Samiksha Hiwase | 7 Min Read | September 03, 2020
1. Quick read
Selling more to your current customers is the best way to expand your business. You don’t have to spend more money and effort to convince them about new products and services as they already know you. You probably know their preferences depending on what products they had bought before. Your marketing cost will be low because you already develop a trustworthy relationship with your existing customers.
According to the Marketing Metrics, the fulfillment price of promoting to new clients is the simplest 10-20% and the fulfillment price of promoting to your current customers is 60-70%. You require some strategies for how you will sell more to your current customers for expanding your business. Keep reading this blog which provides you the guidance on all strategies of selling more to your existing customers.
2. What is Customer Retention
Customer retention is trying to hold many clients for an extended time frame so that they spend more at your store. It’s approximately easy to maintain dedicated clients as compared to recruiting new customers
Retaining present consumers means more profit as buyers already have trust in your brand. You can send the product shipping information to your customers when they order any item from your store rather than just sending the mail. It is far less complicated to share information about unique events, and new product facts with your current customers.
Your present customers are the first advocates of your brand. Because they are already buying from your store and having trust in your business. So, they will share the stories about your store with new people which automatically promotes your products. Customer retention presents the best chance for the expansion of your business.
3. Strategies for Customer Retention
There are some strategies that you can apply to the retention of your current customers:
Focus on Customer Support
The customer support is the direct communication medium with your existing customers. Customers can come on your site through email or social media where they see the advertisement for your brand. You can use tools like help desk or live chat box option on your site so that visitors can ask their questions. This will be the best way to focus on your customer queries and your present costumers will get satisfied with your support. Similarly, the value of customer feedback and reviews will directly help you with the expansion of your business.
The above information of the image shows if your customer support is powerful and strong then your customer becomes more happy and loyal towards your products.
Engage your customers through sending emails.
Email advertising is a smart way to keep engaging your present users. Mails offer you the chance to keep assembling a relationship with your clients before and after their first purchase. It’s important that each mail you send enhances your client’s understanding. If not then, it may be a risk that you are losing them.
The following is the graph where you can see the conversion ratio of sending emails to the customers is high.
An incredible method to begin with follow-up emails. Seven days after a client’s first buy, send them an email that recognizes and expresses gratitude toward them for purchasing. This kind of affirmation assists clients with liking their choice to purchase from your store, and continuously your brand will become more popular.
You can make this email considerably more significant through suggesting new items that supplement their first purchase. You can even begin to include the other customer’s feedback to this email. These supports will increment both the estimation of each prescribed item and the client’s craving to purchase.
Utilize Account of Customers
Client records can be a twofold edged blade. On one hand, records can make repurchasing simpler because clients get access to their past orders and pre-filled delivery data. So which method can you use to motivate your client for creating the accounts on your website? Try to give the alternative to make an account after the first order has been set.
If you have a Shopify store and opening an account is an alternative for users then send invitation mail to them for activating their own account on your website.
Begin with Customer Loyalty Programs
Loyalty programs are the most effective and best way for customer retention. These will motivate customers to buy more through earning more rewards. Because of these programs, you will gain repeated sales and each customer will get a special cost on every occasion.
When any customer creates the account then send them invitation mail which must include the points of participating in the loyalty programs. At the moment when they perceive that it is so natural to win rewards, they’ll be eager to return to your store to do it once more. Arranging, managing the loyalty program, and rewarding your customers on their second purchase is a very easy process.
Offers Discount or Special code
For the most part, we would instruct you to be careful about offering special codes. At the point when you discount your items, you enter in an unending race that conditions clients to expect dropping costs, which eventually brings about loss of income for your store. When profit margins are tight, offering special discounts is a sign of danger.
Sending a special code on first-time order for their next buy is an incredible method to get them back on your site. Consequently, discounting can be a successful method to bring back the clients that haven’t bought in some time. You can give them the standard 10% off. Study shows that when a client returns for a second purchase means they have a 54% possibility of doing so once more. When you think about that 20% off as an interest in boosting your recurrent client rate, it sounds much more sensible.
4. Why you should care about your current customers
This is true that you need new customers for your business growth. But the most simple way and the main source of your revenue comes from the current customer because they already know your brand as they already buy products from your store. The following are some points why you should care about current clients.
You need less effort to convince your existing clients and to make them interested in new products as well as in services because they already establish confidence in your store. Remember most of the revenue will generate through your current consumers.
High Conversion Ratio
Existing clients have just purchased from you, so until they had an unhappy experience, they will purchase from you once more. Already your current customers trust you because you make them confident in your item. So you can easily identify their requirements, and predict their moves over any of your new products.
Ask, Listen and Improve
You have a brilliant chance to improve your contribution and consumer loyalty rates by just tuning in to your clients’ input. Was your client care sufficient? Did your item match up to their desires? Was it a decent incentive for cash? Simply ask, tune in, and improve.
Less Marketing Cost
You need to invest less energy and exertion for finding new clients and to convince them that you are the one they should purchase from, which implies – fewer costs. To assemble a long business relationship with your existing client, it doesn’t require a very high cost.
The best asset of your store is your current clients because they know you, know your brand, and appreciate your products as well as customer service. The smart and powerful way to charge revenue for your store is to focus your effort and money on improving the experience for your current consumers instead of trying to find new customers. Hope this blog helps you out in growing your business by selling more to your existing clients.