Customer retention rate is one of the most prominent KPIs determining the success of a business. The customer retention process requires the formulation and implementation of strategy in this fiercely competitive market. Contact center software plays a significant role in retaining customers by building loyalty. It is the customer service experience that prevents customers from switching brands.
Nurturing the existing clients through excellent customer service is the most cost-effective customer retention process. Let’s look into the importance of customer retention for a business and how contact center software can improve your customer retention rate.
Importance of customer retention
As per a study, if a business can boost the client retention rate by 5%, the profitability can be enhanced by 25% up to 95%. Therefore, every business must focus on customer retention strategies more than customer acquisition strategy. Customer retention is not only about repeat orders but also has several other perks for the business.
- Repeat customers are willing to spend more on premium services or products of the business.
- As customer loyalty builds up, the business enjoys the simplest yet effective marketing strategy, word-of-mouth marketing.
- Existing customer offers genuine feedback that can help improve the products/services.
- Lowers marketing costs as acquiring new customers incurs 5 times more costs than retaining the existing ones.
Customer retention also enables businesses to enjoy sales due to referrals. The most common mistake that businesses commit is focusing on expanding their base at the risk of losing a loyal customer. Therefore, every business needs to strike a balance between customer acquisition and client retention.
How a contact center software can strengthen customer retention strategy?
Every interaction with the customer is an opportunity for the business to grow its loyal customer base. Leveraging the features of the right contact center software, a business can drive growth and profit by improving its customer retention process.
Integrate CRM to equip your agents
The Customer Relation Management (CRM) system of a business is a valuable resource for the call contact center. Integrating CRM with call contact software helps agents access necessary information about the customer. It enables the agent to know about customer history, previous conversations, and more. When an agent is equipped with customer knowledge, it enables them to resolve their issues quickly.
As the average handling time is reduced, it also contributes to a positive customer experience. Therefore, integrating CRM into call center software is one of the best ways to strengthen your customer retention process.
Adopt Omnichannel customer support
According to a 2019 report, omnichannel communication can enhance customer retention rate by 90%. Therefore, omnichannel customer support is an essential feature of a call contact center that contributes to the customer retention process.
Omnichannel communication eliminates the need for the customer to repeat their problem while interacting through a different channel. This may otherwise lead to customer frustration and raises the risk of losing loyal customers. Moreover, when customers can interact through the channel of their preference, it adds to their satisfaction with customer service.
Boost resolution speed by matching agent skills
When a customer’s issue is resolved quickly, it builds trust and loyalty toward a business. A contact center software can ensure quicker resolution by routing the calls to the agents with the right skill sets. Automated skill-based routing can ensure that the right agent is assigned to the right call. With this, your agents can handle more calls and resolve the issues more efficiently.
Moreover, skill-based routing saves the time and frustration of customers due to multiple call transfers. While re-evaluating the customer retention process, you must always check the call routing strategy of call contact software.
Offer call back and follow-up calls
While resolving customer issues, it might take some time to resolve any complex issue. This can annoy the customer, especially if the issue is critical. You can offer a callback or follow-up call to the customer by a team member, which will keep your customer happy. A call center software can help you track and manage the follow-up calls. It also allows you to offer a call back to the customers to keep them engaged.
Analyze feedback from customers
In-Product Feedback from customers is an important metric for understanding the customer experience. However, monitoring online feedback and reviews is a time-consuming task. A call center software can help you automate the process of feedback collection. The software can also help you analyze the data to find the issues and resolve them accordingly.
Most call center software offers call analytics and reporting. It helps in understanding the pain points, likes, and dislikes of the customer expressed through their feedback or reviews. The most important way of improving the customer retention process is listening to your customers and this feature streamlines the process of reviewing the customer feedback.
Personalize customer interaction
Customer engagement is the key to building loyalty. 80% of customers are likely to make another purchase from the same brand if they receive a personalized experience. A well-planned and personalized campaign can help you retain customers. It can also help in increasing brand credibility. A call center software can help in building personalized engagement with the customers. The software comes with features like communication routing and personalization. The features can help you personalize the communication and make the communication relevant to the customers.
The importance of customer service is undeniable when a business redefines its customer retention process. Therefore, every business needs to choose the best contact center software to provide a stellar customer experience.
The Bottom Line
Customer retention is the key to success for any business. The best way to achieve an impeccable customer retention process is to have excellent customer service. Poor customer service may cost a business a loss of nearly 58% of customers. Contact center software saves you from this potential loss by providing excellent customer service. It is important to maintain relations with the customers to increase the business’s profitability. If you want to retain your customers, you have to understand what they want. This includes how they want to be served and the kind of experience they want to have. HoduSoft enables you to adopt the most reliable call contact software HoduCC to keep your customers happy and ensure that they don’t leave you anytime soon.
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