Building structural ties for customer retention

Customer retention mainly means that the customer should be ready to repurchase the brand. In such scenarios, structural ties with the customer can ensure that repurchases happen frequently. For example, several pharmaceuticals as well as electronics companies provide support to their distributors who are their internal customers to increase purchase and thereby distribution.

Similarly benefits can also be provided to customers via referral programs wherein the primary customer is motivated to bring more and more secondary customers to the company. Thus you have made a structural tie with your primary customer. Hi this is {narrator name}.also we learn

7 Advantages of giving Good Customer Service,One of the reasons good businesses become great is because of the loyalty they command from their customers. This loyalty ensures that the customers stay back with the company over the years. To command such a loyalty from customers, you need to give good customer service.Here is quick overview what we learn in this class..We learn How to create long term contracts,How to turn the service in long term and and we see things the 7 Advantages of giving Good Customer Service and How to retain customer of long term success…There are many more things in the class. See you in the class

Structural ties for customer retention

Three prominent ways to make strong structural ties with customers include

Creating Long term contracts – If you take a yearly subscription of a magazine or a newspaper, it is ensured that you will be a customer for the company for a minimum of 1 year. Thus it has retained a one time customer for a whole year. A cable network can offer 6 months plans for retaining the customers. An Internet service provider can have varying packages for customer retention.

Charge lower price to customers who buy large supplies – This method is especially used in modern retail and in fact has been the best performing tactic of modern retail. Offering discounts for regular customers as well as giving discounts for purchase of a certain value has motivated people to visit the same store over and over again thereby increasing customer retention.

Turn the service into long term – The frequent flier miles concept is used widely in airlines to retain customers for a long time. In this strategy, if the customer flies a certain set of miles he is offered a reward and recognition. Similarly, the more miles he flies, the more rewards and recognition he gets. Thus the service is by itself turned into long term for the customer and he would like to take as much advantage of the service as he can.

Thus by adding structural ties to your customer retention strategies, you are ensuring that the customer use and repurchase your product / service over and over.

7 Advantages of giving Good Customer Service

A common pitfall in starting a new business is that you do not have enough manpower to concentrate towards service issues as well. You are busy generating revenue or managing working capital. You are more busy in acquiring new customers. What happens is, WHEN you have existing or old customers, there is no one to give customer service to them.

This naturally creates a problem because the customer then leaves your storefront disappointed. So, naturally, your customer service is going to have a great impact on your customer retention. This is the reason that you need to give good customer service.

Here are the Main advantages of giving good Customer service. 

1) It retains the customer

Naturally, when the customer is happy with your service, he will stick back with your brand and will not shift to competitors. This in itself is a big plus point for the company as customer retention is far cheaper then customer acquisition.

2) Gets you more references

When you give good customer service, your customers talk about you to others. They tend to do so even more when they have been receiving good quality service over a period of time. These references mean money to your business. The more the references, the more customers acquired without spending a dime.

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3) Creates word of mouth

I once traveled to Singapore through a travel operator. I was so impressed with that guy, that till date i would have given him references of at least 10 tours. These 10 customers will surely refer him to their friends, and so the word of mouth has traveled a long way from a single customer. The word of mouth may travel to many people, but everyone will not be a customer. Nonetheless, a good customer service can generate excellent word of mouth.

4) Increases profitability

When your service is good, and the word of mouth and references are good, you will acquire new customers at a fraction of the cost you were supposed to. A normal business spends a lot in advertisingpromotions and whatnot to get customers to walk in to their doors. But with good customer service, all that is being done by your existing customers. This ensures fantastic profitability as you are getting maximum returns on the investment already done.

5) Gives you and your employees confidence

When a customer praises your business, it also boosts your employee morale. Naturally, over a period of time, your confidence rises on your business and you now know that giving good customer service is the key to build confidence in your employees, who will be empowered enough to keep their customers happy. Ultimately, your own internal customers are also happy.

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6) Creates a holistic marketing scenario

With your employees motivated, with your insight into the customer mindset and what makes the customer happy, and with the positive and happy customers, the overall business becomes a holistic marketing scenario; wherein everyone is doing their part for ultimate customer satisfaction. This is the best thing you want to achieve as an organization, because even the smallest employee understands the role he plays in customer satisfaction. So with such a work environment, you are sure to succeed.

7) Competitive advantage

Last but not the least, your customer service and the manpower that you employ for service can become your competitive advantage. If your employees themselves are building relationships with customers, then they will not allow a competitor to enter or place toehold. Hence, your business becomes sustainable and competitive and difficult to beat.

