Mobile Marketing: Why Customer Retention is More Important than Acquisition

It’s no secret that keeping a good customer takes a lot less money and time than attracting new customers. Wells Fargo Bank estimates that it costs them 10 times as much to acquire a new customer than it does to retain an existing one. That tenant is even more true in mobile marketing, where a dissatisfied customer can quickly and effortlessly text or post to social media about their bad experience.

That’s why it’s never been more important to make sure that your existing customers are loyal and satisfied. After all, a satisfied customer will do your marketing for you, sharing their positive experiences and recommending that their friends and family use your products and services.

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How to cement your customer loyalty in a mobile age

Fortunately, there are a number of things that companies of all sizes and industries can do to solidify customer loyalty. We’ll assume that you’re already offering stellar products and customer service. That’s just the starting point.

  1. Adopt a preferred customer program. More than 90 percent of people who belong to customer loyalty programs feel that they get a benefit from their membership. If you’re concerned that you’d be bothering your customers asking them to join, forget it. They will likely appreciate the invitation.
  2. Make your mobile marketing personal…but not too personal. The majority of mobile app users like to have a user experience that’s tailored to their buying habits, quirks and personal preferences. It gives them the feeling that your company cares enough to take the time to pay attention to what they like to buy. However, most app users balk at being asked for personal information, such as their email address or physical address, simply to be able to download the app. Make sure that your marketing is walking the fine line between interested and invasive.
  3. Make good use of automated SMS messaging. Automated messaging can be very effective at making your customers feel important. A simple “thank you for your order” message can go a lot way to making them repeat customers.
  4. Keep it local. Seventy-five percent of mobile device owners use their phones and tablets to research local businesses and nearly 90 percent of those searchers act on the information they receive within an hour of the search. That means that if your customers can’t find your hours or your address while their on-the-go, you may very well lose them to your more web-savvy competitors.
  5. Offer incentives. Coupons, QR codes and other digital offers work. Gone are the days of customers’ rummaging through their purses or pockets to find that tattered coupon. E-offers are as close as their smartphone and have approximately three times the redemption rate of traditional paper coupons. Targeted e-offers don’t just increase sales, but remind your customers that you are thinking of them.
  6. Blur the line between advertising and entertainment. Making your app and mobile website engaging can give your customers something to read and to do while they’re waiting in line at the dry cleaner or sitting in a doctor’s waiting room. Mix up your advertising with information about how to use your product, testimonials from satisfied customers and even fun themed games for them to play. All of this keeps your company in front of your customers.

Don’t let beefing up your customer loyalty be a chore. Simply concentrate on personalizing your mobile marketing, making customers feel important with things like a preferred customer program and automated messaging.

How do you ensure that your customer is getting the best mobile experience possible when interacting with your brand? Make sure to share them with us in the comments below. I would love to read them.

Sophorn is the marketing guy at  Trumpia, the most complete SMS software with mass text messaging, smart targeting and automation. Follow Sophorn on Twitter, LinkedIn, Facebook and Google+.

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