10 Best Customer Retention Strategies for 2022

You’ve invested a lot of time and effort (and probably money) in gaining your customers’ trust. You may be familiar with Patagonia, the outdoor clothing company. Patagonia operates several programs that make their customers feel like they’re making a difference, just by purchasing the brand. These programs include Worn Wear for garment repair and recycling, Patagonia Action Works for supporting grassroots activists, and they also provide environmental grants. Improving customer retention means improving the customer experience.

customer retention strategies

It may include “hyperpersonalization” features (e.g. targeted content, offers, alerts) that silo customer engagement within a specific context. Many ecommerce entrepreneurs focus on attracting new customers, and while you need new customers, it’s just as important to nurture your existing base. Happy Email sends automated thank you messages to new customers 30 minutes after their first purchase. Whether that be through faulty products, confusing returns policies, unknown charges, or something else, people are quick to lose trust nowadays.

But today’s users expect gamified aspects of an app, so this alone isn’t enough. Sending triggered reminders to your user’s home screen is a handy tactic to encourage engagement and ensure repeat visits. Use owned media channels like in-app messaging, push notifications, SMS, and email to reach out to users before they need you.

You might also see negative feedback such as customer complaints on channels such as social media or your customer care channels. One effective step to measure and improve customer satisfaction and retention rates is to keep communication open customer retention solutions with your customer base. This will, in turn, help build a stronger relationship with them to measure customer retention. Additionally, you can track metrics such as customer churn rate, repeat purchase rate and customer lifetime value.

Your CRR represents the percentage of existing customers your company successfully retains over a specific window. All three of our experts say that focusing on the customer experience is key. When you’re ready to implement these customer retention strategies and create a consistent, responsive customer experience, try Calendly for free or contact our sales team to learn more. An important tool for mastering effective customer retention strategies is the customer retention rate (CRR).

However, the savvy SaaS founder knows the real magic happens when you focus on nurturing your existing customer base in tandem with customer acquisition strategies. With Calendly, HackerOne’s customer success team realized 169% ROI, booked 114% more meetings, and saved 588 hours on scheduling in a 12-month period. The CS team uses that reclaimed time to deliver more enablement training and collaborate better with cross-functional teams. Nothing quite compares to the frustration of trying and failing to reach customer service when you’re having a problem.

Zendesk research found that communicating quickly and according to your customers’ channels of choice is a powerful driver of loyalty. Ultra Mobile deployed a chatbot on its website to connect customers with the right person, right away, before they bounce. Pinterest’s agents use AI to predict customer satisfaction during support conversations, before a customer takes a survey. Customer expectations are higher than ever—so much so that customers today expect you to provide them with what they need before they even ask for it. As part of Birchbox’s Service Recovery Program, agents follow up with customers who rated an interaction poorly. Zappos sends customers flowers when they need help returning shoes for a loved one they lost.

It’s best practice to take care of it as soon as possible and make sure you satisfy your customer’s needs. This, Joanne King, director of online music platform ICMP, said, also paves the way for brands to cross- and upsell. They tell you why they love your brand so much and make suggestions as to where you can improve it.

Paxton pointed to automation systems that simplify entire workflows for marketing teams, which includes re-engaging clients. The good news is you don’t have to juggle all of this alone—the right customer relationship management (CRM) platform can help make the process of retaining customers a lot easier. Another way to proactively enhance customer retention is through social listening. Rohan Kadam, founder of the blog Biking Know How recommends online tools like SurveyMonkey to ask clients about their most recent encounters with your company. “I have seen my retention grow from 3% to 27% since using SurveyMonkey,” Kadam noted.

A study by Deloitte revealed that emotional connections drive customer loyalty—and even outperform discount incentives like loyalty rewards. This requires you to think of your customers as people, as opposed to a percentage, conversion, ticket, or sale. It’s a little old school, yes, but it definitely helped when I didn’t have a CRM. Plus, having the physical card in our customers’ wallets kept us top of mind.

Or, better yet, provide an estimate for how long it will take to solve their problem. With data transparency driving agility, agile organizations are partly able to stay ahead of the rapidly changing market by paying close attention to their customer data. Agents have context to effectively help a customer no matter what channel that customer reaches out on. This gives them insight into the urgency of the problem, if a customer is on a trip or if they’re preparing for one, and their history with Airbnb. Since your agents are on the frontlines interacting with your community of customers directly. They play an important role in fostering human connections with your customers.

customer retention strategies

In addition to CRR, companies should regularly monitor these other useful customer retention metrics for insights. The truth is, there are no credible company or brand that customers will purchase from without reading reviews. Overall, 69% of customer service are rated good if customer’s problems or complaints are resolved quickly. When it comes to customer service, you can’t afford to be lukewarm. You’re either all out to help you customer, or your business will suck.

  • They look at designs, anticipate pain points, and voice common feature requests from customers.
  • For example, in 2019, we completed the process of becoming a certified B Corp.
  • This involves using insights from your customer service analytics and satisfaction surveys to capture customer feedback.
  • This involves combining customer data from different sources, such as your customer support software, marketing automation system, or order management tool.

After the live webinar, you can further take advantage of video sharing sites, by posting the recorded webinar on YouTube, Vimeo, on your blog – in order to reach more potential customers. Sometimes, blog posts, articles, ebooks, and other written content limits the customer from getting to know you at a personal level. You can actually host an event for your customers, with a bid to answer their questions in a personal manner.