The Importance of Staying Connected with Customers
While running a business the first thing that concerns many business owners is how to get more customers. They become so focused on reaching out to new customers that they lose sight of just how important customer retention is.
Selling to existing customers is much easier as compared to attracting new customers and convincing them to buy. Statistics tell us that up to 80% of a company’s future profits will be generated from just 20% of existing customers. Studies have shown that an increase of 25 % to 95% of a company’s profits can be made by just a 5% increase in customer retention. Businesses can’t afford to ignore the value of customer retention. It is the loyal customers that are going to refer new customers anyways. Better to hit two birds with one stone.
Apps Allow Regular Interaction with Customers
Regular interaction with loyal customers lets them know how important they are and lets the business know where improvement is needed. Keeping in touch with customers through apps is a useful marketing strategy; it is an efficient, affordable way to connect and promote the business consistently. And with the rise in M-Commerce it is a necessity for businesses who want to succeed.
Proactively communicating with customers creates a greater feeling of confidence for the customer and the ability to access information helps address any concerns the customer may have. With push notifications through the app, businesses keep their customers up to date with all the latest products and discounts, the direct message function lets businesses deal with customers on a more personal, one on one basis. That is important for customer loyalty. Personal experience shows customers that the business cares about their concerns and values them.
The App is a Cost Effective Marketing Strategy
The mobile app does all this within a short amount of time and a minimum cost. This decreased marketing cost (and all that saved time) allow businesses to direct some spending towards improving their product to better suit the needs of their customers. The regular interactions with customers helps increase brand authority, provides for a richer customer experience and helps the business improve with regular customer insights.
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