Your business is losing customers, whether you like it or not. McKinsey & Company recently discovered that only 13% of customers surveyed were loyal to one brand. According to the research, 87% said they shop around, and 58% have switched brands at least once.
Why do people shop around? Why do customers look elsewhere for products and services? It's time to determine why your business is losing customers and what you should do to remedy the situation.
What are some ways you can check how healthy your customer engagement is? Your growth metrics, such as profits, conversions, brand retention, loyalty, profitability, etc., will all suffer if engagement levels drop.
Here are some possible explanations for why these metrics might be declining:
Not every customer is the perfect match for your product.
It doesn't matter if it isn't right - like the diabetic who bought Ben & Jerry's for their shopping cart or the environmental activist who purchased a Humvee. This could have been an honest mistake; they may have been sold misleading information. This would mean that such customers would no longer take your services.
Some organizations can create this problem by intentionally targeting the wrong customers. For instance, there are many 'family-oriented' hotels that identify a business opportunity but lack adequate amenities. This results in wasted time and money as customer retention efforts must compete against new customer acquisition efforts.
Partial vew of customer
It can be frustrating for customers if you don't have a comprehensive view of them. They need to share and reshare information with each other every time they call, but what if there was an automated system that could do all this work for you?
The customer relationship management software keeps track of every client detail, such as past conversations and support queries. All these details can be accessed with the click of a button, freeing your team to focus on what they do best: selling, retaining, and developing customer relationships.
Delivering poor customer service
Today's consumers have high expectations for customer service. In turn, Amazon and Apple have set high standards for customer loyalty: By placing customer satisfaction at the core of your business model, companies will experience greater success and improved customer retention. Both large and small businesses can learn from these examples to boost competitiveness and retain more clients.
What defines customer service? Customer service is about being consistent, reliable, and responsive to every interaction. A bad customer experience can quickly turn potential customers away from your business and cause them to search elsewhere for services. During interactions with customers,– the most impactful thing is how much you know about the customer and how promptly you respond when questions or problems arise. A business needs to set goals for positive resolutions and response time targets, train customer service and sales teams properly so they know how to do the right thing when necessary and reward them accordingly.
Use of outdated technology
Technology plays an integral role in today's brand loyalty equation. Consumers have high expectations and short attention spans, plus they are less tolerant of inefficiencies. If customers experience slow checkouts or a lack of online payment options, they may switch to businesses offering better customer service.
Lacking adequate technology can cause customers to leave, leaving you with the task of keeping them satisfied. Make sure your websites load quickly across all devices, maintain a strong presence across social media channels and stay up to date. Furthermore, technology can be used to enhance products and services - for example, restaurants may want to consider listing on delivery apps so customers who prefer ordering takeout online can easily do so.
Your product/service did not meet their expectations.
Customers who are dissatisfied are likely to vent on social media platforms. Furious buyers may also post negative reviews in order to let others know they are not contented with their purchase.
Your service should be tailored according to customer feedback. This feedback should be available to your product and service teams in terms of actionable data. Take this into account when creating or redesigning the offering. Partner with an experienced customer experience design consultant and someone who can help you draw customer insights into something meaningful. It takes a lot to produce or deliver a quality product or service that makes customers happy.
Lack of coordination between team members
Imagine you need to reassign one of your top sales reps from your company who leaves unexpectedly. The handover is incomplete and disorganized, lacking context regarding past interactions with prospects. This scenario frequently occurs within companies.
Your team's disarray will be evident to customers. What does this mean for customers and prospects alike? What outcome is likely to emerge?
Customer engagement solutions like Microsoft Dynamics 365 Sales enable you to build strong relationships and take action based on insight, and close more deals quickly. This tool enables you to store all previous conversations (email, phone calls, messages) in one central location for the easy handover of information. Because the system records all customer interactions, it doesn't matter if a query isn't answered by the same person each time.
Customer engagement in an age of fluttering loyalty
In today's highly competitive environment, running a business can be challenging. Acquiring new customers is expensive while existing ones don't tend to stick around. Your business must survive in this climate of diminishing brand loyalty. Therefore, improving the customer journey is essential - even if it means uncovering signs that it might be declining.
Recent findings by Gallup indicate that customers who are highly engaged generate 23% more revenue per customer than average customers. A customer engagement plan can help foster trust and enhance communication with clients.
Customer success for any business isn't solely determined by the number of new subscribers it attracts; it also depends on how well existing customers are retained.
To keep customers engaged, create clear customer engagement and marketing strategies. Connect with your customers in a way they enjoy.
Customer relationship management solutions offer you a host of tools to help you connect with your customers in an optimal manner and optimize entire sales operations.
Today, many excellent CRM solutions exist. Microsoft Dynamics 365 Sales - is a comprehensive customer engagement platform ideal for small to midsize businesses. Microsoft Dynamics 365 CRM solution allows business owners to better understand their customers, their problems, and their needs. It also provides personalized customer service.
Saurav Pranay
Saurav is a Microsoft certified member for Dynamic and Project Online and has over fifteen years of experience in Project and Process management and has been involved in many Dynamics and Project Online implementations and have addressed solutions to challenging business needs by clients.
Posted by Advaiya
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