Expanding and growing your customer base is the most beautiful thing about marketing a customer retention strategy. Loyal clients are the backbone of a thriving business. As long as a company is obsessed with acquiring new visitors and is careless about the existing ones, it does not profit. So, increase your customer loyalty with a well through email marketing.
Why customer retention is so important for your company
According to the Harvard Business Review, growing and retention of loyal customers by only 5% increases profits by 25-95%. This is significant enough numbers to come to grips with retention, right?
Thus, the customer retention:
- measures how successful a company is at acquiring new clients,
- how successful they are at satisfying existing users,
- increases ROI,
- boosts loyalty,
- and brings in newer clients.
Retention email marketing is important for the company not to lose existing users throughout the entire sales cycle and be able to turn them into regular customers (those who made at least 2 purchases).
What is the most effective marketing strategy to increase customer retention?
The more regular customers a company has, the less it spends on attracting new ones: the cost of retention is cheaper.
Online stores lose 25% of their customers every year.
But if you get clients to come back, there’s a 54 percent chance they’ll buy again. And this already gives a proportional relationship between repeat purchases or the duration of the customer’s interaction with the company and the increasing order value. Revenue from each customer segment and the number of purchases made are related. And the best strategy to achieve great results is to support your sales with customer retention email marketing.
Remember the Pareto Principle and the 80/20 rule? Initially, it concerned the economy: 80% of all wealth belongs to 20% of the population. The world’s leading Google Ads expert Perry Marshall adapted it for marketing and estimated that about 20% of customers generate approximately 80% of the business’s revenue.
Marshall was not far from the truth: 40% of an online store’s income is generated by 8% of regular users.
Best customer retention strategies that work in 2021
Using email marketing will be a great strategy to increase your customer retention via excellent email lists management.
Only think of that. The initial stage is the first contact with the visitor. Further, the seller (you) build relationships to become a regular and loyal customer. And all due to timely and effectively sent offers:
- Welcome series
- Real time offers,
- Re-engagement emails,
- And so much more.
And consistency & loyalty is essential at least because the probability of buying new customers is 5-20%, while regular users are already 60-70%.
So, the customer retention technique allows you to maintain a high position in the market. The ability to simultaneously attract new and retain old customers is a sign of practical work, forming a good reputation.
There are a huge number of tools and strategies for retention, but you can’t do everything right away, and therefore here are at least five of them to consider:
- CRM customer retention
- loyalty program;
- email marketing.
Let’s consider some particular strategies & customer retention tools within your email marketing strategy in detail.
Make audits of your automated emails
Here you should define the best time to send email campaign, research on tour audience, and better optimize your automated emails for the next campaign. During your annual email marketing audit, note your previous campaigns, failures, and achievements to plan the improvements.
Send personalized messages
Collecting & analyzing personal information and user behavior data is important when developing a customer retention strategy.
Personalization is a strategic tool so that in every message, the customer feels that the brand policy is directed only to them.
A set of personalized email samples
To prepare a personalized email blaster has never been so easy. All you need to do is to set your mailer so that produce the top quality letters with custom offers to stay connected to your most loyal customers 24/7.
Send special promotions and discounts to your customers in email
Retaining an existing customer via promotions and sales by providing them with discounts is a great idea to boost sales and retain. Nothing attaches a customer to your company better than a loyalty program. But if you are now thinking about discounts, think of loyalty programs! Discounts are, of course, better than nothing. Always.
It is important to provide excellent customer service
The support team is closely connected with the work of the marketing department and helps to communicate effectively with customers via friendly reminder emails both before the sale and in the customer retention strategy.
Create customer surveys and work with answers
When customers can speak directly to the brand and thereby influence any issues within the company structure, they feel responsible for the overall success of the business. Use survey and pools to allow them participate in your life and engage them even better.
Nurture customer relationships via email
All the time, feedback is critical from our clients. You may gather it via email. In addition to increasing the loyalty of customers who leave them, they also bring in new ones keeping customers coming back repeatedly since you understand what you need to work on to get buyers for life.
Learn about your customers’ needs
Before proposing one of the solutions, it is important to listen to the wishes of potential customers. When a company rewards customers for brand loyalty, they show that they care and value each customer for the business. Special offer or discount or additional individual services can induce a customer to return for a purchase.
Always bring value to customers through email
It’s not only about promotional emails. It’s also about providing your audience with valuable information, expert vision, news, and care, etc. You may receive tasks for improving the company and making users more loyal simultaneously, due to constant reminders of you with the inbound content in an interesting format.
Why email is the most effective channel to increase customer retention
If you want to make the most of your marketing efforts, you need to communicate effectively with them via email retention best practices.
As competition in the digital marketplace becomes more intense, marketing needs to be consumer-centric. You must respect their preferences and privacy. Taking into account the best email marketing practices, email lists are created organically by requesting a prospect’s permission and discretely collecting email addresses.
You may also research how to create a mailing list so that users are more likely to expect a vital email message if they subscribe to your brand before launching your campaigns.
One of such great customer retention email examples:
A customer retention strategy is a set of tools used to increase revenue and loyal customers. Retention tools like emails enable you to capitalize on existing clients via optimized marketing spend.
You should not only sell them goods and services and occasionally remind yourself with rare mails like “We have a special offer! Come over! ”, and lead it entirely; otherwise, the client will go to a competitor. That’s not a pretty good idea for either E-commerce businesses or any other.
Therefore, set yourself the task of becoming not just company #, but make it a reality by keeping in touch with clients on different occasions. Make them understand that any meeting with you is a holiday to them. Good luck!