Once you have produced the killer product as well as have recognized the target market, your B2C startup’s growth can begin taking off, and it is relevant to dedicate as many resources to the retaining existent consumers as to selling to the new ones. Do you know that the probability of selling to the current client is 60%-70% while selling the same to a new customer is 5%-20%? Something that is better than acquiring a single new consumer is to retain the existing one and its procedure is called User Retention.
Consumer retention refers to a company’s ability to retain its consumers over time. This is significant to a growing organization because it measures how successful they are at getting new consumers, as well as their success level at satisfying current consumers. Also, it is more inexpensive and easier to retain clients than to obtain new ones, returning consumers buy more and spend more often, as well as refer family and friends.
Here are the top 7 ways through which every B2C startup can better its user retention –
1. Ask for the feedback – Get regular feedback from your entire consumer team, which also includes decision-makers. Utilize this, one of the most useful User retention tactics, to track the trends through either an individual or the customer. It is difficult to better your company in case you do not know how your clients feel about the same. You require a procedure for getting consumer feedback as well as sharing that data with your organization’s every member. Always remember that 80% of your business’s future profits will be acquired from only 20% of the existing consumers.
For instance, by tracking the project, it becomes easy to identify consumer happiness trends as well as work to modify procedures or inquire for more qualitative feedback on what is the major reason behind the decrease in client satisfaction rate. Once gathered, you need to analyze the survey results by searching for customer behavior trends and areas for enhancing user experience.
2. Maintain the communication calendar – When it comes to User retention tactics, a communication calendar can turn out to be a great asset which is a chart that keeps a record of consumer communication. It informs you about the last time that a consumer has contacted and also alerts you when current consumers have not engaged with your services/products. In case clients have not interacted with your business for a while, you must contact them and re-build your relations.
Consider adopting the communication calendar for managing customer interactions and creating opportunities for cross-selling and upsell. Never forget that 32% of executives regard retaining consumers as their topmost priority. With the detailed notes as well as the complete history of the relation recorded, the new consumer success manager will be prepared for being the true authority for the consumer much more instantly.
3. Establish the consumer loyalty program – This comes under the category of sensible Startup marketing strategies to foster consumer retention and loyalty through offering more value to the customers and this can be done by a customer rewards or loyalty program. A consumer loyalty program can reward consumers for their consistent loyalty. Keep in mind that 27% of small company owners estimate that 11%-20% of the first time clients do not return to their brand.
While it is relevant to aim at consumers who are at the risk of churn, you cannot forget about the loyal consumers as well. After all, what would they think if they see that you are putting all the effort into those users who do not love your company? Loyalty bonuses, user-generated content, rewards, and Gamification for client referrals are convenient consumer retention tools that can go a long way towards strengthening loyalty.
4. Improve customer service through live chat – For retaining customers, you should build consumer loyalty and for building consumer loyalty, you should directly interact with your customers to instantly address their requirements while cultivating the personal relationship. Being one of the best Startup marketing strategies, live chat enhances the client’s entire experience on a website. With human live chat agents, you can get effective conversions from your daily traffic. Make sure that the brand has the most efficient software for live chat that has either particular automated responses or is manned to assist the users to look for what they require without any friction.
Moreover, businesses lose 71% of customers due to unimpressive customer service. The proactive approach to utilize live chat software will save you several hours of dealing with tedious questions and typing responses. Offer the killer service by live chat to retain and amaze more consumers as they come through the store.
5. On-boarding program – While going through Customer retention tips, make sure to keep this one in mind as it is the consumer success function that teaches new clients how to utilize your service or product. Instead of learning by themselves, clients are taught by the company representative who customizes the training as per their needs. An important point to keep in mind is that it costs 5% more for acquiring the new consumer than it does for keeping the current one.
On-boarding is an efficient consumer retention tool as it avoids churn with new consumers. When customers are initially working with the product of your company, they might get annoyed in case they do not understand how to utilize it. Consumers have deadlines and they cannot afford to spend time learning how to master the product. Through this, consumers save time and also comprehend how the service/product can assist them to attain goals.
6. Build the CSR program – Looking for effective Customer retention tips? Always remember that it costs 16 times more for bringing the new consumer up to the same level as that of an existing one. It is significant to be involved with your consumers beyond services and products. Assess the core values of your company and create Corporate Social Responsibility i.e., CSR program that achieves the moral goal.
Your startup is a lot more than only a service or product. Clients look at everything your company advertises, sells, and buys to the target audience. In case they sense inconsistency between your business’ messaging and its actions, they will be fast to identify your ingenuity. While the initiative is not required to be as aspiring, getting engaged with your consumer’s personal goals and communities is the best way for demonstrating your dedication to their requirements.
7. Create a roadmap for the relationship’s future – The wish to know that you are continuously working towards the “next step” can be applied to company relationships. Your B2C growth strategies should be on-point so that your company, as well as the customers, can benefit in the long run. Furthermore, do not forget that only a 2% increase in consumer retention can reduce costs by 10%.
It can be simple for the consumer-business relation to fall prey to routine – everything is great, you understand what works for reaching their aim, and you know the kind of work a customer desires (as well as approve). However, it quickly gets boring, and it is easy for a client to wake up one day and feel how unmotivated and uninspired your company team is. That is why, your client success manager must revise and create, daily, a relationship roadmap.
Consumer retention is affected by the number of acquired new customers, as well as how many existent consumers churn, through canceling their subscription, closing the contract, or not returning to purchase. Follow the above-mentioned B2C growth strategies and continuously keep a record of the company’s retention rates for keeping an eye on your performance. While there is a specific allure that comes with getting new consumers, keeping the consumers coming back will consistently result in an enhanced ROI.
So, all set for getting started to make your consumers happy for improving the outcomes of your company? And this is what the consumer success team works for, to assist consumers to achieve goals and see value using your service or product. When startups dedicate resources, creativity, and time to better consumer retention, along with making clients happy, it also brings the businesses more success as well.
About the Contributing Author: Harsh Nankani
Harsh is a Digital Marketer at Chataffy. He mostly focuses on content marketing. He believes that the prospects of any business should get something without paying anything. Apart from being a digital marketer, he likes to read about business trends, technology, current affairs and scrolling through social media. He is also involved in Philanthropic activities.