Businesses of all sizes need to prioritise investment in their existing customers if they want to survive the cost of living crisis according to customer engagement experts at Appreciate Business Services. They have just released The Ultimate Guide to Customer Loyalty 2023, a free resource to help organisations improve their business’ customer loyalty strategy.
The cost of living crisis means businesses are looking more closely at how to improve customer value. Traditionally that means prospecting for new customers, but the latest research highlights how loyalty and retention make a more significant impact on revenue.
The guide helps SMEs understand how to build a strategy for customer loyalty, the true value of loyal customers and brand advocates and how to make data work to strengthen those relationships.
It comes amid the cost of living crisis, with rising energy and food bills causing shoppers to reduce spending and businesses to review budgets. With everyone’s pockets being squeezed to their limits, if your customers are not happy, they will be quicker than ever to explore other avenues.
There is lots of research and insight to help businesses get started or improve their customer loyalty strategy. This includes considering customer engagement technologies, such as flexible modular platforms. These platforms allow businesses to create campaigns driven by customer data and automate the core engagement functions they need in a cost-effective way while retaining the capacity for growth.
Far from just being a measure to protect earnings, the guide advises that investing in customers can bring a huge business boost. Research shows that retaining just 5% of a customer base can increase profits by up to 95%.
With the cost of acquiring a new customer five times higher than the cost of retaining existing ones, making customer loyalty cost-effective creates a real opportunity for businesses.
“At Appreciate Business Services, we understand that customer loyalty is the cornerstone of any successful business, but it’s an evolving challenge,” said Frank Creighton, Director of Business Development for ABS. “In today’s fast-paced world, it’s more important than ever to not only retain customers, but to turn them into brand advocates.
“That’s why we’re delighted to announce the release of our Ultimate Guide to Customer Loyalty. Our comprehensive guide aims to empower businesses with the knowledge they need to understand the true value of loyal customers, how to build lasting relationships, and how to harness data to drive customer engagement. It’s been proven customers may increase their spending by between 15% and 25% with businesses that have earned their loyalty.”
Advice in the comprehensive, exclusive guide also include methods of retaining a customer for life such as ensuring even the smallest of expectations are met; to eliminating friction and frustration by offering various payment options and improving search functions.