Getting new customers is one of the hardest aspects of virtually every industry, so it’s easy to see why boosting retention rates is such a key issue.
The following are some of the most effective ways of doing this that can be applied across different types of businesses.
Free Offers and Giveaways
Giveaways are an important way to help keep customers coming back for more. Giveaways can be used across almost all industries, for example, Paddy Power’s £1 million prize giveaway shows how the online casino industry can utilise the giveaway format, with prizes ranging from cash awards to free spins on popular slot games. Every £5 wagered on slots or spin on Wonder Wheel earns one ticket into the weekly prize draw across the 4 weeks, giving players various chances to win.
Giving a customer something for free is one of the best ways of boosting loyalty. This can be done in many other ways, such as giving a free gift with every product purchased, or by letting them try a new product before it’s officially launched. Some companies also offer free gifts on their customers’ birthdays, with this MoneySavingExpert list outlining some birthday freebies you can get your hands on during your special day.
Start a Loyalty Program
Loyalty programs offer some of the most interesting benefits for clients and a cost-effective approach for businesses. These schemes generally let customers earn points for making purchases, which leads to rewards that get collected once a certain level has been reached. Other loyalty programs simply offer special discounts to anyone enrolled in them.
According to Wise, Britain’s best loyalty schemes include Tesco’s Clubcard, Sainsbury’s Nectar card and Asda’s Rewards. However, they aren’t limited to only supermarkets, as virtually any type of business can offer a loyalty scheme that meets the needs of their customers. Many software developers offer loyalty programs that companies can purchase and then tailor to their industry, meaning the technical side of the offer can also be taken care of.
Get Feedback and Act on It
Understanding why customer retention rates are rising or falling can be tricky. With many factors at play, you could spend months analysing the market without getting a definite answer. Yet, it can be as simple as asking customers for feedback. The first key to a good feedback program lies in asking the right questions in the right way, to understand what you need to know.
The second part involves acting on the feedback, without sign that you’ve taken their comments into account, the customers may feel that it isn’t something that’s been taken seriously. The feedback received can be followed up in several ways, such as by publicly acknowledging any issues that have been identified and working to fix them as soon as possible.
There’s no guarantee that customers will hang around, even if you implement all these changes and more. Better prices elsewhere and changing market conditions are among the factors that turn customer’s heads, even when you’ve fought to hold onto them. However, by trying these proven approaches, you can feel comfortable that you’ve tried your best to keep your retention levels high.
