You probably know the best customers for your business are those you already have, and it is cheaper to retain a customer than to get a new one. Unfortunately, most companies still invest their time and money in getting new customers. Not that it is a bad thing, but it makes sense economically to retain an existing customer.
Customer retention is crucial for all businesses, but it is particularly essential for E-commerce businesses. Besides, running an online business means that you don’t get the time to connect with your customers directly, which can later cause customer churn. Fortunately, there are several ways you can keep your customers happy, satisfied and more importantly retain them.
Use the following 5 tips to retain ecommerce customers and guarantee their loyalty:
1. Develop Loyalty Programs
One of the best customer retention strategies for e-commerce businesses is customer loyalty and reward programs. This strategy offers value to your clients through discounts, points, cash, and other benefits. Apart from that, it has reward levels that inspire the customers to spend more on your business.
Therefore, consider putting in place exclusive offers, gift vouchers, and subscription services, or even take advantage of the point-based system. Alternatively, you can host an exclusive contest that will help improve customer engagement while at the same time attracting new customers.
2. Prioritize Excellent Customer Experience
Customers have their own unique needs and interests. Therefore, they shouldn’t be treated the same. That said, allow their activities to do the talking and create a personalized experience for every customer based on their activities. For instance, through page and web visits, email campaigns, and form submissions.
Thanks to technological advancements you can now refer to your customers by their names. In fact, most online shoppers are inspired to make a purchase when online stores take a more personalized approach. The good news is that you can use video chat tools that plug into your site and allow you to make real-time calls with your customers. This will make them feel like they are getting the personalized approach they want. That said, you may need to hire software developers to create your custom video chat tool or update your website.
3. Provide A Customer Referral Program
Customer referral programs are another customer retention strategy that has proven to be of great value. This strategy will not only help you keep your current customers but also bring in new ones. Besides, you get to attract new leads and at the same time reward your loyal customers.
That said, a strong customer referral program can give your more amazing results than any other tactic. Put plenty of thought and effort into growing your ecommerce customer loyalty programs.
4. Focus On Customer Reviews
For any E-commerce business, customer reviews are a crucial part and they cannot be overlooked. Product reviews, as well as testimonials, will help you know how your business is being perceived by other people; if your products and services are being enjoyed or not.
Therefore, you must respond to the reviews posted by your customers on any communication channel, whether positive or negative. This will show your customers that you are paying attention to their needs. Finally, you will retain customers and increase their loyalty.
5. Simplify The Order Process
A transparent order process will play a significant role in building trust with your customers and motivating them to buy from you. Therefore, your inventory must be clear if an item is in stock or not. You must also have a system that calculates the taxes and shipping costs to avoid surprising the users with unimaginable fees.
Additionally, in your order fulfillment process, make sure that the users know when the order is shipped out and when it is expected to arrive. Don’t forget to have a system that will simplify the processing of refunds and offer excellent customer support.
Summing Up
The above customer retention strategies might take some time to implement and show results, however, they are a worthy endeavor when it comes to increasing your customers’ lifetime value while reducing your marketing costs. So, when implementing these tips, remember the areas where your customers need improvement, evaluate the data relating to your customers and finally determine the preferred communication channel while reaching out to them. Remember that a high customer retention rate will make your e-commerce business more successful.