Customer retention strategy. What do you think when you hear that phrase?
Do you nod knowingly and think ah yes, that strategy growing our business with happy customers and long-term revenue. Or do you wince and think yikes, I’m too busy acquiring customers and fighting fires to worry about that.
If you fall into the latter camp, you’re not alone. Most marketers do.
But that’s a mistake. Your existing customers are your most valuable asset.
That’s why Mention Me has released a second product, Mention Me Retain. Specifically created to help businesses engage customers so they keep coming back, it’s already fuelling long-term growth for brands across sectors.
Existing customers are significantly more likely than the average consumer to spend more, buy more, and recommend your brand to others.
Increasing customer retention by 5% can increase company revenue by between 25 and 95%. And that’s before considering the huge impact Covid-19 is having on businesses and consumers. In the current climate, more consumers than ever are turning to ecommerce to fulfil their needs.
But are your customers staying loyal to your brand or looking elsewhere? This presents significant implications for your bottom line and business growth. Mention Me Retain equips businesses to meaningfully engage with customers so they return often, spend more and recommend the brand to others.
It works both ways, too. With even tomorrow feeling uncertain, knowing there are brands you can count on matters. It feels reassuring. That sentiment will last long into the post-Coronavirus world, delivering far more business success than any special sale or one-time event ever could.
What retention means for you - and how you calculate it - depends on your industry and business model. If you’re a utilities brand, for example, you’ll likely focus on contract renewals. If you’re in fashion, it’s likely repeat purchases that get you excited. If you sell subscriptions, membership upgrades are probably high on your list.
For subscription businesses, it’s best to calculate your customer churn rate.
Customer churn rate = customers lost during period / customers at start of period X 100
For non-subscription businesses, like retail, you should calculate your repeat rate.
Customer repeat rate = customers placing repeat order during period / total number of customers during period
Mention Me’s customer retention solution combines complex data with human expertise to serve highly targeted messages that increase customer engagement, lifetime value and repeat order revenue.
Mention Me Retain serves tailored customer journeys rooted in NPS feedback and A/B testing insights. Users can combine 25 segmentation options to build strategic customer segments, based on data such as order number, order value and total spend. By showing the right message at the right time to strategic customer cohorts, it drives desired actions, such as buying again, to increase lifetime value.
In addition, marketers can track and optimise their campaign performance in the Mention Me dashboard, which shows core metrics including customer satisfaction, repeat orders and overall revenue.
You can find more about how Mention Me Retain can help with your retention marketing here.