All About Customer Lifecycle Management You Need To Know In 2022
Sep. 22, 2022
Sep. 22, 2022
Customer Lifecycle Management
In recent years, we have shifted to a more customer-centered economy, and a business is no longer about closing one-time deals. Customer lifecycle management (CLM) allows you to prepare better your marketing, sales, and customer service teams to turn one-time purchasers into returning customers through analysis. You can measure customer satisfaction through the Net Promoter Score (NPS) ranking through NPS solutions in India.
WHAT IS CUSTOMER LIFECYCLE MANAGEMENT?
CLM is tracking the stages of the customer lifecycle, assigning metrics to each, and measuring the company's success based on them. You would want to provide the best customer experience in India, which can do through efficient CLM. CLM is why Toyota can predict customer desires and sell more vehicles, with a shorter trade cycle and higher repurchase rate (over 60%), at significantly lower costs.
STAGES OF CUSTOMER LIFECYCLE MANAGEMENT
It is the first stage of the customer lifecycle, where a customer searches for a product when a company can reach them while they compare products across competing brands and carry out their research.
It is a company's approach to understanding the consumer's needs to promote its brand in a manner that proves how it best fills in the vacancy caused by the needs. Companies focusing on customer acquisition must prove how they stand out in the market.
If your prospect purchases the acquisition stage, they have converted into your customer.
In the retention stage, you will want to offer exclusive perks that only your customers have access to. It would help if you found out how the customer feels about your product and made improvements. Increasing customer retention by 5% can increase profits from 25-95%.
Repetitive customers become essential assets to the brand by making recurring purchases. They post on social media about their experience or write great product reviews online. Your loyal top 10% spend 3 times more per order than the lower 90%, and your top 1% of customers spend 5 times more than the lower 90%.
THE 6 CLM STEPS
Once your stages are figured out, your company needs to perform the following 6 steps for a successful customer lifecycle management process.
TARGET AUDIENCE IDENTIFICATION
Determine whom you are trying to reach. Rather than marketing to everyone, identifying a specific target audience will help you create relevant content for your customers.
By putting out sound, engaging, SEO-optimised content, your company can become more visible when customers search for related topics online. Plus, publishing industry-related content on your site can make you more reliable.
Customers like to handle as much of the purchasing process on their own. Hence, please provide them with a means to guide themselves. Do not hesitate to provide detailed information, instruction guides, and answers to FAQs about your products.
CUSTOMER SERVICE PROACTIVITY
Potential customers walk away from a purchase if they do not get to know enough about your product. Your sales team must reach out to leads, offering demonstrations to help with product familiarization. The tech giant Apple has implemented impeccable customer service, which has helped them to retain a customer loyalty rate of 90% for the past several years.
Building a simple and smooth ordering system will result in more purchases. It is because no one wants to experience buyer's remorse, and this fear of regret can be a significant friction point during the customer experience. Provide support options during the purchase stage to counteract this hesitation.
CUSTOMER EXPERIENCE PERSONALIZATION
If you forget about your customers after their purchase, they probably won't return. Make the customer feel just as cared for post-purchase as they are pre-purchase. You may set up an automated email system that immediately thanks customers for their orders, reach out to them asking about their experience, or send them special discounts for their next purchase. Providing the best CXM services in India will help your brand achieve that extra boost.
According to Starbucks, if a customer's average weekly value is about INR 1833, they may be worth nearly INR 11 lakhs over the next 20 years. Customer lifecycle management is customer-specific and data-driven. It is critical to guide customers to your brand and provide the best CXM services in India. You can maximize the effects of customer lifecycle management and measure your Net Promoter Score through the available NPS solutions in India.