5 ways to turn first-time customers into return customers

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It’s no secret repeat business is critical to success; still, many businesses commit the bulk of their marketing budgets to customer acquisition rather than customer retention. Acquiring new customers is certainly important, but consider this: It costs five times more to attract a new customer versus retaining an existing customer, and increasing your customer retention rate by just five percent can yield a 25 to 95 percent increase in profits.

The numbers speak for themselves: if you can retain customers, your business will be more successful — which is why you should implement a customer retention strategy with every new customer. Market more efficiently, keep customers coming back and boost profits with the following five ways to turn first-time customers into return customers.

1. Send marketing-savvy thank-you emails
Your customers probably get confirmation emails when they submit an order, but do those emails work to promote repeat business? Instead of a blasé confirmation email, take time to craft a thank-you message that keeps customers coming back. Ideas include:

Personalization: Your salutation should include your customers’ names (easily automated with email marketing platforms such as VerticalResponse)
Earned store credit: Give first-time customers instant store credit good toward any purchase made within a given time frame (30 days is good). The free credit can prove a powerful incentive to return
Related products and services: Which products and services pair well with the fusion database items they’ve just purchased? Offer new customers a chance to get them at a discount —or even add them to their current order before it ships

2. Share your mission
What makes your company tick? What is the foundation of your brand, and what higher purpose do you serve beyond turning a profit? If your message is one your customers can identify with, you can earn repeat business by sharing your mission and values — in short, by telling customers the story of your brand.

Let’s say you operate a restaurant and you’re committed to serving only organic foods sourced from chemical-free farms and free-range animals. You’ve taken a stance against animal cruelty and harmful ingredients. Use that to establish solidarity with customers and ingrain your business into their culture. Send an email that tells customers about the positive impact they’ve made by choosing you. When customers identify with you, they feel good about buying from you — and they’ll come back.


3. Be useful beyond your product offering
Once you have your customers’ email addresses, it can be tempting to send marketing emails at every opportunity. However, a stronger approach that fosters long-term customer loyalty is to routinely send useful content that customers can use to solve their problems and improve their lives — even if your solutions don’t always result in immediate sales.