Customer Engagement

5 ways to enhance customer loyalty right now

Written by Tony Loxton
May 10

Customer retention and customer loyalty go hand in hand. And as you’ve heard time and time again, it’s cheaper to retain a customer than acquire a new one. And, as this article from Shopify reports, “a two percent increase in customer retention has the same effect on profits as cutting costs by ten percent”. It’s worth your while then, to hone your efforts and focus on building up and sustaining customer loyalty.

Here are five ways you can begin to elevate your customers’ experience with your brand and build up that all-important loyal customer base.

1. Reboot your email campaigns

Email continues to be one of the most effective marketing mediums out there – if done correctly. Don’t send out generic, one-size-fits-all newsletters that are solely product-focused. Your customers want to know how your offering can benefit them, not about internal hires and operational developments that have no direct consequences on their experience with your brand. Use the information you have about your customers to personalise your communication, and provide them with content that solves a problem that’s unique to their position in the buyer’s journey.

2. Flip the script on customer discounts

Increasing consumer loyalty requires some knowledge of consumer psychology. One of the main motivating factors of purchasing behaviour is perceived scarcity. Instead of advertising discounts on a product range, offer customers a credit or coupon. While essentially the same thing, “Your free $X to spend on our X range valid today only” is a lot more alluring than “Our X range is now X% off”. The former communicates the fact that if a customer doesn’t spend their free coupon, they’ll miss out, while the latter doesn’t.

3. Thank your customers – personally

For all of the convenience and benefits digital marketing affords retailers, nothing beats an old-school, handwritten thank you note. This practice owes its efficacy to the fact that putting pen to paper (and taking the time to do so) is a rarity, and thus, of value. The Shopify article cited above uses an example of a car repair shop, whose owner sat down and hand-penned thank you notes to loyal customers. One of the recipients was so impressed that he posted an image of the card to Reddit, consequently racking up hundreds of shares and positive comments. Word of mouth is the most potent form of advertising, and if you want to take advantage of this free marketing medium, you need to invest time into forging personal connections with your customers.

4. Make your social media presence customer-centric

Brands who excel at using social media to forge loyal customer bases are the ones who interact and engage with their target market. Make your social media platforms work for you by featuring existing customers in your content (with their prior consent, of course). Encourage followers to tag you in their posts and offer them rewards for doing so. By making your social media activity customer-centric (sharing customers’ posts, engaging in conversations and posting interesting content), you’re able to demonstrate just how much you value and appreciate them actively.

5. Invest in the tools that will help you better understand your customers’ behaviour

The more you understand your customers and the way they interact with your brand, the easier it is to create a product and experience that fosters customer loyalty. Don’t assume you know what your customers want, or how they go about shopping in your store; instead, make use of tools like foot traffic software, to give you accurate insight into customer engagement. Use these metrics to improve the factors that influence the customer experience, such as sales staff training and scheduling, your store layout, and peak shopping times. By continually tracking metrics such as repeat visitors, dwell times, store navigation and more, you can constantly improve the overall shopping experience, and, as a result, your customer loyalty.

To begin increasing customer loyalty today, find out more about Blix Traffic – the smart foot traffic analytics platform that enables leading retailers to elevate their customer loyalty.

Learn more about Blix Traffic for retail

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