5 Simple Tactics to Improve Customer Loyalty

| Last Updated: October 05, 2015 |

Reading time: 3 minutes

Customer Loyalty

A SaaS company simply can’t survive without strong customer loyalty. Not only will it yield the recurring revenue critical for your business to continue operating, research indicates it can even make your company a stronger contender among competition. SaaS strategist Bruce La Fetra has found that providers who develop true customer loyalty can benefit in the following areas:

  • Lower Selling Costs: It’s much easier to upgrade and upsell existing customers who are receptive to receiving sales messages from your team.
  • Improved Product: Your customers have the most experience integrating your product into their daily workflow. Creating an culture of being receptive to feedback can refine your offerings.
  • A Resilient Customer Base: Clients who believe in your organization and team aren’t likely to change providers following a lapse in uptime or other issues.

Loyal customers are invested in your success. Every SaaS provider needs to invest heavily in establishing a customer base who are committed to using your product month after month. Here are five simple tactics that can boost your customers’ perception of your product:

1. Let Them Know You’re Really Listening

Are your customers comments, complaints and compliments met with a formulaic response that feels like it was generated by a machine? Or do one of your staff members reach out personally to express gratitude for their thoughts, and provide fast resolution when necessary?

Establishing a process for customer feedback is critical for developing a culture that breeds loyalty. There are many tools available to start listening to your customers. FreshDesk, UservoiceGetSatisfaction are some of them.

2. Make Leaders Available

Regardless of how large your organization is, present your organization like a small business. Research by American Express indicates that 75% of consumers believe they receive better customer service from smaller organizations.

Marketing Sherpa recommends making your key executives available, through simple tactics like an “open door” policy for phone calls, attending industry conferences and hosting webinars for customers.

Let the executive decide whether he should talk to the person who wanted to talk to him. Don’t let your support reps or receptionist filter the calls.

3. Have Sales Representatives Introduce Customers

The transition from prospect to customer can be rough, and the smartest SaaS providers work to make the transition as smooth as possible.

Whether your account managers or customer service team will be responsible for customer success and managing relationships once the sale is made, work to ease the transition by having sales representatives assist in a formal introduction. If you are using a CRM, you can execute a workflow to do this automatically.

4. Invest in Their Success

Simply taking the time to ask your customers about their business can be a great way to build customer loyalty. Marketing Sherpa recommends opening interactions by asking about the following key areas:

  • Opportunities for their Company
  • Their Biggest Headache
  • Their Fears for the Future
  • Plans, Predictions and Hopes

Not only will developing emotional investment in your customers’ success aid your customer service representatives or account managers in building a relationship, it can provide invaluable insight into your customers.

By understanding their mindset and industries in more depth, you can improve marketing and product features accordingly.

5. Send Thoughtful Gifts

Many network sales representatives have found that the most effective tactic for receiving referrals is one of the simplest and most old-fashioned: simple, handwritten cards.

To let your most-valuable customers know they’re truly appreciated, sending thoughtful gifts can be an even more-powerful way to express appreciation. If you’re able to base the selection on their interests, it also indicates that your company is invested in the relationship, and listens to feedback.

What other tactics do you use in your business? Please share in the comments section below.

Author of the post

John Solomon

Marketing Leader / Sales Enabler. Head of India Operations for @Infrascale / @sosonlinebackup.

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