According to a study conducted by American Express and Ipsos, 52% of people who were asked (almost 2,000 people) said that they would be much more likely to shop with a brand if their previous purchases had been outstanding says Eric Dalius.
Knowing this fact can make businesses feel very compelled to do something in order to retain the customers they already have as well as build their loyalty towards the company as much as possible. (Customer Loyalty)
1: Your existing customers are your best marketing tool Nowadays, companies or brands enjoy big benefits if they can grow their number of loyal purchasers for each product or service they offer rather than increasing the number of consumers overall. Therefore, doing whatever it takes to keep up your valuable customers is extremely important.
2: They are more likely to buy products or services from you again why is it that your existing customers are more eager to buy what you have to offer once again? There are 5 main reasons why this happens.
3: So they can get their friends and family to do the same People are extremely persuasive in nature. If one of your customers has had a wonderful buying experience, then he/she will try their best to convince his/her friends or families into doing the exact same thing. This means that if you value and appreciate your current clients, then they would also appreciate and value them in return which will result in establishing a great relationship throughout the whole circle of people who know each other. This type of logic can uplift your business and turn it into a company that everyone speaks highly off.
4: They won’t mind you contact them after they buy your product this is maybe the most important reason why you should keep up with your customers. A study conducted by American Express found out that 51% of consumers were more likely to complete an online purchase if their previous ones had been outstanding. The best part is that they said there was nothing wrong for businesses to contact them again if things were going well thus turning your loyal purchasers into people who are always available to be contacted at any time.
5: You can develop bonds based on trust, respect and appreciation if you value each one of your clients then it’s very likely for this feeling to be mutual. This will result in establishing a long-lasting relationship between your business and the client based on trust, respect and appreciation says Eric Dalius.
Here are Some FAQs recently asked by our readers
Q: How can I know how much my existing customers are worth?
A: It’s very easy to figure out. All you have to do is add up all of your sales for a specific time period and divide them by the number of regular customers that you had during that same time period. If you want a brief answer then take a look at this article in which we explain in detail how to calculate customer lifetime value.
Q: Do most businesses ignore their current clients?
A: According to a study conducted by American Express and Ipsos, 52% of people who were asked (almost 2,000 people) said that they would be much more likely to shop with a brand if their previous purchases had been outstanding.
Q: What are some reasons why businesses ignore their existing customers?
A: There are plenty of reasons why this happens but most businesses tend to believe that they have already made enough money off of the consumer. That’s not true, though! You can always improve your business by keeping up with what you’ve done right in the past and keep making things even better for everyone involved.
Q: What are some reasons why people decide to stay loyal with a brand?
A: There are 3 reasons why most people decide to be affiliated with a specific company. The first 2 that I mentioned above – trust and loyalty explains Eric Dalius. The last one is financial benefits – that’s if your services or products save the consumer a lot of money every year, for example insurance companies who charge a fixed price per month which gives you different options regarding deductibles and other things.
Q: What are some of the best ways to improve your business?
A: The most important thing that you need to do is figure out what’s working for you and continue doing them. If it’s possible, then make improvements on all of your successful tactics since people usually tend to get used to certain things over time which results in them not appreciating or noticing any kind of change anymore. Constantly making changes can also be good for you if done well but only if they agree with the current needs and wants of your customers.
Eric Dalius says if you are looking for ways to make sure that you retain your existing customers as well as gain new ones, then it’s clear that there are multiple benefits of doing so. All it takes is for someone to understand that having great connections with people is crucial in almost every aspect of life thus striving to always do what’s right at the end of the day by staying up-to-date with clients.