Sometimes we spend so much time trying to attract new customers, we forget that it costs anywhere from 5-10x more to attract new customers than it is to keep our current customers. One major challenge for E-Commerce stores (and virtually all transactional stores) is keeping customers coming back. We all know how valuable they are to our business but we don't spend nearly enough time trying to create this loyal customer base.
Here's a couple of benefits you may not have thought about related to spending time and energy creating a devoted, but smaller, customer base
- Higher reviews and reputation (read this to find out how important that is to E-Commerce business')
- Higher chance of converting your customers to Brand Ambassadors
- More consistent and predictable revenue
- A stronger feedback loop allowing you to improve
To be frank, we all know that cultivating a stronger customer based skewed more towards devoted versus missed customers is important. It's certainly nothing you haven't heard before. How do I do this?
- Listen to your customers. Constantly ask for feedback, monitor your public reviews and respond to them. Improve and iterate daily and never take your foot off the gas.
- Make sure you understand the competitive market. Nothing sours a store to customer relationship like misunderstanding your product space. Know your market, price your product correctly and keep up to date with it.
- Remember that the customer is always right. This is said time and time again but treat your customers well and with respect. Even in times of frustration on both sides, the bigger picture is the most important thing. An upset customer is normal, a furious customer who tries to ruin your business' reputation is not.
- Engage with your customers often and in a timely fashion. In the modern world everyone is fighting for mere seconds and the worst thing you can do is be forgotten.
- Give your customers incentives. Coupons, sales, rewards, they all boil down to one thing. You're giving your customers another reason to buy now.
- Ask your customers for reviews. It's been proven that higher star ratings equal more orders. Inevitably this will lead to more negative reviews, but do your best to mitigate that.
- Make sure to Optimize who you ask. This helps mitigate the negative reviews .
These ways will help get you on the right track to converting more customers from ordering one time to ordering for life. There's a multitude of tools that can help you do this and here's some recommendations that we have:
- Sign up for a Google My Business account and take ownership of your businessThis allows you to quickly and easily respond to reviews and boost your SEO
- Set up Google Alerts for the keywords related to your business and to your biggest competitorsFollow the conversation as much as you can, keep your eye on the pulse
- Create a company culture of "customer first"It's one thing to say it but it's a completely different thing to do it. In order to be truly customer first you need the right culture and people to do so.
We've designed Reputate to be the final piece to this puzzle. In the background, running 24/7, you'll be engaging with your customers in a timely and completely customizable fashion allowing you to recover missed customers and help convert all customers to devoted customers. At the same time you'll be boosting your reviews by asking as many as every customer who orders and as targeted as your devoted big spenders to take the time to review you.