Would you believe me if I told you that 65 percent of a company’s business comes from its existing customers?
Yes, it’s absolutely true!
Repeat customers are the topmost source for lead generation to any business.
However, you need to keep customers involved with your brand so that they feel the need to make their next purchase. You must create a relationship with your customers so that they can feel confident about their association with you; a relationship that pulls them back to your brand time and again.
According to a recent study, nearly 60 percent of customers who feel faithful to a company will tell their friends and family about it. Even if there are better alternatives present elsewhere, nearly 40 percent of loyal consumers are more likely to spend more on a commodity if it belongs to their favorite brand.
Of course, it is easier said than done to establish these strong relationships. So, to better attract clients who can hang around for the long run, we have some tactics to help you out. These tactics will assist you in winning customers and achieve ultimate success!
As we mentioned earlier, customers are the building blocks of every business. It’s essential for every company to know the worth of their valuable customers to earn trust and loyalty. Let’s find out!
Why Loyal or Repeating Customers are Important?
Customer loyalty is an intimate bond between a company and its customers.
Loyal clients prefer one brand or store, or service over all other alternatives available in the market. They often purchase goods, share positive terms, and create leads.
For example, You want to replace your old iPhone with a brand new Samsung, but you have an emotional bonding with Apple. You recommend your friends and families to buy Apple products. You frequently download or buy software, apps, and songs from Apple Store. All these activities suggest that you are a loyal customer of Apple.
Now, the question arises why customer loyalty is important for an organization? Well, there are plenty of reasons that make customer loyalty so important. Here are a few of them:
1. They Drive Repeat Business
Faithful clients are the ones most likely to keep coming back to buy from your company. They may have a favorite product they can’t do without, or because they have had good encounters in the past, that they may be inclined to try your new product or service.
Whatever their motivation might be, loyal customers are more likely to fuel repeat sales.
2. Increase in Revenue
In contrast to first-time customers, returning customers spend up to 70 percent more money on goods and services.
The probability of buying more is derived from a sense of confidence that the consumer has built for their favorite brand over time. In essence, customers are more likely to buy in higher quantities once they like and trust the quality of your brand.
3. Become Brand Ambassadors
Loyal consumers will not only keep coming back on their own, but they will also spread brand recognition through word-of-mouth marketing. Happy clients are likely to chat about your company and your goods to friends and family. They are basically selling and spreading good graces on your behalf. Existing customer referrals tend to bring in fresh prospects.
4. Defend Against the Competition
Competitors miss out on potential revenue when existing consumers invest money in your company. Every dollar spent with you, in effect, is a dollar not spent with your competitor. Make sure to keep your loyal customers satisfied with excellent customer service (and an excellent loyalty program) so that they shop from your brand and not from your competitors.
5. Give Valuable Feedback
Your loyal customers are a great source of feedback. They can help you improve on what you are doing right and what you can improve on for the future. Loyal consumers would not mind taking the time to exchange useful reviews. If they like your brand, they would want you to improve or stay as you are. You can turn their valuable feedback into actionable campaign strategies.
Strong customer support helps you prove to customers that you care. These customers will become loyal and repeatedly buy from you in return. They will continue to connect with your brand and refer your brand to friends and family.
Now that we have seen how customers can build or break a brand let’s see what tricks you can use to lure in customers that turn into repetitive buyers.
Profitable Tactics to Create Repeat Customers
What qualifies as the right way and the right tools? Well, here are some powerful tactics to boost the retention of customers and make them ready to see you again!
1. Utilize Customer Information With CRMs
Your favorite barista remembers that you like Vanilla Bean Frappe the most. Amazing, isn’t it?
That’s the kind of customized experience that will help you provide a Customer Retention Management System (CRM).
CRM offers you a single place to log customer information. Such data could contain:
- Previous purchases
- Important dates
- Purchasing patterns
- Communication preferences
This automates tedious data entry, meaning that the staff can spend less time putting information manually and spend more time in creating customer relationships.
All the details you gather will also help you build a more customized consumer experience, which in turn would attract your customers.
For example, if you saved the previous purchases of your customers in the CRM, you could easily extract that data to create a promotion that features items that go well with what they have already purchased.
Customers who believe that they have a personalized relationship with a brand have a higher customer lifetime value and are most likely to recommend the company. Repeat clients have a 60% to 70% chance of transforming. You just need to nurture your bond with them, and a CRM will help!
