Customer retention

“When the customer comes first, the customer will last” – Robert Half

What big corporations have been doing for a long time also or especially applies to brick-and-mortar retail, since in an ocean full of competitors, local and online, only those who can stand out from the competition will prevail. Good customer service alone is often not enough.

You are already doing everything in your power, but your customers still don’t come back?

Here are 5 tips to turn your customers into happy regular customers and bind them to you – in the long term.

1. Ask your customer for a review – at the right moment

Reviews are particularly important for local retail and gastronomy in order to be found, known and popular. A high number of positive reviews not only increases your company’s ranking in the search queries of potential customers. They also decide whether your shop is worth a visit or not based on the quality of the reviews and your answers.

Now you’re wondering when you should ask your customers for a review or how best to do it, since asking for praise or criticism usually feels uncomfortable?

To take away some of your shyness: Just the fact that customers are asked for their opinion makes them happy, they feel valued and already strengthens customer loyalty.

1.1 Good timing to request a review

Like many things, your review request to your customers must be considered in relation to your product or service. If you run a restaurant, a bar or a café, it is primarily the experience that your guests should rate. This means that if your guest has just paid the bill with a smile and a full stomach, the review request should be sent to them as long as they are still mentally in the burger heaven. Prompt inquiries should also be made for services such as beauty or lifestyle services. The situation is different with products that have to be tested first. Your customer will not immediately ride the new e-bike as soon as they leave your shop or want to wash first their pair of jeans before wearing them.

1.2 Bad timing to request a review

Again, it depends on the product or service. Your customer should still have it fresh in their mind. Therefore, as a rule of thumb, the longer the durability of the product, the longer you can wait, but not for weeks.

1.3 Your customer takes the initiative himself

Your customer was so enthusiastic and contacted you to say thank you? Or does he have another question about the product he is already raving about? Take advantage of this situation and ask him directly for a review.

2. Omnichannel – meet your customers where they prefer to be

Two exclusive points of contact – your store and your phone – are no longer enough. Even if you don’t necessarily have to sell online via a web shop, your customer still wants to contact you via email, Google, Facebook, Instagram, text messages or your own web chat. However, omnichannel does not mean being everywhere or copying a post from one into all other channels, but rather communicating with your customers where they prefer to do so and delivering the right message on the right channel at the right time.

In order to find the right channels for you and your target group, you will first have to collect and evaluate customer data. Also, some shifting may take place over time. With the right tool, you can simplify collecting and storing this data or the selection of your customers’ preferences in order to be able to adjust your channels accordingly.

3. Make repeat sales as easy as possible

Why are repeat purchases so important? Not only is new customer acquisition five times more expensive than customer retention, 20% of your customers, i.e., your regular customers, also make 80% of your sales. There are also clear advantages for your regular customers: Unlike with a new shop, they do not have to re-enter or leave their data, they also benefit from the knowledge you already have about them. In this way, they experience a much more personalized service compared to a first purchase from one of your competitors. Pave the way for your customers to their next purchase or visit to your store or restaurant.

3.1 Personalize your marketing, especially after the customer has made a purchase, based on customer data and preferences with cross-selling products

3.2 Be available to your customers at all times, i.e., before, during and after their purchase on their preferred channel, ideally in real time. This is how you ensure all-round support.

3.3 Optimize transactional emails and messages: A study by Experian shows that transactional emails, i.e., those on orders, shipping updates, and confirmations are almost 100% of the time opened. Product recommendations for cross-selling can also be placed here.

4. Personalize your communication

Nobody knows your customers as well as you do. After all they have already told you with their previous purchases and you know how to deal with this data. Use this to give your customers the feeling of being known and personally cared for by you. Text messages are ideal for small gifts such as birthday wishes or reminders about products, special promotions or invitations to events, as they have a much higher opening rate than emails. Despite all the personality, don’t forget that your customer is still your customer and not your buddy, i.e., slang, excessive emojis or GIFs should be avoided – unless they fit into your brand concept. Stay true to your company’s values, even with personalized messages.

5. Share the opinion of your customers

Although the reviews that your customers leave on the respective portals can be found, they are given even more weight as customer testimonials on your website. Ask your customers who have written a particularly detailed or outstanding review if you can continue to use it. Not only does this customer feel valued once more, highlighting your customers feedback on social media profiles and your website “first hand” helps you to gain more credibility than your own advertising measures.

“Existing customers are critical for any business, large or small, as they generate the most revenue, drive new customer acquisitions and stay loyal even when comparable products are cheaper from competitors. However, this only works if existing customers feel valued and supported well. Intelligent software and the creation of a customer database provide a great deal of support here, since personalized offers and communications can be automated in this way. Relevant offers at the right time with individual content stimulate and strengthen customer loyalty and are an important part of existing customer care.” Markus Demirci, founder and CEO of mPocket.

Find out what intelligent software for customer acquisition and retention looks like and how easy everyday work can be for you and your team at www.mpocket.io or contact us directly at hallo@mpocket.io for more information.

*For reasons of better legibility only the simultaneous use of male and female language forms is not used. All personal names apply to both genders.

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