Thus, as you can see, there are tremendous benefits to any business once it starts giving good customer service. In all of the above benefits, two points stand out – Customer retention as well as competitive advantage.

The reason that these two points are most important is because of the number of brands out there and the increasing competition which is affecting a lot of businesses. So the sooner you build a competitive advantage, the better it is for you and your business.

Customer Appreciation – Definition, Importance, Ideas and Strategies

Customer appreciation is a form of communication that brands or businesses use to express gratitude to their customers. A customer appreciation strategy is used by brand owners or managers to reward their loyal customers for conveying their importance to the brand’s success.

In other words, customer appreciations are the customer gifting strategies that help in engaging the customers and going beyond the products or services to build positive relationships with the clients. It is a primary key to build a strong relationship between the brand and the customer.

What is Customer Appreciation?

Definition: Customer appreciation is defined as a marketing strategy used to say thank you to the best customers. It is mainly the art of engaging customers by feeling and expressing gratitude to optimize retention as well as referral rates.

It is an unusual activity by the brands to prioritize the customers by acknowledging their contributions. The direct result of Customer Appreciation is a psychological benefit that attracts the customers emotionally. By appreciating each customer, a brand simplifies the relationship between the brand and its customers.

According to Benish Shah, Chief Growth Officer, Loop & Tie (a Customer gifting platform)-

Customer appreciation means customer engagement, not just ‘rewards.’ It’s considering what customers need, taking that extra step of showing care and thoughtfulness.

Always thanking customers doesn’t increase the profit of a brand. Instead, the brand can be seen, appreciated, and valued by the customers. So, to build positive momentum, customer appreciation is pretty much a required criterion to give your customers the personalized feeling which is a great way of ensuring a blissful experience for them.

Importance of a Customer Appreciation Strategy

Customer Appreciation is a measurement of your brand’s effort towards the customers. So, it’s important to show your effort to the customers to make them understand your dedication to the business and the thoughtfulness for your customers.

It portrays your advanced approach towards the customers, and that brings a positive impression among the audience. Showing gratitude to the customers for your business is the primary theme of Customer Appreciation Strategies.

Introduction of appreciation gifts always brings positive feedback about your brand and influences your entire team too.

Forming a customer appreciation strategy through regular interaction with the audience is a vital parameter, and various marketing professionals use it to bring success to their business. These are the positive results of the Customer Appreciation Strategy:

1. Increases value of the brand

Companies with more satisfied customers and adequate feedback and reviews always exceed in the competitive market of brands.

You can achieve a positive impression about your brand from the customers and gain more potential customers.

2. A positive impression on customer loyalty

If loyal customers love your service and brand, there is no coming back.

Once you earn trust from the customers and experience a lot of loyal consumers, customers will never think of going to the other brands for the same products as yours, and maintaining such an impression is very effective to grow your business.

3. Growth in profits

If you are hundred percent successful in making your customers feel special, they will revisit your business for more.

And the business profit lies in the number of buyers, and since your customer trust your brand, you can offer a great deal furthermore.

4. Customer Engagement

Customer engagement is the primary aspect of customer appreciations.  To engage your customers and show your acknowledgment, you can introduce a gifting policy to attract more audiences.

Gifting something is not always limited to ‘rewards.’ You can offer some good thoughts that can go beyond your products and their services.

5. Actively Listen to the Customer’s Voice

Customer Appreciations can be increased by getting positive feedback and enthusiastic conversation with the customer.

Focus on the customers’ opinions on your brand and the improvement you need to offer the best services. Emotional connection with the audience plays a crucial role in Customer Appreciations.

6. Effortless Customer Experience

By offering an effortless customer experience, you can quickly determine the personal choices of your customer and approach accordingly.

Hurdle-free service is the key to provide the clients easy access to your website. A few professional tools always help in determining different departments of a brand.

Getting Started with Customer Appreciation Strategy

A Customer appreciation strategy incorporates different ways to show love, care, and gratitude toward a great customer. Customers look forward to feel valued by the brand, and with a well-placed customer appreciation strategy, a brand can appreciate their loyalty and optimize customer satisfaction.

Once you’ve established your existence both online and offline, attracting new customers and also maintaining the old customer base becomes crucial for the sake of brand recognition.

A recent study has proved the effects of customer appreciation in increasing the growth of a business, and the growth is massive. The customer appreciation strategy offers to enhance the loyalty and advocacy of customers towards the brands.

