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10 Customer Retention Tips that Guarantee Your Customer Will Come Back To You

Mathew Maniyamkott

10 min read

Why is customer retention so important that we have a long-form article providing you with customer retention tips? Because the average global value of a lost customer is $243!

Also, it is 16-times as costly to build a long-term business relationship with a new customer than it is to increase the loyalty of an existing customer, which is exactly why you need customer retention tips. As businesses grow, they find it difficult to cut down customer churn rate. Businesses are always striving to keep its existing customers from leaving because it doesn’t reflect well on them as well as damaging the bottom-line badly.

Also, loyal customers spend more per order than customers who aren’t loyal. The average order value and the number of transactions will be higher when you have loyal customers who are happy with the service and experience you provide, which is what we plan to tell you here with these 10 customer retention tips.

Why do You Need Customer Retention Tips?

customer retention tips-Always keep your finger on the pulse of customer loyalty, otherwise, your business will get a painful wake-up call.

Loyal customers are more profitable: Loyalty is not only cheaper, but it also gives you better returns too. Loyal customers don’t take their loyalty for granted either, they will be open to price increases, a little at least, but they would never compromise on the poor quality of service. This is precisely why you need to invest in customer experience! The customer retention tips in this article will help you with that.

More word-of-mouth referrals: Loyal customers tend to spread the word about your business more than your other regular customers do. No matter how much money you invest in Facebook ads, there is nothing like a friend or a colleague suggesting why a product is good for your potential customer.

They provide feedback: Loyal customers do not hesitate in letting you know their thoughts so you better collect customer feedback diligently. This also means that they are telling you how they want to be treated and how to get their business. People who see that the complaints they have made had an effect on the company’s policies are more likely to buy from you again.

Easy to cross-sell and up-sell more: A new customer might be a difficult prospect to up-sell and cross-sell, but that is not the case with a customer who has been one for a pretty long time. Since they have already experienced your product and are satisfied with it, they are more than happy to buy from you when you launch a new product. If it is something that they want, they would be more than happy to open their purse strings. Here’re the best 10 Customer Retention Tips to reduce churn!

Customer Retention Tip #1 Listen Attentively

You don’t want your customers to leave? Then listen to what they have to say to you. Not only should you be open to any praise that comes your way, make sure that you are ready to listen to negative feedback as well. In fact, give provisions for the customers to make any complaints if they want. This is why a lot of companies spend money on online survey tools which let the users give a piece of their mind.

There are a lot of channels using which your customer can address their concerns: emails, social media messages, call center and so on. It is pivotal that you listen to your customers with an open mind as customer feedback survey results can add a lot of value to your business. Listening to your customers is one of the best customer retention tips that someone can possibly give. In fact, they would be happy when they know that the business listens to what they have to say.

Customer Retention Tip #2 Be Strong on CS

customer retention tips-You’re leaving money on the table if you focus on selling today without taking the time to learn where your customers are going tomorrow.

CS here stands for customer service and if it is not up to their expectations, customers wouldn’t think twice about leaving you for a competitor. Because loyalty changes when expectations aren’t met and it needs to be earned every single day of your operations. Taking quick action when a customer is confronted with a problem and communicating with them on their preferred platform is important. Another customer retention tip that is on similar lines is being quick to respond to any customer queries. It goes a long way in cementing trust.

Customer Retention Tip #3 Having Integrity

While not many would count this as a customer retention tip especially because values like integrity, discipline and such things are trivialized these days, this is something extremely important. Celebrities have lost million dollar deals because the brands they are associated with does not want to tie up with someone who has a besmirched record because of something as simple as a tweet that offended a particular community. Even friends leave when they get to know you are accused of dubious activities. Why would a customer be left behind? Never take shortcuts.

Sooner or later, the people who you let down to seek a short route to success will leave you without fail. Reputation can be destroyed in seconds if you let your values go downhill. Your integrity is demonstrated in the way you handle little things as much as it is for the larger things. Customers will be happy to pay their hard-earned money to companies that are transparent, open and care for them. They will avoid if you don’t uphold yourself to higher standards and it is one of the best tips for customer retention.

Customer Retention Tip #4: Communications Calendar

customer retention tips-“Every contact we have with a customer influences whether or not they’ll come back. We have to be great every time or we’ll lose them.” – Kevin Stirtz

There can be nothing as important as being communicative. Customers have never complained that brands ‘communicated’ too much. You build relationships by being in constant touch with your customers through different mediums. Create a calendar of sorts where you communicate with all levels of customers through a sequence of emails, events, phone calls, webinars, special offers, follow-ups, cards, personal notes, social media updates and so on.

People respond to communication because they respect and appreciate the time and effort that you make for them. This keeps you on the top of their minds since they see communication from you constantly. It validates and reinforces on doing business with you and keeps them coming back to you over and over again.

Sit with all your stakeholders to chart a content calendar, allocate resources to make the ball rolling and then go around making it possible. If the customer responds privately, do not hesitate to respond to them either. It will increase the intimacy of the bond that a customer has with your brand which will help you immensely when you do outreach campaigns.

Customer Retention Tip #5 Delight Your Customers

It is easier said than done- delighting your customers is a much-overlooked customer retention tip because brands don’t know how to delight their customers. Remember that the littlest of actions have a great deal of impact on the customers. Think of the relationship that a brand shares with its customers like that of a couple in marriage. Surprising your spouse with gifts and other activities often keeps them guessing and excited to be in the relationship.

Ask them to be a part of your beta list of product testers, give them a coupon for your new product, send them tickets to a game or a comedy show, celebrate their anniversary, give them exclusive updates and so on. There is a lot that you can do depending on the kind of business that you do. Follow the updates of your customers on their social media handles and look for ways to make it special for them.

