It’s hard to imagine a business that doesn’t have any customers or clients. Since customers utilizing your business’s products and services will give a steady stream of income to a business, it’s only logical that companies will do everything to retain their base of customers. Although most companies have the main goal of maximizing their profits, having long-term customers can easily reimburse any expenditure made on customers. In fact, studies have shown that 86% of customers are willing to pay even more to have a better customer experience with a certain business.
Around the world, there are thousands of businesses that are vying for control over their target market. There’s bound to be fierce competition between companies in controlling the market for long-term customers. This is one of the reasons why most tech businesses revolve around the concept of brand loyalty.
However, the process of retaining customers might be a bit tricky than usual. In just about any business organization, problems and issues will arise between customers and the business, leaving some customers disgruntled and annoyed. As such, businesses will need to prioritize their customer service to ensure a good image of the company and the products.
What makes customer service such an important factor of any successful business? How do you ensure that customers are happy? Here’s what you’ll need to know when it comes to customer experience.
Retains the Customers
First and foremost, prioritizing customer experience is a great way of retaining your base of customers while keeping potential clients interested. Retaining a community of loyal customers is far less costly than having to invest in marketing to attain new customers. Certain studies have shown that expenditure for acquiring customers is usually five times as costly as retaining individuals that are already utilizing your services and products. Other sources would also suggest a 60% to 70% likelihood that satisfied customers will become long-term repeat clients and will continue buying even more in the long-run.
If you want to start retaining a good amount of customers, it’s time that you start transforming your business organization into one that is customer-centric. You might want to consider hiring marketing researchers and professionals well-versed in enterprise data collection that can help increase the overall customer experience.
Endorses the Products
Loyal customers will usually endorse features and products that are unique. Even if customers aren’t loyal, as long as their experience is great, they will generally give a good online review of the product or service. Endorsements are a great way of gaining traction since personal connections will trust close friends regarding recommendations. Certain studies show that individuals will usually weigh in their choices from families, friends, and online reviews.
Some statistics that businesses will keep into account:
- Around 97% of customers will usually reach out to others about their good customer experience.
- No matter what the products’ price is, 70% of customers will spend more on a company that has a generally better customer experience.
- Although customers will “migrate” to other brands, around a quarter of these customers will return to the product in one to three years, depending on the customer experience.
Secures Business Continuity
70% of startups will usually close on the ten years of business. As you might have guessed, one of the contributing factors to many of these closures is poor customer service. Even if it’s just a small problem that’s not resolved, buyers can become frustrated. Thus, customers should always be a priority in most situations.
As you can see, there are a lot of benefits to prioritizing customer experience. Sometimes, the customer (and the client) is always right, and it’s best to get them what they want. Not only does this give the business long-term endorsement, but being able to build brand and customer loyalty is paramount in business success.