The retail sector is facing a growing number of challenges. From rising high street rents to the challenges of ecommerce, retailers the world over are having to be more flexible and more omnichannel than ever before.
Getting new customers is usually the goal for any retailer, but that misses out on the high value of repeat customers. By spending time and resources ensuring that every customer returns to buy again, retailers can boost their profitability while building a more secure foundation from which to grow. If you spend too much time focusing on attracting new customers then you may be missing out on the real value of repeat customers.
Here’s how to ensure that those first-time buyers return again and again.
Customer loyalty programs are particularly valuable in the retail sector. When customers can earn points for every purchase, they are far more likely to return. Those points don’t have to be only given out with a purchase. Incentivise your social media engagement and your online reviews. Let customers redeem their points as and when they choose, and you’ll be far more likely to see them return to you.
A good way to both grow your audience and ensure that you get more repeat customers is to offer rewards for referrals. Let those that refer your business to others have discounts, using codes that allow you to monitor their rates of use closely. Always aim to make referral strategies as high-value as possible to the customer that gets them, and you will start to build on that all-important brand loyalty.
One of the best ways to ensure that you get repeat customers is to ask for feedback regularly. Not only does feedback make customers feel more valued, but it also means that you gain valuable insights into your business performance. However, if you make giving feedback a time-consuming challenge, then even the most loyal customer will be more likely to skip it. Look at options like the hugely popular HappyOrNot system that not only makes it easier for customers to leave feedback but gives you actionable ways to make improvements to your retail outlets.
Retailers that aren’t using email marketing are missing out on one of the most important tools for improved customer retention. If you have collected email addresses at any stage in the customer journey, then you have an immediate communication option that will land straight in that customer’s inbox. Track any incomplete sales, and make use of an automated email delivery system that responds to trigger actions on your online channels.
From VIP programs to making more use of user-generated content, modern retailers have a vast number of options to consider when it comes to retaining customers. Take your time to build relationships and reward those that are loyal to your brand. When retail in the 2020s looks set to be more competitive than ever, business owners need to prioritise repeat customers more than ever if they hope to outperform their competitors.