Don’t just think of this as an opportunity to drum up more sales. Think of it as a way to delight the customers, as simple as that. There is no other ulterior motive for that. It is just to keep the most loyal customers excited and guessing about what you will do next!

Customer Retention Tip #6 Reduce Pain Points

customer retention tips-“You don’t earn loyalty in a day. You earn loyalty day-by-day.” – Jeffrey Gitomer

This is an important customer retention tip for folks who are trying to keep their paying customers stay that way. The reason why a customer became one is that they were looking for professional help in an area where they lacked expertise and had certain pain points to deal with. As a brand that is highly conscious of customer pain points and alleviating it, you should do an impeccable job about it.

If you could understand how their business and industry works, you can chart out better plans for them and may even alleviate their pain points permanently. Once you do something like this, you are gold and there is no need for any customer retention tip that you need to follow either because there is no bigger expectation from the customer than having their problems solved. Make sure that your customer’s business runs smoothly and the customer, knowing that your contribution was how they increased their productivity and profits increased multi-fold, will always be loyal to you.

Customer Retention Tip #7 Create a Community Around Your Brand

People love to be a part of a community. They want to talk to people who do the same things they do. For example- give them an opportunity to talk to the other customers of your products inside the community that you create. If you can create a community where people discuss your brand, there is nothing better and it is something that you can work on by adding a lot of value in the community by putting up content consistently. A Facebook group is a great place to start an engaging community.

Give your customers an incentive to be a part of the community, a free e-book or a quick consultation call so that they spend their time and join the bandwagon. There is so much that you can do with the help of a community. Use the community to get instant feedback from your customers, send them free samples whenever you launch a new product and use it to get testimonials or make them buy more products. As a customer retention tip, this is a huge resource itself for you, but there is a lot of effort that goes into building and growing a community.

Customer Retention Tip #8 Incentivize Social Shares

Social Media has made word-of-mouth marketing easier to achieve because customers rampantly keep sharing items that they like or at least tag a few of their friends on these platforms. Have social sharing competitions where you ask your customers to take pictures of them using your product and the best picture gets a prize. Not only does it act as a reinforcement of your brand, but it also helps with word-of-mouth marketing.

customer retention tips-“If people believe they share values with a company, they will stay loyal to the brand.” – Howard Schultz 

Contests like these reduce your marketing budget significantly because your customers are the ones doing all the work to get their rewards. Give them prizes that justifies the time invested and excitement with which they worked on this contest. You are tapping on a concept called User Generated Content (UGC) which is one of the biggest drivers of engagement where you use content created by the customer on your social media handles. This increases customer engagement and also helps with achieving a significant amount of reach to newer customers which would not have been possible without your customer’s engagement.

Customer Retention Tip #9 Add More Content

The power of good content as a means to engage with customers has been written about again and again. People throng around places that add value to their experience and valuable content is the best way to go about it. Creating a content funnel is an important customer retention tip because you are slowly attracting your potential customers by providing high-value content which encourages them to spend more money on you.

A funnel usually has a cycle which goes like this- Awareness-Consideration-Conversion-Loyalty-Advocacy. As soon as people visit your website, you need to nurture them with relevant content and use other techniques to make sure that they become a customer.

To create awareness, here are the things that you can use: Whitepaper, E-book, Checklist, How-to articles and videos, webinars and so on. Allow the customer to evaluate your offering through these- demo videos, product webinars, FAQs, discovery calls, case study and so on. The last stage is where you help them make the purchase decision by offering free trials, live demo, consultation, discount coupons and so on. Creating a content is one of the best customer retention tips because, by the time a potential customer is ready to make the payment, they are pretty familiar with your content and expertise in the field.

Customer Retention Tip #10 Personalize, Personalize, and Personalize

Being warm with your customers starts with the way you communicate with them. If Roger gets an email addressed to his name vis-à-vis being addressed as Mister, the reaction he elicits for both of this is completely different. He would warm up to the company that addresses him by his name while a plain salutation might not have much impact on him. Everyone likes their name and personalization goes a long way in winning customers. It is a sign of a good brand that concentrates on customer service.

customer retention tips-“Revolve your world around the customer and more customers will revolve around you.” – Heather Williams

Personalization in terms of communication and offerings is one of the best ways to win your competition and it is certainly one of the best customer retention tips that you need to follow. There are a lot of tools that help with it, don’t hesitate to spend time and invest in the right resources in making sure that personalization happens at each customer touchpoint. The value that personalization brings in is pretty high and companies around the world are spending thousands of dollars to say-“Hi Roger.”

You can do personalization at so many points including emails, communications, content, live chat, customer service emails, phone calls, FAQ pages and so on. Use different channels to get across the message that you care about your customer by using personalization.


In a world today that is entirely data-driven, companies which use technology to understand the psyche of their customers will thrive. The rest will find it difficult to keep a stronghold and will eventually give way to newer companies that have customer service at their heart. With the help of a feedback form creator like that of SurveySparrow’s, you can collate information and work according to what they want. It will help you retain customers, increase revenue, keep them satisfied and increase the client base.

In short, creating a foolproof method for a customer retention plan is all about creating a checklist of activities that you need to do on a consistent basis. The best thing that will work across different industries and people is nurturing relationships with the clients and it is not even expensive to do so. The 10 customer retention tips that we have explained in detail here are not the only methods that you can use to keep the churn low, there are many more ways in which you can avoid making your customers jump ship.

Mathew Maniyamkott

Guest Blogger at SurveySparrow

Regular contributor to various magazines. Passionate about entrepreneurship, startups, marketing, and productivity.

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