“First impression is the last impression” aptly fits the meaning of customer retention, as the first contact the customer has with the enterprise in Digital marketing campaigns.
Customer retention is a metric tool that measures- customer loyalty or the ability of an organization to keep its customers over-time. The main idea behind retention in an online marketing campaign is to assist enterprises and business owners to retain as many customers through- customer loyalty / brand loyalty.
The ways to increase customer retention-
By keeping up the VIP customers:
The best way to improve customer retention through digital marketing is by preventing the existing customer from leaving. Use key variables like retargeting, product usage, purchasing patterns, etc.. capture valuable insights from these & take appropriate steps in time to prevent the customer from going. With the help of CRM software or an online marketing tool, you can prepare a list of all purchases made within 6 months.
Attract the customer with special offers:
If the customer shows an interest in your product but hasn’t purchased it so far, the one thing you can do is convince them to purchase the product by luring them with special offers, discounts, etc… Use CRM, you can get an idea of the history of purchases made by your customer. Based on this you can create offers or schemes which would be appealing to every customer.
This can assist you to keep your brand’s name constantly on the minds of your customers through digital marketing
Build up a loyalty program:
As human beings love the attention given to them & anything that is done to make them feel special. It helps to bond with your loyal customers by rewarding them with the help of loyalty programs.Includes various schemes/incentives offered with the focus on increasing the customer’s loyalty towards your brand & not letting them go.
The CRM software can help to find your lucrative customer using an online marketing tool by shooting emails, informing them the offers you have for each month & identify which offers allure your loyal customer the most – revamp the offers from time to time.
Rewards can be in any form such as a discount, a thank you note, or a free shipping offer on a specific price.]
Personalize their purchase experience:
For every customer, the point of contact matters, which establishes a valuable relationship between the brand and the customer. It helps to boost the customer retention rate through digital marketing. Fews things which help to personalize the shopping experience of your customers can be through-
- Sign up for an account on your site. Make a form that includes the details of your customers such as name, email id, DOB, contact number, etc.
- A little study on the behavior of your customer and what made your customer visit your site, which product they are frequently browsing etc can assist you to write, design, and advertise your brand more effectively.
- Emails are considered important but they lack real-time factors and some customers want instant assistance with their queries. In those cases, in-apps and live chats can help them guide and assist your customers when they need to be.
Practice the positive social proof:
Social proof helps us to make decisions based on choices and experiences made by others when we aren’t sure about a situation. It includes customer reviews, testimonials, endorsements, ratings, and elusive tactics like emphasizing product, service level, etc. which helps to settle the notion in the minds of your customer that your enterprise is the best brand to purchase from.
When you surprise your customers you exceed their expectations and that’s when the delight happens!
Customer delight plays an important role in the online marketing strategy as listening to your customers & understanding their needs is the key to achieving customer delight. It’s not all about making your customer happy but also about achieving great ROI for your business.
You can achieve delight through-
- Delighting your customers using digital marketing through social media platforms by being active and giving shootouts to your customers
- Make a personal connection with your customer through greetings, time outs, and personal calls wishing them on their birthdays or anniversary.
- Be a trusted advisor by consistently creating content with tips and advice.
The importance of customer retention is that-
- Increases the profits of your brand through repeated purchases of existing customers.
- It helps to save money on marketing.
- Increased loyalty drives personal recommendations from existing customers.
- Existing customers willingly pay premium prices for your products and services from your brand.
Why choose customer retention?
- Helps to cut down marketing expenses
Acquiring a new customer means a requirement of lots of effort, resources, and expertise. An existing customer who knows about your product & services also would show a willingness to purchase your product, thereby enhancing the opportunity of making a sale. Cuts down the cost of advertising effectively.
- Loyal customers enhance sales
They trust your brand more than new customers. As they are aware of your product and services & are likely to repeat their purchases. A word-by-mouth recommendation from a loyal customer cuts down the cost of acquiring a new customer for your brand through online marketing.
- Improves brand image
The interpretation of customers on the product and services of a brand improves the brand image through digital marketing. A positive brand image can acquire new customers,up-sell and cross-sell and cut down marketing costs. Customer retention provides information to the brands to know their customers and what they want, as this data helps to promote their products and services to target customers.
- Retention equals acquisition
Word by mouth is a free marketing tool and is considered an incredible marketing tool. A happy customer will give positive referrals which in turn brings profit to a company. When the existing customer refers your brand to their friends and family increases the opportunity to acquire new customers.
These steps will bring in repeat purchases from existing customers through Digital marketing. Instead of putting in effort in acquiring new customers, it is worth trying to retain current customers and see the profit it generates for your online business in terms of ROI. There are other unique digital marketing tools for a flawless marketing. As Customer retention is not just about a one-time effort, it can be something that you need to work on consistently at an individual level to make improvements from time to time. There are tactics to achieve but there are no shortcuts. Implementing these steps into your business will significantly improve customer retention metrics and generate substantial worth for your brand on the online market.