Are you thinking that customer retention is just a minor part of keeping your business afloat? You may be surprised to hear that it’s actually one of the most critical factors of increasing your bottom line.
Marketing for new customers is extremely expensive – for both large and small companies. However, the costs for generating repeat business from existing customers are far less and more effective.
In fact, studies show that businesses pay FIVE times more to acquire new customers than they do to keep existing ones. Therefore, putting extra focus on customer loyalty and retention is a smart move.
Here are two things you can do on social media to increase loyalty and retention:
Create Great Offers for Your Social Media Followers
Everyone loves a special deal or coupon. By making irresistible offers to your followers, you create a bond with them that makes them feel special. If they love your product or service, they will likely take you up on your offers and remain connected with you.
Not only will you reel in repeat sales, but you will gain exposure to new prospects as well. Social media users love to share great deals with their networks; and the more something is shared, the more sales it can generate for your business.
Also, post about your offers multiple times (but do not go overboard) to make sure all of your customers see them. It may seem counterintuitive to post about the same thing more than once, but if your offers are good enough, your customers will appreciate the courtesy reminders.
Handle Customer Service Issues Promptly and Professionally
Nothing builds trust like showing your customers that you care about their feelings, wants, and needs. Social media has become the very public platform where consumers tell businesses exactly how they feel – especially when they’re not satisfied.
Therefore, whenever a customer service issue arises on social media, be sure to respond and handle the situation calmly and professionally. Some studies have shown that many unhappy customers continue to do business with companies they had problems with in the past – as long as their issues/complaints were handled in a timely manner and they were treated with respect.
Positively handling these issues in the public eye will also put your potential customers at ease about doing business with you; thus helping you boost customer acquisition as well.
Don’t make the mistake of thinking that just because you have a great product or service, your customers will automatically come back to do business with you. In today’s competitive markets, you have to earn that honor; and social media is a free, yet effective way to do so.