CMO gets a step closer to Customer Retention

By April 26, 2018 No Comments

For CMO’s, finding, targeting and increasing customer acquisition is among its top priorities. However, customer relationship begins immediately when a customer makes the first transaction. There are smart minds who know that customer’s first transaction is just the beginning, and that the real business value lies in enhancing conversation & communication with the customer.

While many brands take significant steps towards optimizing their sales for a result oriented outcome, they are still largely behind the curve when it comes to customer retention.

Recent surveys indicate that the success of a brand depends upon its high quality customer engagement strategies for its customers. In order to drive sustainable competitive advantage and increase in traffic, customer retention must be on top of the all marketing strategies but unfortunately many brands have failed to attain this goal.

Customer retention is unmanageable for brands who use the “blanket target” method over the customers through generic SMS Integrated Marketing.

Marketers mostly lose out their regular customers while focusing more on acquiring new leads than nurturing relationships with current customers.

Customer Retention is one of the most powerful ways to gain more profits

Major brands accept that customer acquisition is one of the hardest tasks but keeping them around can be even harder.

Offering a good customer service is definitely important, but that’s not enough anymore. Customer retention is the relationship between a satisfied patron and the brand he prefers.

It goes beyond just enjoying the services or products that a brand offers. It should focus on enhancing conversation & communication to such an extent that the satisfied customers also promote the brand.

A good conversation drives great conversion

Research by Bran & Co. on Customer Retention

According to the famous research by Bran & Co., even 5% increase in customer retention through proper Marketing Automation techniques can lead to a whooping profit upto 20% to 95% for the brand.

SMS Marketing help to gain the worth of Loyal Customers

A result oriented strategy can help the brand to achieve 60% to 70% sales through a retained customer while the chances of purchase through a new Customer is just 5% — 20%.

Retained customer is as good as an asset, as his view can have a direct impact on the new customer through the word of mouth.

Overall, it’s important to focus on enhance conversation & communication.

Marketers should use the best possible service, most reasonable prices, and delightful experience for increase in customer acquisition and enhance customer retention. But this is possible only when the Mobile Marketing Automation strategies are used. It focuses on the areas that are most important to loyal customers which will help in generating better revenue in the long run. Some of automation channel that marketers of Yes bank, SBI, Johnson & Johnson etc use is Helo Campaign.

Read below to understand the impact of SMS Integrated Marketing on retain clients efficiently

SMS integrated marketing is a powerful tool that helps a brand to reach out to the defined set of target group through a result oriented approach.

Earlier, SMS had a crucial 99% open rate compared to other traditional marketing automation channels but now the consumers are being exposed to different technology driven advertising due to which SMS marketing has been forced to take a back seat. Irrespective of the growing marketing alternatives, it is to be noted that these alternatives principally depend on SMS for their most crucial function of all: enrolling a new user and retaining an old one delightfully. Hence, marketers must club their communication with SMS along with the other platforms for efficiency.

Problems in SMS Integrated Marketing

1. One of the earlier issues that SMS integrated marketing faces is that it is not entirely personalized wherever required.

A brand that plans to target its audiences to increase traffic or enhance communication does not necessarily develop one to one campaign. In order to reach out to more in less time generic messaging techniques is used, which is increasingly having a negative impact on customers with different demographic and transaction preferences.

Hence it is essential for a brand to be more human and send messages that are result oriented, targeted and personalised.

2. In addition to these hurdles, brands often fail to plan an opulent campaign via SMS integrated marketing because of the limited character count and lack of rich media.

Here’s the Solutions

Studies suggest that the consumer is bound to stay loyal to the brand, but only when the brand believes in customized marketing solution and precise use of SMS integrated marketing that helps in promoting the brand to achieve greater results.

Now we can eradicate the problems of having a long, hence costly and boring text message. Brands can easily send out smartlink sms. This will help to keep the SMS

1. Short

2. Branded

3. Interesting & Interactive

4. Drive traffic to the website.

5. Pull attention to the core activities

Now a days, many smart brands use customer retention software systems and targeted customer retention plans to enhance conversation with new as well as retained customers.

Lastly, it is to be understood that SMS integrated marketing can be better used as a contact point to:

  • drive engagement
  • increase traffic
  • increase conversion
  • delight customers
  • viral marketing
  • build loyal customers

rather than just being used to drive a specific action. Specific targeting customers based on their reach, profile, segmentation and location can help increase customer acquisition and most importantly in enhance customer retention

With the advancement of technology and opportunities, customers crave for tailored, consistent, convenient service, and brands need to find Mobile Marketing Automation tools to meet those expectations.

The ideal technique of real-time marketing is to engage with the right customer, on the right channel, at the right time.

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