According to a Harvard Business Review, converting brand new leads costs five to twenty times more than retaining customers. Securing a deal is a part of business, but how will you maintain the customers after sales? Most companies tend to ignore the follow-up part after sales.
But follow-up is an ultimate signifier that you won’t take your customers for granted. Post-sale follow-up can be a valuable marketing strategy for your business that ensures client satisfaction and referrals.
The key to retention is offering lifetime value after sales. You can use an effective after-sales strategy to convert new customers into brand-loyal ones. How will you do that? Read the post to understand.
Why is Post-Sales Service Important?
Investing five percent in customer retention can boost profits by 20-25%. Generating leads and new opportunities is essential, but you can nurture your existing customers.
According to marketing metrics, there is a seventy percent chance of selling to an existing customer and only a 10% chance of selling to a new prospect.
That said, the odds of repeat customers are higher than potential leads. When you follow up after sales, it can delight the customer, which keeps them coming back to your service. Moreover, post-sales follow-up can increase customer lifetime value for your business.
Importance of Follow-up: Now that you know how after-sales service can help you with customer retention and satisfaction, let’s see the importance of follow-up.
Fulfill Customer Expectations
The customer is the king, and as cliched as it may sound, this still holds relevance. Every business lures customers for services, and customers dictate their terms and conditions. In short, the focus of all the marketing strategies is the customer. Regular follow-up with the customer regarding your services can fulfil their expectations.
Besides feeling valued, it gives them more reasons to continue with your brand. And you know what? A satisfied customer can be the best source for promoting your business. Additionally, existing customers can recommend more referrals for your business, thus helping in expansion.
Improve Customer Experience
Customer experience is a realization of the interaction you have with them. Confused? Your customers don’t judge your business by one experience.
Their experience is shaped by every interaction they have with your company. Well, if your customer had an unpleasant experience the last time, you can overwrite it by providing a good one.
A follow-up call can help to overwrite the negative experience. You can improve your overall customer relations with a follow-up call after sales. Improving customer experience can also ensure complete customer satisfaction.
Retain Customers
A higher customer retention rate can indicate better loyalty and satisfaction. According to a report by BIA, repeat customers spend 67% more than new customers.
Customer retention is vital for 61% of small businesses. And when it comes to word of mouth, most customers share their favorite brand with friends and family.
Ideally, customer retention can help increase reach and profitability. Therefore, follow-up is vital to maintain a customer’s trust, leading to chances of customer retention. You can focus on a customer retention strategy for your after-sales follow-up.
Build Strong Relationships
Post-sales follow-up can help you maintain a point of contact with your customers. In a competitive business approach, the most tricky part is to acquire a customer and retain him for a long.
Following up with customers will keep them informed about your business. Besides, they will appreciate that you are keeping in contact. Observing this, they can be loyal to your business – compared to others. Ideally, you can build close relations with your customers by follow-up.
Nurture Old Leads
According to a report by HubSpot, 80% of follow-ups may require at least five calls – and more than 40% of sales agents give up after one or two follow-ups, for which the company may lose an opportunity to close the deal.
Nurturing old leads and new leads is a significant part of the business. Just one call is not enough to woo the customer; you need to call them and get them into confidence.
Also, a follow-up call is essential if you have conducted a marketing campaign. People who inquire about your service could be your potential lead. Always follow up to nurture leads.
Boost New Sales Opportunities
If you follow up after sales, you can boost new sales opportunities. A customer care agent can call the customer and ask him how the product works. When the customer replies positively, the marketer or agent can suggest another product, improving their experience.
Does it sound like a Deja Vu to you? Of course, you must have attended such calls where customer care executives tell you to try new products. Most likely, you might have shifted to better ones. A follow-up with a customer can provide you with new sales opportunities.
Ways to Delight Customers After Sales: There are many ways through which you can keep the contact going:
- Follow up with a simple phone call – Reassure your customer that his decision was good and ensure good after-sales service from your end.
- Automate email—Set automated emails on birthdays and purchase anniversaries. These occasions perfectly tell customers that they matter to your business even after sales. Use marketing tools for email automation.
- Customization—You can customize the customer experience so that they feel special. You can also customize product specifications that align with their needs.
Post-sales follow-up is significant.
Letting go of a customer – means losing a sales opportunity. Post-sales follow-up can help to ensure complete customer satisfaction. It also helps you to optimize the power of referrals.
A loyal customer will inform others about your products and services. Small efforts from your end can make a difference in your marketing strategy. Don’t forget to keep your past, present, and potential clients in the same loop. Leverage the power of post-sales follow-up.