Rather than finding new customers, homing in on current ones can open doors to profitable opportunities. Here are tips for building customer retention in your shop.
What Is Customer Retention?
Customer retention is the effort to increase repeat customer rates and achieve additional value from them. The focus is to have repeat purchases, prevent competitor defection, and meet company service satisfaction.
Tips for Building Customer Retention
Are you looking to increase customer retention in your business? Here are some tips for building customer retention so your business can blossom.
Reward Loyal Customers and Promoters
Customers are the driving force behind bringing new faces into your establishment. So, when you have a handful of loyal customers who frequent your business, you can reward them for their consideration and increase customer retention. Client rewards are key to a successful clothing business. For example, you can provide a discount after a certain number of purchases or bonus gifts in time intervals.
You can set up a loyalty program that offers discount codes or reward coupons after specific circumstances. Furthermore, providing loyal customers with referral codes can help bring in their friends to explore your store. When you reward your customers, they’ll feel appreciated and share their experiences with their friends and loved ones.
Presentation Is Everything
While a plastic “Thank You” bag is a practical method for customers to carry out their goodies, it doesn’t leave a positive impression. Presentation is one way to make customers remember your business and enjoy their experience beyond your doors.
Some benefits of using paper bags are cost efficiency and design versatility. Paper merchandise bags can come in various colors, patterns, and designs to perfectly emulate your business’ message. Furthermore, you can fill it with branded tissue paper to give it a presentable, eye-catching appearance that customers will love. Finally, by placing your logo on paper bags, customers are more likely to remember your business and want to return.
One helpful method for client retention is merchandise purchasing frequency. Purchase frequency can reflect how often your customers return to buy from your establishment. It’s an important factor, especially when repeat customers make up a significant portion of annual store revenue. You can calculate purchase frequency in your establishment using the same time frame from the repeat purchase rate (for example, one month of operation). You then divide the store’s total order number by the number of unique customers. This can help determine the purchase frequency in your retail establishment and help you decide what changes need to occur to increase retention.