A solid marketing strategy can do a lot to attract new customers, but what about maintaining a consistent rotation of returning customers that will sing your praises and always choose you over your competitors? That can be a challenge and involves not only having an exceptional product, but also an exceptional customer experience with benefits that will give your customers a reason to keep coming back for more.
Customer loyalty directly correlates to your eCommerce revenue. According to a study from Deloitte, customer-centric companies are 60% more profitable than those that aren’t. The probability of selling to an existing customer is much higher than selling to a new one; in fact, loyal customers are five times more likely to purchase again and four times more likely to refer a friend to a business. Building and sustaining a loyal customer base is not a “set it and forget it” task, but rather an ongoing strategic effort that should be a top priority for your eCommerce team. Below are proven strategies to not only attract new customers, but to retain them over time.
Implement a Sustainable Customer Service Model
One bad experience could deter potential long-term customers permanently, especially in saturated and highly competitive categories like fashion or beauty. Customers value a painless experience before, during, and after they shop. There are many customer service tools that can streamline and even automate the support process, allowing you to expand your customer service team without hiring new employees. Tools such as Zendesk and Intercom can help you handle customer services tasks more efficiently. This is a great way to focus on your customer’s needs and build trust.
Create Value with a Loyalty Program
What better way to incentivize loyalty than by explicitly rewarding customers for it? Loyalty programs can increase customer lifetime value, drive loyalty and retention, and reduce churn, making them a valuable addition for many growing retailers. According to a survey from Statista in 2023, over 80% of consumers who responded claimed that loyalty programs impacted their decision to continue doing business with a brand. Virid helped popular shoe retailer, Journeys, implement their custom loyalty experience. Journey’s loyalty program now has over 2 million members and has created more ways to engage customers and drive sales.
Launch a Referral Program
Just like how loyalty programs reward customers for their continued business, referral programs reward customers for their recommendations. Rather than simply encouraging your customers to promote your offerings, encourage brand advocacy by rewarding them for their support. Utilize incentives like exclusive discounts, store credit, or free products to strengthen loyalty and drive new customer acquisition. This is just another way to provide value to your customers and give them a reason to come back.
Promote Brand Advocacy
Marketing alone doesn’t always cut it, but there are other ways to get the word out about just how great your products really are. Reviews and testimonials can have a huge impact on customer behavior as word-of-mouth marketing will always be the most trustworthy source of promotion, since it’s personal. Simply ask customers for feedback after they’re finished with their journey or service interaction. This benefits future customers who are interested in learning more about your product and it helps you to understand ways that you can improve as well. Online tools like Revere include post-purchase email functionality to easily request reviews from your customers and start building relationships that last.
Establish Strategic Partnerships
Leaning on other businesses for support can help to foster a mutually beneficial relationship that encourages growth on both sides. When brands collaborate, it can create opportunities to gain exclusive access to each respective customer base. There are many different kinds of strategic partnerships to choose from, brand to retail partnerships, marketing partnerships, retail to retail, and more. One example is co-branded products, like Doritos and Taco Bell’s fan-favorite menu items, in-store retail collaborations that feature a partner brand, like Target’s addition of Ulta Beauty products to their stores, or cause-driven partnerships like the Adidas and Allbirds low-carbon footprint shoe campaign.
Listen and Learn
Ultimately, growing your customer base starts with understanding your existing buyers. Dig into existing customer data and feedback to build a solid loyalty and retention strategy. Analyze demographic data from previous sales or conduct market research to better understand your unique customers. You can also use customer relationship management tools like HubSpot or Zoho to learn more about your current customers as well. Using these tools, you can create customer profiles for your different target customers and develop personalized marketing strategies to reach each one. And finally, listen to your customers. Gather feedback through surveys, reviews, or testimonials to get relevant customer information straight from the source. There’s no better way to learn about your customers and what they want than by prioritizing their feedback and receiving it with intention.
Final Thoughts
Combined with a solid eCommerce site, these strategies can help move the needle on customer loyalty and retention. Remember that success requires a dynamic approach, and there is no one-size-fits-all solution for each eCommerce business. If you take away anything from these tips, remember that your customers are your greatest asset when it comes to improving your business and reaching your goals. Not only do they support you by doing business with you, they can also be your most authentic and genuine marketing team.
If you’re ready to unlock the next wave of growth for your eCommerce business, Virid is here to help. We deliver enterprise commerce solutions that drive retailer growth through our award-winning platform, marketAgility, strategy, and support. Contact us to get started with a free eCommerce site assessment.
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