Risk Management

Don’t Do These 10 Mistakes to Retain Customers This Year

As per a Bain and Company study, retaining 5% more customers can increase revenue by 25% to 95%. So, you must find out the reasons that are causing customers to leave and address them soon. In this article at Business 2 Community, Sudarshan Ninjoor discusses 10 mistakes you should avoid to retain customers this year.

Customer Retention Mistakes to Avoid

It is extremely that you do not make mistakes that cost your business dearly. Following are the 10 mistakes you should avoid to retain customers this year:

Marketing Responsible for Retaining Customers: It is not just the job of the marketing department to retain clients. Any customer-centric organization will make it clear that this is a shared responsibility across the organization.

Not Marketing as per Risks or Value: Majority of the companies do not categorize consumers based on the risk or value they bring to the business. With targeted marketing, you can improve profitability.

Using Traditional Model for Risk Analysis: Traditional models that study structured data are no longer the best way to analyze and mitigate risks. They neither identify trends by comparing past and recent activities nor use unstructured data to alert risk patterns.

Being Reactive: Unless you take proactive measures by addressing risk customers, you can never retain them. Being reactive when the risks are already out there can lose your more clients.

Not Measuring Customer Efforts: When customers must endure multiple calls and lengthier response times, it does not create a good image for the brand. You should measure customer effort to understand the effectiveness of your service.

Speed Rather Than Quality: Companies usually assume faster services are the top services. However, consumers today prefer quality services to the speedy ones.

Loyalty Programs with Poor Services: Loyalty programs make people to stay back with you. Nevertheless, these are the least cared-for services that causes disappointed customers to leave.

Acquiring Is Better Than Maintaining: Companies invest more on customer acquisition than retention. However, your current customers can move to the next competitor if they do not get proper services from you.

Not Working on Winning Back Consumers: Organizations do not run behind consumers they have lost. However, offering them services that they could not get earlier can bring them back.

Not Leverage New Technologies: While it was possible to track consumers, modern technologies enable lots of customer retention capabilities. Not leveraging new systems to improve customer base would be a bad mistake.

To view the original article in full, visit the following link: https://www.business2community.com/customer-experience/top-10-customer-retention-pitfalls-to-avoid-this-year-02172733

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