Customer acquisition and customer retention.
These are just two of the top goals for an online store.
It’s something you may have heard before. Finding new customers is more expensive than getting existing customers to make a repeat purchase. It’s true for a lot of online businesses, particularly in the crowded eCommerce space.
If you want to grow a thriving customer base for your online store, it’s time for you to shape and refine your customer retention strategies.
What role does retention play in your company?
A customer retention strategy will allow you to:
- Offer and derive more value from your current customers.
- Ensure that your hard-earned customers stay with you,
- Give customers a positive experience with your goods
- Continue to get value from your customers.
Why developing a customer retention strategy is valuable
We’ve looked at what role customer retention plays and now understand why keeping our existing customers is just as important as figuring out how to get new ones.
Now, let’s look at some concrete ideas for increasing customer retention.
Let’s look at some steps that will help you strengthen your customer retention strategies.
1. Step up your customer service
Online Customer service is as essential as the face to face customer service. Customer support services enable you to connect efficiently with your customers and provide them with the appropriate level of assistance.
An effective customer service support system will assist you both before and after the transaction by allowing you or a customer service representative to interact clearly with the customer.
Online customer support services such as live chats, customer reviews, and help desk tools can transform a customer query into a transaction. An effectively addressed complaint or problem will often convert a dissatisfied customer into a loyal, repeat customer. That’s not to mention the importance of customer reviews, which can help you improve.
Additionally, sending a surprise gift to your best customers is a perfect way to remind them to return as loyal customers in relation to the law of reciprocity, which states that we are compelled to reciprocate positive actions with positive actions of our own.
2. Establish a customer loyalty program
Customers are motivated to buy more often to receive valuable incentives, so loyalty schemes, also known as customer retention programs, are an important way to increase purchase frequency.
This is a win-win situation for you and your customers: they get more value each time they shop, and you benefit from their loyalty. Encourage your customers to open an account and give them welcome points to keep them participating in the program. They’ll be eager to return to your store once they’ve seen how easy it is to win rewards.
3. Take advantage of Customer account Profiles.
Give customers the option of creating an account after they’ve placed their first order. Customer account profiles, on the one hand, make repurchasing simpler by providing customers with immediate access to previous orders as well as pre-filled shipping details. Customer accounts are often seen as too large a commitment for new customers.
You can give customers direct invitations to unlock an account after they’ve completed a transaction if you’re using Shopify and your customer accounts are optional.
4. Engage customers through email
Emails enable you to maintain contact with your customers both before and after they make their first purchase. Each message you send must add value to your customer’s experience.
Remember that email marketing is the foundation of customer engagement and retention toolkit.
5. Offer discounts
For a first-time order, sending a discount code for their next purchase is a perfect way to encourage them to return. As a result, discounting can be an easy way to re-engage consumers who haven’t bought in a while.
You may intensify the nudge by offering them a discount more significant than the usual 10%. When you consider the 20% discount as an investment in increasing the repeat customer number, it makes sense.
Your existing customer base is your online store’s most valuable asset. This is partly because customers are familiar with your brand and products, and they value your service.
Therefore, investing your time and resources in enhancing the experience of your current customer base rather than constantly looking for new customers can be a powerful way to boost your store’s sales.