All over the world, customer retention has been present in the minds of existing and starting small and medium-sized businesses. And with the constant increase in customer acquisition costs, businesses need to come up with ways on how to retain their customers. For those who are just starting their own small business, gaining new customers is only half the battle. Sometimes, it’s a tricky task to earn the customers’ trust and get them to come back to your company. With the continuous growing number of competing businesses and intelligent consumers, it would be hard for a small business that lacks product variety and marketing strategy to stand out from the rest.

There are three known reasons why a customer leaves your product or service:

  • 68% are unhappy with the service they receive
  • 14% are unhappy with the product or service
  • 9% decide to use a competitor

To keep your customers coming back, try employing these three strategies into your small business:

1. Know your customers well

Sales reports tell companies what consumers purchased from them and how much those customers spent. However, you need to dig deeper into those data to know more about your customers, so that you can expect to a solid business continuity. Knowing your customers more such as their ages, locations, and how your product can affect their daily lives can greatly help your business when it comes to marketing tactics. In return, this step will benefit both you and your customers as they will get better buying experience.

2. Identify what’s hot and what’s not

Making customers stay is all about providing continued value to your buyers. Conduct surveys to customers frequently to determine which of your products they like and don’t like, as well as what they would like to see from your business. Having visibility by this information, you can easily eliminate products or services that are not really selling, and focus on those that will.

3. Avoid annoying your customers

One of the worst mistakes a company can commit is trying to communicate with their customers too frequently. Keep in mind that people are not constantly seeking for information from the places they shop. The key to an effective marketing strategy is finding the right balance of frequency and communication style. Consumers may find it annoying if you push information too often than they would want you to. As a result, you may end up driving them away instead of keeping them.

Retaining customers is one of the biggest challenges that owners of new businesses have to face. But with the right pacing and strategy, it should not be that hard to achieve.

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This entry was posted by Staff Writer on Thursday, November 27, 2014 at 9:12:59 PM and is filed under Small-Medium Business.

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