Six Ways to Give Back to Customers
Most business owners know it’s more expensive to find new customers than to retain an existing one. Depending on the industry, acquiring a new customer is anywhere from five to 25 times more expensive than a current customer. So, how do you keep new customers coming back?
One of the easiest ways to keep customers coming back is to establish a customer loyalty program. Giving back to your customers lets them know their business is appreciated. When your customers know they will receive rewards for purchasing products or services, they buy from you instead of from your competitors.
Luckily, there are lots of different ways you can engage your customers and build loyalty through rewarding them, and we’ve shared a few below.
Try the Baker’s Dozen Approach
During the medieval times, bakers provided kings and princes with 13 bagels or cookies instead of a dozen as a special treat. Customers today still like the concept of receiving something for free. To increase customer loyalty through repeat purchases, make their 13th purchase free. By using a suitable app or another form of an electronic tracking system, you’ll be able to know when and how often they buy a particular item or service. Quick and repeated purchases will also show you how eager they are to get one for free.
Go Viral and Spread the Word Online
If you like the idea of customers posting pictures of themselves while using your product or receiving your service, give them a gift for doing so. With the growing numbers of social media users, the odds are that if you ask, somebody will send you a picture or leave a comment. If there is also an offer of a gift or a contest prize for the best postings, you can expect more people to share their experiences. The information you gain about your customers, their location and how they perceive your company can serve as valuable marketing information.
Offer VIP Memberships
People who lead busy lives are very often willing to pay more for on-demand service, expedited shipping or for the privilege of skipping long lines. Offering them the ability to do so through a VIP membership or a rewards club is another way to increase customer loyalty. Incorporating a system that tracks the VIP or members-only club allows you to learn when your services are used, how often they are purchased and who the customers are. These paid membership clubs will not only increase your sales income, they will also give your customers an opportunity to receive a time-saving privilege that they will benefit from personally.
Provide Referral Discounts and Gain New Customers at the Same Time
Word-of-mouth praise and customer testimonials can be the most effective part of your promotional campaign. Your happy and satisfied customers can be your greatest allies and sales representatives; they’re a great way to drum up new business. Increasing the intensity level of their verbal loyalty can be accomplished by offering them a reward for telling their friends, family, and colleagues about your company. Implementing a customer-referral rewards program can be integrated into a user-friendly app or done through email.
Sponsor and Organize Community Social Events
Build your company’s reputation in your local community while also showing loyal customers your appreciation by sponsoring a sports event, holiday party, or picnic. Special events are a great way to invite customers to a social gathering and they give you plenty of time to schmooze and work up some publicity. Thanks to social media, your customers and employees will leverage the publicity by posting pictures and talking about your event online. Getting your brand in front of the public this way provides your company with a combination of branding and promotion while you reward your faithful customers.
Reward Your Customers with Premium Merchandise
Frequently providing your customers with high-end rewards ranging from designer handbags to top-shelf electronics is a great way to engage customers. Reward trends tend to mirror retail trends, so understand what’s popular at retail and offer your audience exactly that. Understanding their particular wants and needs and delivering them merchandise that matters most to them will show customers that they are appreciated and inspire them to make repeat purchases. Show customers that you value their business and their loyalty will continue to grow.