3 ways to increase customer retention

Finding and acquiring new customers costs more than retaining existing customers. Some estimates say five times more. Of course you need to find new buyers to keep your business afloat, but you can’t ignore your existing shoppers. Here’s how to keep those loyal supporters happy, impressed and coming back.

1. Focus on service

   It’s the foundation of your business and you’ve got to nail it. Go above and beyond and you’ll earn repeat business.

   • Package properly so that items arrive undamaged, of course, but also with some care that impresses. For example, you probably include a note for first-time shoppers as part of your on-boarding experience. Consider similar tokens of appreciation for your loyal supporters. It could be as simple as a different note, this one saying “thank you for your continued support!”
   • Offer customer support through more than one channel. That means with a phone number, web site option and at least one social channel. And remember to use complaints as an opportunity: Resolve them fast, following the rule that even when they’re wrong, the customer is usually right.
   • Keep your delivery promises.

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2. Give stuff away

   Rewarding repeat customers with discounts and freebies can impress. Yes, those costs can add up, but there are ways to make sure you come out ahead.

   • You could introduce a loyalty program – offer customers a discount based on spending more.
   • Start a referral program – give repeat customers a reduced price when one of their contacts makes a purchase.
   • Launch a free membership program – recognize repeat customers with early notice of sales, specials and new lines. It will take you time to deploy, but could lead to more sales.

3. Change things up

   Don’t let your “good” customers – the ones who visit, browse, and purchase frequently – get bored.

   • Update the photos on your web site and social channels regularly.
   • Add to your product lines – don’t let your collection get stale.
   • You shouldn’t change your branding, but you can switch up the inside of your packages with new tissue paper, different peanuts or other protective elements. Find a way to make the unboxing experience notable (watch the video), but also keep it fresh and interesting. Like any long-term relationship, that’s what makes it last.
     
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