If you want to increase your profit, one of the most helpful things you can do is invest in is customer retention. Just a tiny fraction of the increase in retention rates can sometimes almost double your revenues. And thanks to today’s technology, you have a wide range of possible ways to do so. On one side, there are various software solutions like artificial intelligence, machine learning, etc. On the other side, there are the most powerful pieces of hardware found in commercial use up to today.
What were once the strongest computers in existence can fit in your pocket today. You can use this to improve your business. And one of the most effective ways to make progress business-wise is to utilize different means by which technology can improve customer retention.
How to improve customer retention with technology
In the light of technological advances today, many industries are changing the way they operate. Or, at least, improving segments of their operations to make them more efficient. Generally speaking, we can see its application in healthcare, management, banking, and various other service providers and product distributors.
The implementation of new technology allows you to increase the retention rate through better customer service. Also, it helps create more efficient marketing strategies by having more comprehensive data. And it supports the automation of numerous repetitive and routine tasks.
By fixing common problems businesses face daily, you will improve your overall business operations and keep a greater number of existing customers. And that is much easier and more cost-effective than acquiring new ones. Here are several ways how technology can improve customer retention:
- Use technology to personalize your customer service
- Respond to everyone’s needs with AI
- Improve your internal business operations with technology
- Provide better security and data protection
- Allow different payment options
- Utilize VR and AR for better user experience
Use technology to personalize your customer service
Customer service can significantly influence the success of your business. It’s one of those aspects that can make a massive difference between you and your competitors. When trying to choose between what different companies offer, your potential customers want to know to appreciate them. If they sense they are not valuable enough to you as a customer and don’t treat them with respect, they will leave to another place.
This is a perfect opportunity to use technology the right way. You can use it to collect valuable data about your targeted audience and their behavior. With this information on your side, you can choose the best way to approach them and deliver the best possible service. One practical example is the way Convert More service works. With their smart and personalized widgets, you can motivate your current audience to get in touch with your customer service more often.
Respond to everyone’s needs with AI
The costs of obtaining new customers are higher than the costs of retaining existing customers. This is one of the main reasons you always need to look for new means to provide better customer service. This is where Artificial Intelligence can seriously help. There is a reason why many famous and successful companies are already using this technology. One of the examples is AI chatbots and virtual assistants.
When you want to respond to increasing demands on your website or eCommerce platform, AI can provide immediate solutions. Such sophisticated tech is capable of providing customers with product recommendations and other valuable information. Meanwhile, being capable of processing hundreds of tasks at the same time. This would otherwise be quite impossible.
Improve your internal business operations with technology
The existing technology solutions are an excellent way to improve your customer service and customer satisfaction. But, you can also use them to improve the way your business operates regularly. In essence, downtime is one of the most threatening things for your business. Slow response to your customers’ needs can only hurt your operations. As a result, the time it takes to complete the orders, get answers from your customer service, or explore your offer, will turn off even the most persistent and loyal clients.
This points out the importance of keeping both your company’s software and hardware up to date. Yes, the devices and the internet are much faster and more efficient than before. But, processing, transactions, websites, and overall complexity of business operations are becoming more demanding.
Provide better security and data protection
A considerable amount of data we can collect and use to improve business operations brings up the question of security. Finding a way to increase the overall safety of websites and online stores has become a necessity. By all means, it’s essential to ensure privacy protection for more than one reason:
- Inadequate privacy protection can decrease customer satisfaction and negatively affect your customer retention. And, more importantly, it can harm them in financial and other ways.
- It can lead to considerable fines and penalties because of non-compliance with laws and regulations.
Fortunately, there are many ways to keep data privacy high and maintain transparency about what you collect. Simply put, you can use advanced software solutions and secure data storage options to prevent any misuse or issues with sensitive information.
Allow different payment options
Maintaining a good relationship with your customers and answering their questions is just a part of the customer retention process. Another part is to provide them with convenient and practical solutions to complete transactions. To close the deal, you have to give them immediate options to conclude their demands with payments.
Allowing them to make transactions on the go will definitely place you among their favorite service providers. Also, considering how everyone uses mobile and other portable devices today, you don’t want to exclude them just for that. You want to benefit from the trends by using advanced digital solutions for mobile payments.
Utilize VR and AR for better user experience
Finally, depending on your business’s industry, it’s might be possible to use Virtual Reality and Augmented Reality to improve user experience. The usefulness goes even beyond that. In situations where physical presence is limited, this can be a perfect option to present your products or services online. Just look at the real estate business.
People want to see a house without having to travel hundreds of miles just for the tour. Another example is the 3D view of products. Usually, potential buyers can see desired items without actually coming to the store. Eventually, this will also give you a significant advantage over your competition.
Improving your customer retention rates is, by all means, not easy. You have to research, analyze both the targeted audience and competitors, and explore potential solutions for improving your business.
Fortunately, technology can improve customer retention by making your customers more engaged, safe, and convinced that you have the right solutions for their needs. In the end, keeping all your customers all the time is impossible. But even a slight improvement in the number of regular clients can do wonders for your business.