strategies to increase customer retention

Strategies to Increase Customer Retention.

Why do customer leave:-

What is Customer Retention?Customer retention is the activity that a

selling organization undertakes in order to reduce customer defections.

Successful customer retention starts with the first contact an organization has with a customer and continues throughout the entire lifetime of a relationship.

How is Customer Retention achieved?Knowing customer behavior.Customer expectation for future use.Keeping customer active with tools.A strong CRM system.

Keeping Customer active with tools.

Why is Customer Retention necessary.

It costs ten times more to generate a new customer than to maintain an existing one.

If you have a small number of customers, losing a few could cripple your company. Even if you have a large number of customers, a small increase in your customer retention rate should dramatically increase your profits.

The Loyalty Effect, says that a 5% improvement in customer retention rates will yield between a 25 to 100% increase in profits across a wide range of industries.

Customer Retention strategy.Delivering service that’s consistent with

your value proposition and brandCross-selling, up-selling and asking for

referrals from existing customersDeveloping programs to increase

customer loyalty and decrease turnoverKnowing the lifetime value for different

segments and using that data to improve your marketing

Prioritizing retention as a major focus in your annual marketing plan

Keeping Customer ActiveBridging online and offline

services. Returns Gift cards

Recommendations.Writer alert.

CRM model:-

Customer relationship Management.CRM is a business strategy that commits

an organization to be customer centric and intent to deliver profitable value by understanding and anticipating customer needs.

CRM consists of sets of enabling technologies that centralize customer data and provides an infrastructure that facilitate the profitable delivery of value.

Analytical and Operational CRM

Areas to look forward :-Brand reputationPerceived valueCustomer experienceQuality AssuranceLoyalty program

Funnel model:-