Source of Infographic: Kapow Events
Kapow Events: Love Your Clients
Who means more to you; your loyal customers or new ones? Much to your surprise you may find the people that you already have as customers can help promote your business. Taking chances on solely finding new customers that know nothing about your company is highly unlikely in a world field with social media and reviews.
Did you know that 68% of customers leave because they perceive the person they are doing business with, sees them as nothing more than a number. Retaining 2% of your customers have the same effect as decreasing 10% of operating cost.
If you retain just 5% of your customers that go elsewhere the increase in profitability is 25 to 125%. New customers cost five times more than retaining your existing ones. It is possible to grow your business and revenue on servicing your existing customers.
How to Increase Customer Loyalty
Increasing your retention rate has to do with how the customer feels. You can change how a person perceives your business by listening to them and hearing what they have to say. Up to 68% of people that leave a company or business are because the customer service is poor.
If you satisfy a customer tell an average of 9 people about their experience. If you provide a negative experience they tell an average of 22 people.
It is essential to provide the service that backs up the product. You can have an amazing product but if your customer service is lacking you can bet you will at some time lose your customer. The majority of issues people have with a company develop in the experiences they have when problems occur and how the problems are handled.
Benefits of Customer Retention
80% of future profit will come from 20% of your existing customer base. With this is place it only makes sense to make sure you service your existing clients with high priority and take care of their needs. Don’t give them the opportunity to shop you and find someone that is on top of their game servicing YOUR customers.
Too many companies put emphasis on sales and not on service. You can bet that for every negative experience they are going to tell their friends and create twice the work for you to clear that negative attention. Preventing problems and being accountable stops bad things from happening before hand and prevents problems later.
In today’s society people have social media and phones with them everywhere they go. As they are standing there having a conversation with you, think that they could be on Facebook telling their friends how bad the service is at your business. The same goes for texting and other things. They could turn off potential customers as they are having a bad experience with you