Do you know which of your company’s activities have the most substantial ROIs (returns on investments)? If you point automatically towards certain marketing methods, you might be on the right track, and yet it surprises many to discover that customer retention is also one of the top rated performers where ROI is concerned.
Old Made New
For many years, business experts in every industry have known, and even stated plainly, that it is both “easier and more cost-effective to retain customers than to acquire new ones.” Yet in all of the noise about online marketing, the idea of focusing strongly on the existing pool can be overrun by the pressures to build an audience, fill a funnel and so on. Yet, statistics tell us that “only a 5% increase in customer retention can increase company revenue by 25-95%.”
Customer Retention and Growth
Clearly, customer retention is not just part of your company’s potential for growth, but vital to it. While the increase in revenue is enough to convince anyone of the need to emphasize it, there is also the fact that loyal customers tend to return often and buy more than newer (unproven) clients. They also tend to give online and word of mouth referrals. Yet, a good program for retaining customers can be costly. It requires a “solid customer support program”, which means the use of creativity, resources, manpower and time to bring to life.
Now is the Time to Invest
If you are convinced you should be investing more in customer retention, and you have a need for support where the working capital for making it happen is concerned, simply contact BizCap Commerical Finance online or by phone at 833-224-9227. Specializing in flexible financing for any industry, they ensure you have the funding you need at the moment it is required for growth and success.