Prioritize Customer Retention Over Acquisition for an Improved Sales Strategy
Heading into 2023, businesses shifted their sales strategy to prioritize customer retention. As a matter of fact, there is a common adage: acquiring new customers is 5x as expensive as simply retaining an existing customer. With today’s market causing consumers to hold their wallets tighter, maintaining relationships plays an even larger role.
As a cost-effective business strategy, a 5% increase in retention can increase company revenue by 25-95%. Furthermore, customer retention contributes to increases in brand loyalty. Overall, this leads to a stronger public image and free word-of-mouth marketing. To do this, businesses should prioritize initiatives that concentrate on retaining and engaging pre-existing clients to keep their brand top-of-mind.
Refine Your Sales Strategy to Prioritize Customer Retention
To prioritize customer retention, start with the very beginning. First, consider whether your business provides an engaging customer experience from initial interest to the final sale.
Creating a strong onboarding experience for customers starts your relationship off on the right foot, setting the stage for future interactions. Strong onboarding incorporates well-timed email triggers, quick customer service processes, an easy buying experience, and clear communication.
Consistently Engage Clients Throughout the Post-Sale Process
Further prioritize customer retention throughout the post-sales process. After a customer purchases from your business, continue to send them content, surveys, offers, and other things to keep your brand in their inbox. 75% of consumers said that they are more likely to buy from brands that offer a more personalized experience.
This rings true for new customers and current customers, too. Use data to decide what content (blogs, eBooks, emails, etc.) to send them so that the content is more relevant. Doing this gives people the information that they need. In addition, this strategy creates a positive and memorable experience for clientele.
Prioritize Customer Retention with New Marketing Programs
Even after all is said and done, businesses can prioritize customer retention via new marketing programs. Aside from content like blogs and videos, new incentive programs encourage repeat sales or referrals. Give a customer 10% off an order if someone uses their custom promo code, offer a limited-time sale, start a rewards program.
Now more than ever, it is important for businesses to keep the customers that they have. To do this, implement the above strategies and do what you can to continue providing the positive experiences that led them to first becoming a customer. If you do, they’ll keep coming back for more (and maybe bring their friends, too).
To refocus your efforts on customer retention in 2023, book an Intro Conversation with the digital advertising and branding specialists at Rizzo Young Marketing LLC.