Communication Tips for Customer Retention

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  • 0:03 Developing a…
  • 0:50 Making Personal Contact
  • 2:19 Reaching a Larger Audience
  • 3:14 Soliciting Feedback
  • 3:37 Lesson Summary
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Lesson Transcript
Instructor: Amber Dixon

Amber works with graduate students enrolled in a virtual program and has a Master's of Social Work degree.

Customers who receive attentive, high-quality customer service are more likely to continue to do business with that company. This lesson discusses the importance of communication as a technique to retain customers, strategies companies can use for communication, and the benefits of each strategy.

Developing a Communication Plan

There are endless ways for companies to engage and communicate with customers to promote customer retention. Customer retention is a multi-step plan that companies implement in order to keep existing customers. One crucial step of promoting customer retention is to develop a communication plan.

When selecting methods of communication to reach clients, it is important to identify the types of communication that will create strong relationships and to choose a communication frequency that will engage customers without bombarding them with mail, email, or phone calls. Businesses should also develop methods to solicit feedback from their customers so that the communication goes both ways - customer feedback is an essential part of any successful customer retention plan.

Making Personal Contact

Personalized communication that is tailored to each customer is a great way to demonstrate a company's appreciation. Companies can personalize communication using the following methods:

  • Personalized salutations: Sending handwritten birthday cards, notes to congratulate customers on personal or professional accomplishments, or other personalized acknowledgements, can greatly improve customer retention. These small gestures help customers feel appreciated and important.

  • Email: Many businesses send mass emails to their customer base to inform them of product or company information. Personalized emails can include more information that is based on previous interactions (for example, if a customer recently purchased a camera, the store could send a follow-up email to let them know about a new lens or accessory for the model they bought) or news that directly relates to the customer's professional field.

  • Phone calls: Phone calls can be used when a customer situation requires more attention than an email can provide; for example, when resolving complaints or encountering complex customer scenarios. Personal phone calls deliver clear communication and prompt responses to questions or concerns. They are also an excellent tool to use when following up after a customer purchase. It is important that businesses have criteria to determine which situations demand this type of communication and when it can be delivered via email.

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