Keeping the customers loyal is the most important aspect of every business. Getting new customers are hard and costly compared to retaining the existing ones. According to a survey, the average churn rate is 24% for monthly contracts and 15% yearly.
Although you have an amazing product, customers will stop using them after sometimes. There are many reasons customers will stop using your services, but the main reason is they feel you don’t care about them, they feel unwanted. Thus, you need to work hard to gain their loyalty and pursue them in using your services continuously.
Here are a few strategies you can use to retain your customers.
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Improve your pricing strategies:
Usually, annual plans have a lower churn rate than monthly plans. This attracts more customers, and they are unlikely to leave your brand if they have paid for the annual package. Thus, you need to convince your customers to purchase the annual plans.
Lower prices may be one way to attract the customers, but prices aren’t the only thing customers care about when they are making a purchase. They expect a certain level of quality and service satisfaction, and they don’t hesitate to pay a higher price to obtain that.
So, don’t be afraid to change the prices for new customers. However, you can release new features to justify the expense or charge the existing customers the same prices.
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Release new features frequently:
Nowadays, new trends are constantly emerging in the market. Thus, companies are trying their best to deliver the latest technology to keep their customers engaged. To achieve this, you need to constantly release updates and new features of your software. That will keep the customers excited and prevent them from getting bored.
You can fix any issues customers were facing on the old version and improve customer experience by getting their opinions. This will make customers feel like they are being appreciated and are being listened to. This way, you can improve your software as well as customer relationships.
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Increase security:
Security is the key point to gain customer loyalty. With the latest technologies, the risk of the security breach is also increasing. Thus, customers are getting more concerned about the security and privacy of their projects and expect the companies to protect their data.
Additionally, SaaS companies are expected to have higher securities. Therefore, if you want your customers to be loyal, you have to ensure that their data is in safe hands and have zero threats.
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Reward customer engagements:
To keep your customer engaged for a long time, reward them for their ongoing usage. For example, you can reward them with credit, discount, gifts, or financial incentive (cashback) if they continue using your services for a specific time.
You can even tempt your new customers by extending their free trials if they complete the certain tasks. This is one of the most effective strategies to retain customers.
These are some of the basic yet important customer retaining strategies you can apply to enhance your business. However, there are numerous strategies available to keep your customers engaged to your software and keep using them. If you apply them calculatedly, you can form a healthy relationship with your customers and increase engagement.
Want to retain your customers? In addition to the strategies listed above, user experience plays a crucial role in retaining most of your customers. USA Commerce can help take the user experience to a notch higher for better conversions as well as customer retention. Contact us for discussing things in detail and kickstart your project with us.
