Posted: Fri 4th Dec 2020
Keeping your customers happy will boost your overall revenue: the longer a customer stays with you, the higher their lifetime value. And, of course, it costs less to keep a customer than to acquire new ones.
Existing clients also represent the perfect target audience for cross-selling and upselling higher-tier and related products. And if that was not enough, loyal and satisfied customers often become brand advocates and can refer new clients to you.
This post explores how to maximise client retention and upsell to existing customers.
1. Deliver on promises & exceed customer expectations
It might seem obvious, but getting into the mindset of over-delivering will boost your retention rates. Here are three tips on how to do this:
Use the sales pitch as a blueprint
During the sales pitch and subsequent follow-ups, what challenges did your customer mention? Go the extra mile to help your client succeed in overcoming them. Knowing you are committed to their success gives them a reason to stick around.
Harness retention marketing
Set your customers up for success by offering helpful and personalised content. Resources need not be extensive - even a small blog post outlining typical use cases with step-by-step guidance can work wonders.
Step up your customer support
A little extra support to get your clients off to a great start can go a long way.
2. Leverage feedback for deeper relationships
Asking for feedback and using it to improve your client relationships is a great way to keep in touch with customers post-conversion. For maximum effect, use content personalised to your customer, rather than generic email templates. If they seem reluctant to provide feedback, try offering a small incentive. Software solutions help keep track of all this data and make the feedback process much smoother.
3. Inspire loyalty through personalised marketing
Find and target regular shoppers that love you with personalised marketing offers. Use survey findings, metrics like Net Promoter Score (NPS) or direct client feedback to gauge how happy they are. Reward customer loyalty with discounts and exclusive offers - make them feel special. For example, you could offer customers who have stayed with you for over a year an exclusive discount, access to an exclusive newsletter, webinars or masterclasses.
4. Identify upselling & cross-selling opportunities
Your existing customers are your perfect target audience because they have already converted. But the story doesn't need to end there. Instead, identify upselling and cross-selling opportunities to boost your revenue.
What is the difference between cross-selling and upselling?
Upselling involves upgrading to a more expensive version of a product, like upgrading from basic to premium gym membership
Cross-selling means selling related products. For example, a gym selling members-only fitness equipment to their existing members
You can identify good upsell opportunities by analysing their purchase history and pitching new products as complements to what they have already. Think about how this combination of products will help save your customer time and money or improve their life.
5. Get referrals from satisfied clients
Aim to turn repeat customers into brand advocates. Build on your great customer relationship and encourage them to spread the word. You could even offer referral bonuses to sweeten the deal.
How can a CRM system help with customer retention?
Great client relationship management and upsell opportunities both rely on data insights. A CRM system unifies all your customer touchpoints' data and helps analyse that information. A good CRM system can even automate many tedious tasks such as onboarding communication, support requests and scheduling appointments. Additionally, a CRM system helps you understand your clients' behaviour and optimise your service accordingly. It enables you to respond in a timely way when a client needs additional support. It equally helps you identify when a customer is ready to upgrade based on their purchase history.
Start maximising customer retention today
Having the right data and information at your fingertips is crucial for maximising customer retention and identifying opportunities for upselling to existing customers. Follow the strategy outlined above and consider using a good CRM system to make sense of your data.
If you want to learn more about how small businesses can maximise customer retention and navigate the sales cycle - from pitch to close - download this free eBook from Salesforce.
Also in this sales series: