Here’s a stark fact you might not be familiar with: gathering new customers costs five times as much as retaining an existing customer. For an established business, you should always be looking to generate new leads. But you should never do so at the expense of the much more lucrative Lifetime Value (LTV) of your existing customer base.
Here are 8 simple tips on both retaining customers, and increasing their LTV to your business:
1. Encourage signups to email newsletters.
Creating entertaining, useful regular email newsletters that include strong subject lines that encourage clicks will keep your business on customers’ minds.
2. Create customer feedback surveys that offer rewards for filling them out.
This works twofold: many customers genuinely appreciate being heard and having their feedback taken into account. The offer provided serves as a hook for yet more personality types; who doesn’t appreciate a nice discount or free offer?
3. Have a succinct, personalized "About" page on your website.
People enjoy a feel-good story. A business owner making good on their ambitions absolutely counts as one! Not every customer will click on your “About” page, but those that do will see your business in a different light.
4. Make sure your social media presence is attuned to both your consumer base and the demographic of that particular social media platform.
Facebook is different from Twitter is different from Pinterest is different from Snapchat is… you get the point! In 2018, customers happy with a product will often follow that business on social media. So make sure your social media is engaging, and matches the general vibe of each individual service.
5. Include a "thank you" page after purchases.
Create a charming, simple “thank you” page that appears after converting a sale. It can be a simple picture, a video from the owner, a short sentence, anything that lands in a genuine way with your customer.
6. Provide unique offers for longtime customers.
Everybody enjoys having loyalty recognized. Find ways to track which customers have been with you for a long time and find ways to uniquely reward them. Provide unique discounts, free items, even a heartfelt written “thank you” that calls them out specifically. Even though many of this actions can be achieved with a good use of your CRM, this tasks and so much more, are very simple to do using a powerful loyalty program platforms such as Clutch, where you can build profiles to understand their behaviour and create tailored programs for their very specific reward worthy behaviours.
7. Push replenish reminders when appropriate.
You never want to annoy your customer. However, there are ways to provide genuine utility to your customers, while also encouraging them to come back to your business. Track items that are regular sellers to certain buyers, and push out notifications when you think they may be running low and need to replenish.
8. Celebrate first purchase anniversaries.
Show your customers you haven’t forgotten how much they’ve helped you over the years with their support. Finding ways to recognize longtime customers on the anniversary of their first purchase is crucial for building loyalty.
These are but a few of the great, proven strategies you can apply to retain customers and increase their LTV. To learn more, contact us at tavanoteam today.