Where do you spend most of your time and resources in business? Unfortunately, many firms dedicate most of their essential resources to finding new consumers. Even while it can boost sales and brand recognition, customer acquisition does not have as dramatic an impact as customer retention.
Because repeat clients are more likely to increase your company’s revenues, they are much more valuable to your company than new consumers. According to studies of social CRM Malaysia, 20% of your repeat clients will probably account for nearly 80% of your future income.
What does it mean to have repeat business?
Repeat customers patronise your establishment repeatedly to make additional purchases from you. A repeat consumer has often made at least two purchases from your business.
Because they are devoted to your brand and are likely to make numerous further purchases from you in the future, repeat consumers are also referred to as recurring or loyal customers. Additionally, returning customers end up being the best brand ambassadors and sources of new business.
Why is it so advantageous for your business to have repeat customers?
The primary rule of any business is to keep customers happy and establish a lasting relationship with them to reduce costs associated with new client acquisitions. Repeat customers not only convert more frequently, but they also place larger average orders than first-time customers. This indicates that your loyal customers make more significant and frequent purchases from your store.
Taking care of your loyal clients and providing them excellent service can significantly boost your company’s earnings. Here are a few causes for this:
Increased likelihood of making another purchase
A returning consumer has already bought several items from your company. This means that people are already familiar with your brand, enjoy using your services, and feel connected to your business.
Therefore, selling to existing clients rather than acquiring new ones is more accessible. Utilising recurring consumers allows you to create more sales with the same amount of resources.
Cost savings from returning consumers
Selling your products to repeat customers might be far less expensive than attracting new clients for your business through product promotion. This is due to obvious factors, such as returning clients who are already familiar with your brand and favour your items over those of your rivals.
Repeat business increases lifetime value (LTV)
In addition to better conversion rates, returning customers typically place larger average orders than new ones. Through upsells or a higher volume of orders, a returning customer will often spend more money per purchase than a new one.
Additionally, repeat customers are more likely than new customers to make repeated purchases from your brand. Therefore, advertising new products to existing clients requires a lot less work than advertising to new ones.
Likely to recommend new clients
Because they have had positive interactions with you, your repeat consumers are devoted to your brand. Because of this, returning clients are much more likely to recommend your business via social media or word-of-mouth. As a result, your loyal customers have the extra benefit of bringing in lots of new clients.
4 proven ways to attract and keep repeat customers
You already understand the importance of repeat consumers to the success of your company. Businesses can design customer engagement methods that encourage recurring business.
Let’s talk about some creative strategies for keeping your brand-new clients and converting them into loyal patrons:
1. Provide first-rate client service
The main objective of any business is to win consumers for life, and doing so is simple if you give them the best-in-class premium experience. And providing good customer service is the most practical method to enhance the customer experience.
Here are some strategies for providing top-notch customer service.
Live training and demos are provided:
It’s crucial to provide thorough training and product demonstrations to help clients feel at ease using your items. While recorded training might be useful to your clients, there is nothing like video chat to ensure that they are completely satisfied with your brand and get all of their questions answered.
Live chat
Did you know that after just one negative experience with your brand, the majority of customers are likely to transfer to your competitors? By offering comprehensive support to your consumers through individualised live chat support, you can easily avoid such negative encounters.
Using co-browsing to solve issues
Videos and explanations are frequently unable to resolve consumer issues. Co-browsing can be very helpful in certain situations. Through co-browsing, your support staff may view your customers’ screens and quickly fix any problems.
2. Computerised consumer interactions
A key component of providing excellent customer service is being accessible 24/7. Customers may join from various time zones at various times of the day, and they can anticipate a prompt response to their questions.
How bots assist companies in providing better customer care.
- If you don’t answer right away, people will become irritated and have a negative experience with your brand. By providing 24/7 automated customer assistance, you may completely prevent your consumers from experiencing such uncomfortable situations. Use chatbots with AI capabilities to automate customer interactions for your goods and services.
- All you need to do is create a chatbot that is specifically tailored to your items without using any code. Once everything is set up, you won’t need to be concerned about clients leaving because of slow service. The majority of the issues and questions that your consumers have will be quickly resolved by your chatbots.
- You can convert a significant portion of your customers into repeat customers by enhancing their interaction with your brand through the use of automated chats and 24/7 accessibility.
3. Extensive education about products
Only when a customer is fully aware of a product’s characteristics and advantages do they feel empowered and confident about it. Therefore, if you don’t provide timely customer education and training, your customers might not know how to get the most out of your products.
Focusing on offering thorough, high-quality customer education will result in clients that are extremely satisfied with your company and who stay considerably longer.
Here are a few strategies you might use to inform your clients.
- Create the finest first impression by implementing a thorough onboarding procedure for all of your products and services.
- Make use of a variety of communication channels, including blogs, social media, one-on-one live chats, video conferences, and chatbots, to be accessible for every challenge that arises during the course of a client relationship.
- Provide high-quality video tutorials and product demonstrations to help your customers become well-versed in your offerings.
- To let your customers know that you are always accessible to educate them throughout their experience with your brand, frequently strike up discussions and interact with them.
4. Establish client loyalty programmes
A fruitful customer loyalty programme can significantly help you keep customers and turn them into repeat clients. In fact, when compared to other customers, a customer who is a part of your loyalty programme is 47% more likely to make another purchase from you.
The fundamental justification for this is that loyalty programmes have the ability to make your customers feel important, in control, and closer to your business. Such a link gives your clients the proper kind of incentive, encouraging them to buy more products from your business.
Here are some strategies for using loyalty programmes to boost customer repurchase rates.
- Offer enticing incentives: Provide worthwhile incentives in your loyalty programmes to encourage customers to sign up for them and then make more purchases in order to accrue more incentives. Such a scenario turns into the ideal win-win for both you and your clients.
- Provide them a head start: As you launch your loyalty programme, attempt to give your clients an advantage in earning points. This gives your customers the impression that they just need to make a few more purchases to qualify for the rewards, which encourages them to buy more.
This article is posted on Reca Blog.