To get started with appreciating your brand customers, you need to have a full-scale list of customers, and maintain a centralized customer database is a foundation for all your further actions.

Brands should take the time and find a personalized way to show gratitude to the customers. You can try to-

  • Contact your customers regularly
  • Promote your customers or businesses along with your own
  • Make your customers feel like a VIP
  • Ensure an experience that is unique and memorable
  • Choose gifts that are useful and of good quality
  • Choose fun gifts that leave a smile on your customers’ faces

10 Inexpensive Ideas for Customer Appreciation

Inexpensive Ideas for Customer Appreciation

There are a few ways you can offer customer appreciations, and those are simple and easy steps. Both expensive and inexpensive types are available and have a look at the details to gather some exciting ideas about them

1. Special attention to the loyal customers

Loyal customers are like the pillars of a business. They help in growing the business by purchasing several times and referring to the others.

You are aware of your loyal customers, and your POS system always enables you to track the sales, manage the data, and the customer’s preference.

So, you can make a draft regarding the products that interest a particular customer and offer a special discount to the customer.

2. Choose online platforms for shout-outs

The online presence is essential nowadays, and most of the customers are present on various social media platforms.

So, considering that fact and monitoring each customer’s purchase history, you can arrange a shout-out policy for the social media platforms to ensure your activity there and encourage your customers.

Reposting consumer’s photos will inspire many new people to visit your website and be your future loyal customers.

3. Reward a birthday gift to loyal customers

Everyone loves to have some birthday gifts, and you can easily offer some gifts to long-term loyal customers.

The gift can be anything from your brand that the customer likes (available on POS) and offer them some appreciation from your side.

The most exciting part about gifting customers on their special day is they can enjoy the gift and want to collect it in the future by spending money. It is a good strategy to develop a strong connection with customers.

4. Create feedback loop

Creating a feedback loop is always helpful for the brands to seek customer attention, find loyal customers, and improve the drawbacks of the brands.

You can arrange several surveys and ask the customers to fill up the form as feedback. Feedbacks always modify the business and its products that can reach out to more people.

Feedbacks from various community forums are pretty much valuable to increase the loyal customer base organically.

5. Focus on not-so-loyal customers

It’s impossible to tag each customer as a loyal customer. So, the customers who visit your brand for the first time or not so regular customers, you can offer some appreciation note like “we miss you” or “visit again for more offer” as customer appreciations to attract them naturally.

Not every consumer will admire your brand, but you can make some quick appreciation to make them your ultimate admirer and loyal customers.

6. Interact with customers daily

Customers can forget you, and it’s certainly not the failure of your brand.

But, by interacting with the existing customers about your ongoing discounts, the upcoming events, and other celebration days, you can easily reach out to the customers, and some of them will visit the brand.

You can access the email ID or phone number to send emails or messages respectively.

7. Offer exclusive early access

People love exciting offers, and most of the customers love to purchase during offers.

By providing early access to the sale and discount exclusively, you can make the customers feel privileged and special.

This one is the most inexpensive yet most effective offer for loyal customers. Customer appreciations are the key to success, and that’s how you can offer loyal customers your attention.

8. Make your customer understand their importance

Your phenomenal customer base holds a special value to your brand, and customer appreciations are all about acknowledging their contribution to the business.

So, sharing thoughtful content with loyal customers always make them feel special, appreciated, and important. Because loyal customers are like the foundation of a business, and you need to prioritize them.

You can curate a thank you video as a token of appreciation and dedication for their effort, and you can also organize a sale on the customer appreciation day.

Customer power is the ultimate power for each brand or business, and Customer Appreciation is the primary way to gather that power.

9. Send a personal handwritten note of Thank You

The less expensive and the kindest way to express customer appreciations is sending personal thank you note to the customers.

Write the personal note addressing each customer’s name and make some unique, essential points to distinguish each person individually and make them feel special about the message. It’s not necessary to include some offers there and keep it about the customers only.

Make sure you are genuinely acknowledging customers’ gratitude and encouraging them to revisit your business.

10. Have a client appreciation day sale

You might use your false sales as a customer appreciation day sale or customer appreciation week sales. You can use it to invite your loyal customers to a sale in their honor.

In addition to this, you might entice them by incentivizing them with an additional bonus if they come up with a family member or friend. For this, you can send an invitation email to your best customers thanking them for their loyalty and inviting them to flash sales.

You should also make sure that your mail includes details about the price discounts that your special customer might get than your everyday customers along with the information about special discount for bringing another guest.

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