The Importance Of Customer Retention In Business Success

Any company’s marketing department strives and deploys resources to increase market share. While this can be an effective tool of ensuring business survival, an even more important undertaking is taking care of old customers and inspiring loyalty among the new ones.

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Customer retention should be every business’s priority because of its contribution to not just the company’s survival, but also to its sustainability and success.

Several marketing studies have shown that attracting new clients is five times as costly retaining old ones. A two percent rise in customer retention impacts the business the same way as decreasing costs by ten percent. And a five percent increase in customer retention can raise profits by as much as 125 percent.

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The major reasons that customers leave a brand are their perceived indifference towards the brand and poor customer service.

Consistent and engaging customer service must therefore be implemented across all platforms and channels. Giving clients the royal treatment as they avail of products or services is imperative. Additionally, as many customer service outlets as possible should be activated to provide the clients a venue to raise their concerns and receive help.

Incentives for long-time customers can also go a long way in sending these clients the message that they are valued.

The extensive experience of Jeff Lupient in various automotive dealership companies and academies has provided him sufficient knowledge in giving top-notch service and developing lasting customer relationships. Visit this LinkedIn profile to learn more about his line of work.

The Unique Rewards Of Hands-On Management

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A good leader has an accurate grasp of what goes on at the frontline of a cutthroat business environment, where fierce competitors vie for the biggest share of the market. The best way to achieve this awareness is to be right in the thick of the action through hands-on management.

Direct supervision of any business puts you in the best position to ensure that things are in order. The view from the top may be breathtaking, but seeing things at the lowest level shows problematic aspects that are actionable.

Having the willingness to get your hands dirty, so to speak, not only gives you full exposure to what transpires in the workplace. It also provides you with the proximity to what goes on in your industry from the ground and the frontline. Here the rewards may be small, but they come in much faster, as transactional cycles are much shorter.

When a top decision-maker goes down to the ground, this eliminates the need for cumbersome reporting that has to rise to the chain of command, saving time. Decisions will have to be made and sometimes they need to be made quickly. Furthermore, hands-on engagements give the best view to expanding existing business and to make quality decisions based on the most relevant information.

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A leader who aspires to inspire work ethic can do this best by showing his team how it’s done. This is probably the best way to earn respect. If you tell someone to do something, show that you can do it yourself, and they will naturally follow your lead.

The Lupient Automotive Group is a firm based in Minnesota. It is headed by its president and CEO, Jeff Lupient, a hands-on manager who uses his knowledge of the industry and years of experience to provide top-notch service and cultivate long-lasting customer relationships. For more business and management articles, follow this Twitter account.