Customer acquisition is an important part of growing our business. Side by side we all know that customer retention is also critically important if we run a subscription based business or it has repeated customers.
So both of them are important. But how do we know that in which we have to focus more energy on when forming the growth strategy. The solution is really very complicated and it depends on a number of variables like customer acquisition cost, long term business goal, business canvas model and many more.
The basics of CustomerAcquisition
So we cannot run a successful business without acquiring the new customers. This is particularly true for nascent startups and also for small growing businesses. Securing the first few customers seem to be a great challenge when we first start a new business.
We have to do brand building because brand reputation is very much important for any business. Without any customers we can not build the brand reputation. We can advise them but potential customers will be hesitant to trust our brand if we don’t have enough customers yet.
In any company, the first customers will be their existing contacts of business and its stakeholders.As our customer grows and we increase our brand awareness and customer acquisition becomes exponentially easier. So it is essential and a necessary part of our business.
The basics of Customer Retention
Customer retention is an incredibly important part but often we have overlooked variable in the success or failure of a business. It seems very difficult to retain the old customers in our business. It all boils down to deliver a world-class customer experience and delighting our customers. Lets discuss some basic tips of retaining existing customers:
- We have to start out on the right foot by ensuring that new customers have everything they need to be successful from the very first day.
- They produce content that solve common problems of customer base. It will help to build trust and authority with your organization.
- It will help to reach out to customers on a routine basis to check in and see how things are going on.
- In addition to that, we have to create a customer advisory board to give our customers a voice in the direction and evaluation of money.
- We have to focus on solving customer support problems at the very first to minimize the effort they must devote to resolve the issue.