7 Easy Ways to Boost Customer Retention
The numbers don’t lie – B2B customer retention is essential to your company’s growth:
- A 5% increase in customer retention can increase profits by 25-95% (Bain & Company).
- Acquiring a new customer is anywhere from five to 25 times more expensive than retaining an existing one (HBR).
The benefits are clear, so how can busy, growing companies easily boost customer retention?
7 Ways to Increase Customer Retention
- Communicate frequently – not just when there’s an issue.
Operating under the theory that no news is good news? That means all your customer interactions are taking place when something is wrong. Customer communication is not about damage control – it’s about building relationships with real people.
- Ask for (and act on) feedback.
This doesn’t mean sending out an annual customer service survey where the results maybe get compared to last year and filed away. Talk to your customer regularly – ask them how you can make their job easier.
- Build a customer rewards program.
Customer rewards programs are common practice in B2C, but B2B companies can reward loyalty as well. It’s not just about rewarding purchases. A good rewards program can reward things like sharing content on social networks, providing referrals, or giving video testimonials.
- Utilize gamification to have fun with your customers.
Make customers interactions fun with gamification. Advocacy platforms or rewards hubs are a great way to create a game-like environment where customers earn points for different types of activities and compete to be at the top of the leaderboard.
- Provide rewards customers will enjoy.
love free stuff. If you incorporate gamification where customers earn points for engagement, make sure they can trade in those points for things they actual want. Offer up different rewards like gift cards to various retailers, donations to the charity of their choice, and much-desired tech products like Apple watches or Amazon Echos.
- Build customer relationships with the whole team.
Too often customers only interact with their customer success manager or account manager. While it’s important to have a primary contact, you don’t want that to be the only contact. This puts your relationship at risk in the event of an extended leave or employee turnover. Create opportunities for your customers to build relationships with executives, support, marketing, and product development.
- Make customers feel special.
Few things drive loyalty more than when customers feel like they are a part of the team. Share insights about upcoming product features, ask for their opinion, seek out advice on how you can improve your product and processes. When customers feel like their voice is being heard, they will be your biggest fans.
Ready to implement these seven strategies? Read about how other B2B companies are putting their customer retention strategies in place with the help of a rewards hub.