Some of the best and effective customer retention strategies to increase profit out of your business process

Whatever be your business vertical application of the correct customer retention strategy will only help in maintaining a steady customer base. As suggested by the best eCommerce development company in Kolkata, managing a steady customer base, and managing customer retention is very important in this growing competitive industry. The best thing about retaining customers for your business could help in increasing your company’s profit by over 25%.

According to ITSpectrum Solutions, a top digital marketing service provider in the industry, poor customer retention could even result in the downfall of your business process. This is the reason it is important to find new and effective customer retention strategies to patch up for the loss caused in any business process.

What exactly is customer retention and why is it important for your business process?

Customer retention could include a variety of different processes or activities that are performed in order to retain the existing customer base for a longer period of time. As depicted by the best digital marketing company in Kolkata, in terms of customer retention the first-time customers should be converted into repeat customers, which in the end will help in maximizing your company’s value for the lifetime.

Customer retention is equally important for every single business process as it helps you understand customer loyalty and to check how satisfied the customers are with the products or services offered. However, working on customer retention will benefit you in the long run by –

•    Lowering customer acquisition costs where many companies spend a lot of fortune instead of focusing on the existing customer base.

•    Increasing AOV which is very cost-effective and helps in retaining the current customers.

•    Increasing business profits simply by taking care of all the customers as they could provide over 65% of the overall company’s business.

•    Creating brand ambassadors out of the existing customer base as the loyal customers would like to share their best experiences with their family or friends.

As per market research, it has been confirmed that increasing customer retention by 5% for any business process could literally help in increasing profits by 25% to 95%. There are several customer retention strategies applicable to any business process and can help you grow your revenue by simply retaining the existing customer base. Some of the tried and tested customer retention strategies are –

•    Establish your brand

As suggested by the best eCommerce development company in Kolkata, when it comes to retaining a steady customer base it is very important that you establish your brand first. The main reason behind this is that people tend to be quite loyal to the renowned and established brands only. Having a bigger brand also has its own advantage customer are more satisfied with the products and services being offered. Having an established brand also creates a sense of loyalty and name recognition as well.

•    Stand for anything that is important

Customers are most likely to ignore a brand if it fails to stand for something important in some way or other. As per market study is has been observed that over 64% of the customers cited that they like to share a relationship with the brand they are interested in. Standing for something does also help your brand aligned to the values and interpret the purpose to the customers which are not only profitable but also have a positive impact on the employees of the company as well.

•    Share your social proof

As suggested by the best digital marketing company in Kolkata, in order to keep your customer retention rates sky-high you need to portray it to customers by letting them know, that you belong to a large community of people when it comes to your products or services. Having social proof is the only way to do it and as per market reports, it has been confirmed that over 62% of companies make use of customer testimonials for marketing purposes.

•    Hold on with a product’s momentum

Whenever there are interesting changes or improvements in terms of the products being offered every company will feel the momentum but your customers might not feel the same. This is the reason why it is very important to hold on with the excitement of the current customers by letting them know about product features.

According to ITSpectrum Solutions, customer retention is the ultimate tool in terms of boosting profits. However, in order to increase the customer retention rate for your brand, it is best to create a sense of community by using social proof and speak the language your customer prefer the most.