What Is Customer Retention
A process in which selling organizations reduces customer alienation is “Customer retention”. First impression is the best impression; people making initial contact with customer are directly responsible for high customer retention. The kind of service we render and the quality product is connected with customer loyalty and bringing new customers into your business. It is essential to meet the demands of customers, however exceeding their expectations makes the customer only the sponsor to your make. There are dedicated resource people to monitor customer retention by creating “WOW” to customers. It is seen all around and the best example I would give is my experience in a restaurant I recently visited. Hospitality and cleanliness was to the core. I would love to visit the same place often and definitely refer this to my friends and relatives. This is customer satisfaction.
Many times we observe many posts on customer such as “Customer is king”, “A customer is the most important visitor on our premises, and he is not dependent on us. We are dependent on him. He is not an interruption in our work. He is the purpose of it. He is not an outsider in our business. He is part of it. We are not doing him a favor by serving him. He is doing us a favor by giving us an opportunity to do so”. Certainly, not only service oriented businesses trust and believe in these quotes, but is true for manufacturing sectors and product based businesses. Creating comfort zone for customer generates not only repeat business but also keeps your customers in fold and proves how you are different from other competitors in the market. Retention is an important business strategy, especially for organizations that have done huge investments.
Advantages of customer retention:
- Possibility of repeat business
- Economizes customer acquisition
- Builds a large database of delighted, happy customers
Right attitude of employees or staff seated in the front desk plays a vital role towards creating customer satisfaction. Err is human, but we need to listen to the issue of the customer patiently, put yourself in the shoes of the customer while resolving issues. Even today many investors are failing to understand the importance of customer retention. Downside of this is existing customers walk in to the doors of your competitors. Marketing strategy that brings awareness to new customers where as retention strategy is a key to the growth of any business or service organization. Consequently work towards proper customer retention strategy. This activity can be either outsourced to professional consultants or can be conducted in house with a dedicated matured and skilled person.