Strategies are Nice but Results are Better

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Strategies are Nice but Results are Better

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According to Nunes and Dreze, the head start loyalty card helped customers mentally reframe the completion process; the fact that they didn’t have to start something from scratch played a huge role in their motivation to complete the card.

Everyone says customer retention is a critical part of their business, but few actually follow through. Customers who continue to come back and refer friends are better than any advertisement you could run in your local newspaper.  Unfortunately, most businesses are focused on new acquisition and usually ignore customer retention.

Here is an interesting statistic on customer retention:

According to Bain and Co., a 10 percent increase in customer retention results in a 30% increase in the value of the company.  Wow, only 10%?

How will you get your customer retention moving forward? Here are a few strategies to make it happen.

Stay connected to sold customers. This can be done with newsletters, special officers and events. You know the expression: out of sight out of mind. A happy customer is likely to refer a friend.

Find ways to reward your sold customers– often. The other day I saw an ad for my cable carrier; the introductory price for new customers was really cheap. It’s a lot lower than what I’m paying. What do I have to do, opt out and go back in as a new customer?

Customer service is a marketing function. Marketing should look at all of their programs and make sure they are staying focused on sold customer. It’s been written that poor customer service accounts for 70 percent of customer loss. Customer service strategies should be pervasive throughout the entire company not just sales and customer service staff. Typically poor customer retention stems from bad leadership. If the owner doesn’t think, it’s important, why would anyone else? Customer service should be an ongoing conversation.

Quit talking and start listening! Try to tune into what your customers are saying daily.   This way, you can stop problems before they begin.

I was buying paint at The Local Paint Store this morning. Lyle, the paint maven, told me not to worry about the age of my paint; as long as the paint wasn’t frozen it would still work. Wow, I said, I thought I would have to throw it out.

The paint maven said, “It looks and smells good to me!”  I didn’t know the smell had anything to do with it; nice to know that someone cares about my pocketbook.

We are in the “participation economy: and we need to take our service to another level and constantly look for ways to be innovative. Consider finding ways to bring your customers together so they can share experiences with one another.

Lisbeth Calandrino has been providing business coaching for businesses for the past twenty years.  Her new book, “50 Events to Drive Traffic to Your Store” will be available on Amazon in June 2014. To have Lisbeth to provide training in your store, reach her at Lcalandrino@nycap.rr.com or 518-495-5380.

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By | 2017-03-03T12:06:55+00:00 May 30th, 2014|Blog, Customer Retention Strategies|1 Comment

About the Author:

Lisbeth Calandrino is an award winning trainer, entrepreneur, and blogger and has spent over twenty years developing custom tailored marketing and customer service programs for businesses.
Her recently published book, Red Hot Customer Service, 35 Sizzling Ways to Heat up Your Business and Ignite Your Sales defines the steps necessary to build a competitive advantage and turn great companies into unforgettable or red hot companies. Lisbeth admits that much of her knowledge came from her Italian grandfather who despite very little formal education and a limited English vocabulary, managed to became both successful and wealthy. Lisbeth has wonderful stories about Grandpa DiBiagio’s and her time spent learning how to managing Grandpa’s fruit stand.
Because of Lisbeth’s experience as a business owner, having been the managing partner and owner of 7 furniture and carpet stores for 14 years, she is able to bring her extensive business knowledge and experience to all of her clients. Lisbeth’s awards include executive of the year award from the International Executive Association, Albany chapter (a business networking group) and first place honors in an international marketing contest for alternative medicine.
A two time cancer survivor, she has spoken extensively about her experiences of cancer, offering words of comfort and inspiration. As an activist, Lisbeth has initiated and contributed to many charitable causes. She has worked with at-risk youth, spoken out against injustice and advocated to and helped to build resources for women.
As a presenter, Lisbeth Calandrino is highly motivational, information-rich, and very entertaining. Her acute business sense, contagious enthusiasm, positive energy and fun sense of humor make her a dynamic presenter.
Lisbeth is a member of New York, Historic Albany Foundation, educational director of Business Referrals Networking Group and member of the board of directors of the Animal Protective Foundation of Scotia, New York.

One Comment

  1. George Pappis May 31, 2014 at 9:53 pm

    Great story how does our rewards program stack up
    To your thinking/standards
    George

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