Customer loyalty makes everything about your business easier.
Gaining new customers costs your business 5 to 25 times the amount it takes to sell to an existing customer. What’s more? Your existing clients spend 67% more than new customers. Again, the likelihood of selling to an existing customer is 60-70%; while the likelihood of selling to a new customer is 5-20%.
Many businesses have caught on and competition for customer loyalty has never been as fierce.
So how do you position your business competitively when it comes to customer loyalty? Here are some great strategies to boost customer loyalty.
Keep things simple
76% of Customers select Loyalty Programs that require only Name and Phone Number for signup. Conversely, 71% are likely to avoid a loyalty program that requires personal or sensitive information like address, account details and so on.
Your typical customer is wary of giving away personal information. When parting with such information, you must be able to reassure them of its safety and provide transparency about its use.
2. Promote a sense of belonging
People have a strong need to belong to a social group. Meet that need by creating an online community for your customers and they will reward you with loyalty. By turning your website into a social space for interaction and engagement, you will nurture deeper relationships with and amongst customers, and attracting more customers.
3. Listen to your customers and show you listen
Listening to a person is one of the highest compliments you can pay them. Actively seek feedback from your customers and acknowledge their feedback and reviews. Showing that you value them in this way is often rewarded with loyalty. Obviously the more glowing reviews your grateful customers leave, the more attractive your business is to prospects (learn how to increase positive reviews for your business). Flourishing customer communities are often treasure pots of innovation.
4. Learn about your customers
Gain as much information as possible about your clients’ buying habits – where, when and why do they buy? Record this information in a CRM and use it to refine your service. This helps you provide personalised services for clients, which are a powerful conduit to customer loyalty. For example, you can gain some information on their travelling habits and customise an offering exclusively targeted to assist in their travelling plans. Perhaps you find out they travel to warmer countries at a certain period of the year; as a clothing company you can offer them ideal clothing options.