It costs five times more to acquire new customers than to retain existing ones. According to Bain & Company, increasing retention rates by 5% boosts profits by 25% to 95% – impressive, right?
Keeping in touch with customers after the holidays can result in additional revenues and nurture positive customer relationships in the long run. Despite the holiday deals shoppers love and their willingness to spend more, these days will eventually come to an end. As a result, businesses will experience declining sales or possibly go through a post-holiday sales slump.
Without further ado, take a look at the four recommendations we’ve put together to help your business through the post-holiday season.
1. Share appreciation for your customers acquired during the holiday season
Boost retention even after the holiday season is over by letting your customers know that you value them and the support they give your business. Customers that feel genuinely recognized and appreciated by their favorite brands are more likely to remain loyal and visit your store again to make repeat purchases.
Show them that you value that they choose to do business with you over a competitor by sending them a tailored SMS message or email. In fact, a report by Sprout Special shows that more than half (57%) of consumers will increase their spending with brands they feel connected with while 76% will buy from them over a competitor.
2. Launch a new campaign for the new year
While businesses were busy competing for the seasonal shoppers’ attention by providing the best holiday deals and offers, some might decide to take a break at the beginning of the new year. Based on a National Retail Federation survey, 68% of holiday shoppers plan to continue browsing and buying after the festive season sale.
Take advantage of launching new marketing campaigns during the month of January to stand out from the competition and remain on top of your consumers’ minds. Promote your post-holiday offers and campaigns on your website, social media pages, and email campaigns to build brand awareness. Don’t forget to send personalized SMS or in-app messages to make customers feel that you remember them and maintain positive relationships with them.
3. Increase cross-selling suggestions with a product affinity analysis
The post-holiday season is a great opportunity to analyze the data collected on which products your customers purchased together. With the help of Como, conduct a product affinity analysis to gain valuable information on your consumers’ purchase behavior and determine which products have a high-affinity rate.
Retarget customers by cross-selling items that complement the purchases they made from your business during the holiday season to “complete the look”. It plays a crucial role in not only retaining customers but also increasing revenue and purchase frequency.
4. Maintain exceptional customer service after the holidays
According to Semrush, 89% of companies say that excellent customer service plays a huge role in customer retention. Even after the big holiday events such as Black Friday and Christmas are over, prepare to have more support hands on deck so you can efficiently help customers with their questions or concerns.
Customers want to reach out to you on their preferred channels regarding returns, exchanges, or any other inquiries and they are more likely to stick around when your business is responsive and timely. An excellent customer service experience will result in customers making repeat purchases all throughout the year and positive word-of-mouth reviews. Businesses should also expect a higher amount of returns post-holiday shopping which would ultimately lead to an increased number of customer service requests. Be ready to answer quickly and efficiently as the customer experience will impact their loyalty and you don’t want to lose a customer you fought hard to win.
From expressing your appreciation for your customers to providing excellent customer service even after the holidays, consider these tips to keep the sales momentum, develop positive long-term customer relationships, and help your business avoid the post-holiday blues.