2. Promotions Around Your Customers’ Behavior.
Every few months, sending just one promotion won’t cut it. Instead, you need to create a promotional schedule that fits into the existing buying habits of the consumer, which you can learn through:
- Talking to customers or through polling
- Analyzing consumer data from their shopping actions
Looking at your CRM data will give you a good start, but you will also want to reach out directly to customers for information on:
- The period of the year when they usually make purchases
- Other similar goods that they may want to buy
- If their purchases are big or small
Knowing these things will help you when, where, and how frequently you can send promotions so that you can convert and upsell previous customers.
For instance, if a customer normally replaces their running shoes every six months, your store can schedule your promotions around the time the buyer will come in to purchase a new pair.
Those producing higher conversion rates increased ROI, and the highest levels of consumer satisfaction are the ones that enjoy the rewards of consumer behavior research.
3. Combine Email and Text Marketing to Engage Customers
Email is a core aspect of interactions with customers. But if the usage of email is the only channel you use to keep in touch with customers, you will miss out on reaching at least 85% of them.
That implies, to make the most impact, you need to incorporate a second communication channel, such as texting.
Texts have an available rate of 99 percent and are the number one platform favored by customers.
When paired with email promotions, you can use texts to:
- Cross-pollinate your lists of subscribers
- To better target clients
- Give your existing email audience the option of texting to reach you.
You can also send attractive newsletters to your customer that prompts them to buy your products. Platforms like elink, help you create beautiful product newsletters in minutes. It is the best platform to construct curated email newsletters by easily bundling web links. It lets you send your collections to any email provider.
Therefore, the more channels you frequently reach clients on, the more likely you are to draw their interest!
4. Always Practice Excellent Customer Service
Just because a customer has made a purchase does not necessarily mean that they will be championing the brand immediately or returning a second time, beyond a consumer’s point of buy, the willingness to deliver solid customer support would be what convinces them to partner with you again.
In fact, in the 31st to 36th months of a customer’s relationship with a brand, the average repeat customer spends more than they did in the first six months. 80% of consumers do not come back for a second purchase when they receive experience poor customer service.
It’s a long game, but the creation of a healthy and highly profitable business is crucial.
The best customer support can be delivered reliably by:
- Maintaining in all your communications a friendly and positive tone.
- Being responsive (within 15 minutes)
- Educating consumers by manuals, demonstrations, or training about how the product or service works
- Seeking feedback on how you’re going.
- Focusing on problem-solving
- Never make promises that you can’t keep.
5. Create a Customer Loyalty Program
Loyalty programs offer incentives for customers to keep coming back to your brand. But what makes a loyalty program successful?
Reward systems may be as basic as a point system where a given quantity of points is equal to a dollar spent. These points may be used for discounts, exclusive products, or even free delivery.
When customers don’t receive a smooth service, 33 percent of them exit customer loyalty schemes. to avoid this, you can keep the rewards relevant to your customers. By using images and descriptions to highlight exactly what the reward is and the steps needed to get to it, clearly define the goals and rewards.
Customers see loyalty schemes as a way for companies to illustrate their allegiance to them. And the more loyal you are to a customer, the more loyal they would be to you!
Read more: 15 Must-Have Business Marketing Tools!
6. Give Social Media Exposure
Social media offers a lot of resources for web interaction. Connecting with your customers through your Twitter feed or Facebook profile encourages them to tell you what they think. It allows you to use the data to change your product range or even broaden your target market.
Brands who invest in social media sites earn increased engagement from their customers. More than 50 percent of customers on social media who support their top brands are more dedicated customers than those who don’t.
You can share updates about new products on your social media pages and in your blog posts and thank your customers for supporting your business.
If you’re wondering how to develop engagement on your social media platforms, use the elink all in one content curation tool to help you! It is the fastest and most professional way to share curated content on any topic in a visually appealing way. Think of it as a professional Pinterest! You can create content pages for your website or use multiple social media bio links. Share your products on Instagram, Facebook, Twitter, and other social media profiles using elink. You can find 30+ layouts and beautiful social media content templates on elink.
It costs less to sustain connections with repeat clients than to pull in new ones, and it will also boost your sales significantly! Reaching out to previous customers just for the sake of it won’t bring you the profits you want to see. You will have to consistently provide what your customers find valuable to conquer the market competition. Make use of these tactics, and you’re sure to win the race!