Why Customer Retention is So Important For Customer Loyalty In 2022
Sep. 22, 2022
Customer Retention -
Successful businesses work on two main pillars when dealing with their customer base: Acquisition and Retention. When you first begin working on marketing your product and its services, customer acquisition holds the prominent foreground. However, if you want to sustain your company in the market, you also need to focus on customer retention. You can measure customer experience management (CXM) performances through your Net Promoter Score or NPS solutions in India.
More companies realize that strategizing around managing the existing customer base has saved them time, revenue, and effort. On average, it costs up to 700% more to onboard a new customer than to manage relations with an existing one and retain them for the long term.
CUSTOMER RETENTION AND CUSTOMER LOYALTY
Customer retention involves:
• Constantly remaining in touch with the customer.
• Catering to their issues through customer care services.
• Receiving feedback on your services.
• Working on scopes of improvement.
Mainly, it revolves around engaging with them and making them feel valued to be associated with your brand.
Coca-Cola has had it sorted since its launch 140 years ago. From maintaining its iconic fonts and color combinations to promoting community campaigns like the “Share a Coke” one, it has served all of its audience bases through the years. The company used the combination of personalization and the power of social media to reach out to every customer they had globally. This way, more people feel bonded with the brand – that is successful customer retention right there.
It shows that through the best CXM services in India, you can ensure that your customers stick by your side longer. They know your product, relate to your tagline, and feel an integral part of your business. Directly, their loyalty means they buy from you repeatedly.
WHY IS CUSTOMER RETENTION IMPORTANT?
SAVES ON MARKETING
82% of companies globally agree on a common opinion: That customer retention has proven to be more pocket-friendly for their company than acquisition. They invest in loyalty programs and customer incentives to expand their revenue. For instance, Amazon offers free delivery, quicker shipping, and marginal discounts for Prime Video members as part of its loyalty program.
Customers loyal to your brand are bound to tell their family and friends about your services. You can determine how well social referrals will work for you through NPS survey platforms. An excellent example is Netflix, which made its tagline “Netflix and Chill” highly popular among social circles, bringing about the binge-watching trend.
STAY A CLASS APART
Building your customer retention strategies well can also mean generating a sense of belonging among your audience. You can establish your brand as one class apart, and your customers will follow suit. Apple uses this technique to sell at premium rates.
NPS SOLUTIONS IN INDIA
Customer experience is a huge part of customer retention strategies. You need to know your audience in and out and cater to exactly their interests for the best customer experience. If you prove that you have one of the best CXM services in India, you must work on your NPS score through NPS survey platforms.
Customer retention is not an event; it’s a process stretched out for the entire lifetime of a customer being associated with the company. Once you bring in new customers, you have to take care of their interests, work on their feedback, good or bad, and make sure they enjoy your brand as much as you, their revenue.
Customer loyalty directly measures how well your customer experience management goes through NPS solutions in India. Making the most of it will help you stand apart from your competitors in the market.