We all know the statistics: studies show that it costs at least 5 times more to attract a new customer than it does to keep an existing one. Not only that, but loyal customers spend more. Existing customers are 50% more likely to try new products, and spend 31% more than new customers, confirms a 2016 Customer Loyalty Statistics Research.
So, if retaining customers is less expensive than acquiring new ones, and if it’s proven that loyal customers spend more, it makes sense to work on building Loyalty with your existing customers, doesn’t it? In this article, I will give you 3 quick ways that you can beef-up your customer loyalty program during this International Customer Loyalty Month:
2.Reward Referrals: If you got referrals from your customers you have probably thanked them somehow, but having a referral fee established beforehand and reminding your customers about that on your newsletters, or when they come to your business, is crucial. Also, you could make a flyer or a banner and promote it on your business!
3.Create or Install a Loyalty Rewards Program: Customers are getting accustomed to receiving a reward when they support the same business often, and you should capitalize on that. Creating a reward system for repeat business is probably the current smartest way for customer retention. You want to be the business that is seen as valuing your customers, and there’s no better way than rewarding them when they come back!
While Customer Loyalty Month is a good reminder to examine, implement or enhance customer experience strategies, it's important to keep a sustained focus on the customer the whole year. By adopting a customer-first philosophy, paired with building customer loyalty, you can drive greater business success!
Simone Talarico-Ross is a Loyalty Marketing Expert and her passion is to help business owners increase retention and get more referrals to their business.
You can contact her at (951) 805-0973.