If you work in marketing, you’re likely seeing the same thing many businesses are - that generating new business is tough right now. Ad costs are increasing, social media algorithms are constantly changing and competition for clicks is high.

The days when a sales team could cherry-pick leads are behind us. Businesses need to work smarter, reduce lead waste and retain as many existing customers as possible.

Considering that generating new business costs around 5X more than retaining customers, it’s clear why there’s a greater focus on customer loyalty, retention and increasing the Lifetime Value (LTV) of your customer base.

Often overlooked in favour of other channels to drive more new leads, we’re seeing a shift towards eCRM (electronic customer relationship management) and email marketing. The increase in lead costs highlights poor conversion rates and churn rates, pushing businesses to revisit their nurture strategy for both new leads and post-sale customers.

Simply put, reaching out sparingly doesn't cut it anymore. It’s about the value you provide from day one and how customers view your business, services, and products.

How can eCRM help you retain more customers?

eCRM is a direct line to each your customer and with increased awareness of its capabilities, it can empower marketing teams to engage customers at every stage in their journey and drive real revenue growth by nurturing a constant pipeline of demand.

Here are 5 ways eCRM can support you to improve customer loyalty and retention:

1. Understanding Your Audience

Communication becomes much easier when you know more about the person you’re talking to and to build a more complete customer relationship, you need to know things like:

  • Who they are?
  • What they like?
  • How they shop?
  • How they like to be contacted?

CRM allows you to gain insights into customer behaviours, preferences and categorise them into specific groups and then prioritise customers based on their likelihood to convert. This ability to tailor your messaging to customers facilitates 1-2-1 communication at scale, increasing your chances of being in the right place at the time.

2. Make Your Customers Feel Valued

The customer journey shouldn’t end at the point of purchase. Developing a multi-stage post-purchase sequence that starts with onboarding and maintains value throughout the customer lifecycle is key. Automation ensures your communication is consistent, timely and relevant. Whether it’s a follow-up email, a personalised offer, or a simple thank-you, these touchpoints can significantly improve customer experience.

By showing customers that they’re valued, appreciated, and understood, you can increase the LTV of your customers and develop long-term loyalty.

mail icon with number 2 as notifications

3. Listen to Your Customers

Communication is a two-way street and to meet customer needs, it’s critical that when they talk, you listen. If you go for dinner and your date only talks about themself, it’s unlikely you’ll want a second date, right?

Asking about their experience, collecting feedback and using this information to improve your service, shows your customers that their opinions matter and that their experience is important to you. Equally this can be a great source of content to promote your business with some well-earned social proofing or User Generated Content (UGC).

Surveys, polls, and social listening tools are great for collecting this kind of data and CRM can capture and analyse this feedback, allowing you to identify trends, address pain points, and understand areas that are working well. By demonstrating that you value their input, you build stronger relationships.

4. Reward Loyalty

Loyalty programs are a tried-and-tested method for retaining customers. What better way to show your appreciation for their loyalty than with an incentive or reward to say thank you.

CRM platforms can help you manage these programs by tracking customer activity, managing rewards, and personalising offers based on individual preferences and behaviours. A well-structured loyalty plan can turn satisfied customers into brand advocates who keep coming back and bring in new customers by sharing their positive experiences (who can then also be incentivised and rewarded).

5. Data and Insights

We all know the importance of data in decision making, and if you’re not already using your CRM to track KPI’s, understand the impact of your marketing activities and influence your strategies, I’d be surprised!

CRM systems organise and display data in a manageable way, tracking everything from email open rates to product preferences, ensuring your marketing efforts are aligned with customer needs and wants.

Ready to take your CRM activity to the next level?

Ask yourself this, if you turned off your lead generation channels today, how long would it be before you started to panic?

Are you confident that your nurture processes would still have a steady stream of nurtured leads and happy engaged customers that you could fall back on?

The Demand Generation team here at KINESSO UK&I work with some of the world’s biggest brands to help them reduce churn, improve retention, and stay front of mind using successful eCRM strategies. If you’re looking to build deeper, longer-lasting connections with your customers and drive your business forward, we can help.