This year has seen it all. Small to medium-sized businesses had to fight for their survival and the most important season of the year has just started. Studies show that 80% of all shoppers that made a purchase since March 2020 were new customers, therefore retention strategies are key to long-term success. With Christmas around the corner here are some tips on how to make sure you are on your customers wish list this year.
The period right after a purchase is of utmost importance for building loyalty and is a critical point whether the customer will come back or look for another deal. New customers are the hardest to acquire so make sure you are not losing out on future revenue by rewarding first time purchases. Communicating special offers can also deepen the relationship with shoppers. Keep your business top of mind, especially for those who haven’t visited in a while. Christmas is the perfect time to re-engage with lapsed customers. It’s important to keep promotions engaging, particularly focusing on the communication channel. Who are your customers? Are they more likely to respond with SMS promotions, or explore your offerings in-app? Let customers choose how they would like to partake in your loyalty program and you’ll find a much higher response rate with your marketing efforts.
2020 has been incredibly hard on all of us. For small businesses, at this time human connection can be far more valuable than deals being offered by big retailers. Be empathetic, listen to your customers and make them feel appreciated.Studies show that today, 59% of all consumers feel companies have lost touch with the human element of customer experience. Use this to your advantage! Customers are more inclined to become a regular at your store and join a loyalty program if they feel truly connected to your business.
A loyalty program is about showing your appreciation to your customers, it also encourages habitual purchasing behaviours that lead to customer retention and increased spending. Tiered reward programs offer customers products or services they might not usually purchase, encouraging cross-selling long term. These are just a couple of helpful tips to make sure you can do all you can to make this an enjoyable, cheerful and profitable festive season for your small business.