How to improve customer retention

3 min read

If the rate of customers who buy from you more than once is low, then you have to pay attention to ways of retaining your customers.

With a good customer retention strategy, you get to grow your business in a sustainable way. Returning customers increase your revenue by steadily transacting with you. You will spend less on customer acquisition as your loyal customers will indirectly help you bring more customers.

Want to learn how to retain your customers without paying more money on marketing or advertising? Let’s go:

1. Keep your customers happy

The first thing you want to do to retain a customer is to keep them happy. It’s natural to always want to relate with someone that will leave a happy impression on you. That same logic applies to business transactions.

When your customers are happy with your, they’ll keep coming back.

2. Set customer expectations

Set customer expectations early and a little lower than you can provide to eliminate uncertainty about the level of your service.

Doing this allows you to know what service levels are expected to keep your customers happy and how to achieve high customer satisfaction.

Under-promise and over deliver.

3. Build an online relationship with your customers

Use social media to connect and communicate with customers. Treat them like normal people. Give them a space for sharing experiences with your company, so they can become brand ambassadors.

The internet is a wonderful tool. Using it to your advantage by relating with your customers on a personal level will differentiate your business from others.

4. Appreciate your customers

Send out “thank you” notes or “thank you” gifts for new clients,or discounts to your most loyal customers. This attitude speaks volume of how much you care and appreciate them.

Even something like a recognition on social media for your most loyal customers can be valuable. Reach out to customers via Twitter to let them know how much they mean to you. Another way is to feature customers on your website.

Customer appreciation makes them feel valued and gives them a sense of pride in doing business with you.

5. Educate your customers

Learn to always educate prospects and old customers on new products. This allows them to buy from you when they are ready and so that they can inform others.

Publish education-based materials across different media. Sales is often more effective when you have an existing relationship with a customer, and when you’ve already provided value.

6. Put in place an effective customer service

You can’t build customer loyalty without an exceptional customer service to keep people coming back. The best way to improve your customer service efforts is to use the channel your customers most prefer. However, you need to pick the channel that best suite your business.

If you operate an online based marketplace, setting up a live chat, email and social media support is a good idea since most of your customers have access to the internet. A phone support system will most definitely suite an offline business.


What has kept your loyal customers with you over the years? Please share with us in the comments box below.  


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Olumide Olayeye

Olumide Olayeye is an ardent sport lover, occasional writer and an aspiring entrepreneur.

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