Customers are the crux of every online and offline business. In addition, in this competitive world, there has been a constant need to lure an audience to one’s platform or a brick-and-mortar business.
As the world evolves digitally, maintaining consumer retention rates has become a task. Everyone is after proving themselves and the worth of their products online. There are multiple factors that play a role in customer churning. Customer service, payment failure, negative experiences, and more.
It could be different for everyone. You need to figure out how to control that particular factor to ace customer relations. However, there are some actionable tips that you can include to reduce customer churn.
Let us start with the very basics of it.
What is customer churn? How can we calculate it?
‘Customer churn’ refers to as a set of customers who stopped buying your products at a certain time. There are two types of churn: voluntary and involuntary.
Now, involuntary churns are not in your hand. They occur due to external factors, which are not in the control of a customer. For instance, credit card expiration or card cancellation is a classic example of involuntary churn.
Voluntary churn is the one where the customer himself decides to discontinue the online site. The reason for such churn can be dissatisfaction with products, customer service, pricing issues, and more. In contrast to it, the involuntary ones are beyond our purview.
How to calculate the churn rate?
You must figure out the percentage of consumers who have terminated their association with your e-commerce firm within a specific period. It can typically be a month or a year, in order to compute the churn rate.
For finding the difference, it is very much necessary to have beginning and ending customer counts. To calculate the churn rate as a percentage, divide that amount by the total number of customers at the beginning of the period and multiply the result by 100.
Tips to Reduce Customer Churn on Your Landing Page
There are many potential ways to improve customer retention by improving your first impression. In addition, these strategies will likely help in setting a good customer support priority.
- Make an extra effort for a positive impression
The first impression is the last impression.
It is only a game of a few seconds. A positive impression is hard to get and striking it out with every customer is a completely new task. One has to have the best UI/UX and an understandable menu bar on its landing page. In addition, you have to place offers and discounts for new customers and encourage them to engage in your online store further.
By making a positive impression, there are high chances of customers returning and engaging well on your site. In addition, thus with time they also become your loyal customers.
- Answer every likely to occur question
Provide customers with broad details and address them with their concerns on time to win their trust and loyalty. When you provide them with fast return policies, product details, and other early responses, they feel valued and appreciate your efforts. You need to figure out their issues beforehand and address them creatively to lure their attention.
For instance, if a user has kept apparel in his cart for a long time and is not able to make a purchase decision. Think about, what is the problem. Why is he not making the next move? Send him mail or message of similar apparel, or sizes, colours, etc. to lure his attention. It works as a reminder of your brand and lets the customer know other options.
- Secure customer data
It is a world of cyber theft. Customer security is the priority of every online venture. One needs to encrypt every necessary detail of a user and safeguard it. If you are an e-commerce business, it is essential for you to get an SSL certificate like Comodo SSL, GeoTrust SSL, RapidSSL certificate, in order to build trust with your customers.
Such a display of certificates and trustworthy logos will build and promote your online goodwill. For instance, the name Amazon, Flipkart, Alibaba, etc. are famous because of their safe & secure data maintenance and easy goods delivery. They have made a mark of goodwill for themselves.
Note: All these strategies will come with time. However, one has to approach the tactics from the very first day. Your venture will grow based on your instincts, real-time tech updates, and the tech team behind the business to eliminate bugs in time.
- Personalization is the key
Personal attention is appreciated by everyone. To connect your store and customer, you need to study your customer data. You should send personalized messages and recommendations based on their likes & dislikes. Also, address a person by their name and offer promotions or display products depending on their purchase history. Thus, develop good online relations with customers and businesses.
- Flexible subscription option
Give your audience an adjustable option to cancel or adjust their subscription as per their needs. It will create healthy relationships. Such flexibility is necessary, as they should not get on your site forcefully. Allow your audience to move freely and continue to engage in your venture.
- Personalized support
Provide the best customer support by engaging with them across platforms like chat, phone, or email. Resolve their queries and address them 24*7. Promote fast and effective support service. Thus, gaining their trust for futuristic support and loyalty.
- Ad-relevant page
Optimize your landing page and increase user engagement. Create an ad page that aligns well with your message via visuals and advertise relevant content. It will eventually reduce the bounce rate and encourage customer retention.
- Market your USP
Market the USPs of your business and rise above your competition. The users who are actually interested in your site will engage with the venture, reducing the churn rate. Ensure that you associate your business with all the services you provide online.
- Monitor your reviews
Feedbacks or reviews are very crucial for your business. Keep a close eye on such reviews, and keep checking them on time-to-time basis. Look into old and new reviews, answer them, and do the necessary changes if they are actually concerned with a good change. It automatically helps reduce the user churn rate and uplifts your business profits.
- Resolve complaints immediately
Negative reviews are to be handled on early basis. When a complaint is reported, consider resolving it and look into how can you enhance his experience and give him a better option.
In your business, products are sometimes damaged or are not on time, etc. for all these woof-ups you need to come up with a better version of yourself and gain the trust of that one user. Therefore, you can send another product and refund the amount in the online wallet or send him a voucher for the next purchase. You have to inculcate such practices to maintain a fair record of such negative reviews and complaints.
On a concluding note!
Fortunately, you can analyse your customer turnover stats to identify the causes and put plans in place to stop the trend. Using your customer churn analysis is essential to the development and growth of your online store. The success of your e-commerce business will depend on how you use these tips to improve your consumer experience.
Of all of these tips, our favourite is customer data security. You need to provide them with the utmost security by encrypting your site with a leading SSL certificate or should consider some other way to safeguard them. Flourish in the online world by gaining a balance of negative and positive users and maintain your churn rate to get a profitable goodwill generation.
