It is always important to acquire new customers, but repeat business is what keeps the lights on. Losing customers can quickly erode your business income. Actually for most businesses, keeping existing customers is almost more important than seeking new ones.
Repeat customers tend to spend more money over time and promote your business among their friend circle.
Better Customer Service
The way you interact with your customers will determine if they will stay with you or not. Customer loyalty is very important; you want to build a bond of trust and understanding. You should connect to your patrons on a personal level. Try to find some common ground and build on it. A business that interacts with customers in a cold and robotic manner is driving away from a source of reliable income. Simply smiling and asking a customer about their day is a good start.
One bad encounter can damage a relationship, it is important to always handle customer inquiries in a quick and professional manner. Always treat the customer with respect, even if they are not being too nice to you. Try to see the issue from the customer’s point of view and empathize.
The most important aspect of customer service is to listen. You should not tell a customer that you will “keep that in mind.” Instead, discuss with them how they would prefer the issue is addressed and try to work it out. No one wants to feel like they are being given less importance or ignored.
Quality of Product/Service
The quality of the product or service determines your business success. If you fail to show value, then they are unlikely to come back. Of course, every company has a budget and it is not possible to add a bunch of bells and whistles to what you offer.
Look at how you advertise your product or service and ask, “Could it be better or is there something important that I’m not telling customers?” Improper marketing can lead to a lot of confusion. For example, sometimes they fill bags of potato chips halfway with air to keep them from being crushed. However most customers feel ripped off as they expected more chips inside. If you blatantly trick a customer, they will never come back.
Establishing a healthy workplace culture will have a positive impact on your sales. It is important that you treat you employees with as much respect as you would a customer. When employees are happier and more energized, customers tend to take notice of it. Likewise, happy workers will pass along good vibes to the customers. Having happy employees will also result in a lower turnover rate.
Your employees should share the same value as you do, rather than being employed to simply make money. Being honest to a customer can build a lot of trust.
You can lose customers to competition if they offer superior service, especially if you have not established trust and brand loyalty. If your competition has a superior product or service, then you must revise what you offer. In the end, what you offer will be vastly improved because you were forced to adapt. Competition can keep your business fresh and alive.
In a fierce competition, it is easy to get caught up on a lower price. However, customers have no problem paying higher prices if they feel like they are getting good quality from someone they trust.
You should constantly be re-evaluating how your business interacts with customers. Taking criticism positively and customer feedback will help your business grow stronger. More importantly, it will show the customers that you listen.