or stalling.
Watch out for expiring credit cards
Expiring credit cards are a frustrating source of leaving customers. If someone forgets to update their credit card information — which people do all the time — then their order won’t go through.
According to a recent Tech Cocktail article , 36% of credit card subscriptions expire each year, which can have a detrimental effect on your sales:
“On average, credit cards expire every three years. It means that on average, 3% of all credit card subscriptions will expire each month or 36% of expired card subscriptions will occur per year. Make sure you follow-up these users in a timely manner and remind them of the expiry date.”
To stop this from happening, make sure you address the problem before it ever comes to fruition. Send an email telling subscribers to update their credit card information in a timely fashion. It’s a simple solution which can have a significant effect on your customer retention.
Gratitude is never unwanted
Gratitude itself is one of the purest displays of emotion. It’s appreciated no matter where you’re from, how you express it, or what the occasion is.
Believe it or not, you can increase your customer retention just by emphasizing your gratitude to current and prospective customers. It doesn’t have to be over the top, just a simple “Thank you for your business” can go along way.
It sounds simple enough, but you’d be surprised at how many businesses forget to properly thank their customers. This is especially true in the case of online transactions, where the personal element is noticeably lacking. Make sure you thank customers in your emails, social media posts, content, and on your website.
It’s hard to think of something more important than customer retention when it comes to running a business. Still, despite its implied gravity, it often takes a backseat to lesser issues that are more pressing in the short-run. To talk more about customer retention, or anything else, contact us today.