4 Reasons Why Keeping Your Customer Happy Is Critical For Your Startup
In a world where the same set of products and services are offered by multiple businesses, at comparable costs, every business is looking for a magic wand to keep its customers loyal. This magic wand is keeping your customers happy. The attitude of business towards its customers plays a crucial role, sometimes even more than the product or services itself. For startups, customer is the metaphorical God, as the company lacks history and a portfolio to boot, so growth depends on the testimonials of existing customers. Although there are numerous reasons to keep your customers happy, we list the top 4 here, from the perspective of a Services company.
1. Customer Acquisition:
In a startup, the first impression is often the last and a customer’s decision on the project is decided upon the testimonials of existing customers. Providing impeccable service to existing customers thus becomes a key to acquiring new clients. Start-ups need to be aware of the fact that ‘over commitment’ and ‘under delivery’ can prove a disaster for their business, since it is bound to irk the client. Nearly 70% of companies ignore their customers’ feedback, in the process paving way for their own downfall and earning a bad reputation. A better customer experience, on the other hand, leads to higher customer referral rates and creates a competitive edge.
2. Customer Retention:
In a startup, one may fall into the temptation of offering more and all at the same time. This may lead to loss of focus and inadequate planning. It is imperative that startups spend time understanding the client’s end-users, the product and the stake holders involved so as to integrate the correct features. Showing adequate interest and asking the right questions at the right time often resolves issues of ‘delays’ and ‘change requests’. Delivering the ‘right value for the customer’ is a key to ensuring positive customer experience and creating long term loyalty.
3. Word-of-Mouth (WOM) Marketing:
For a generation obsessed with internet-of-things and for whom Google is God, it is organic marketing which is earned not paid for. The key to WOM is to get the client so excited about the wonderful product they have received from the service provider that they brag, not only about the new product, but also about the startup which made it possible. Businesses are always looking for new and alternate solutions and a good WOM Marketing does more good than an expensive advertising campaign.
4. Edge over Competition:
Once a startup has its feet firmly in the ground, there should be a high level of focus on developing capabilities to deliver quality to customers repeatedly by means of standard practices. One can also use tactics like customer referral programs, customer loyalty programs and continued dialogue. Going that extra mile to establish the startup as a thought leader in the industry and an expert on latest trends and industry insights is also helpful.
Keeping in touch with customers, keeping them informed about what you do or what you are trying to do, developing a support and feedback mechanism to counter any foreseen or unexpected issues, would ensure that your marketing spends will always be ‘zero’ and business is always great.
(Featured Image Source: Creative Commons used under a CC BY-SA 3.0 Unported License)