Millions of people have taken the uncertain pandemic economy as a cue to start saving. And you know what? We don’t blame them!
With things opening and closing based on bar graphs and line charts, it can be hard to see your economic future with any sort of clarity.
Increased savings brings about issues for business owners given that every dollar saved is a dollar that’s not being spent. Several industries saw record year over year losses as a result.
To combat a slumped economy, investing in your customer experience should be a must to support your marketing success. After all, marketing becomes markedly easier when your customers are satisfied with your products and services.
If you’re not making that connection, keep reading. Below, we break down everything you need to know about how happy customers empower marketing success.
Table of Contents
- 1. Acquiring Customers Costs Less
- 2. Marketing to Existing Customers Is Easier
- 3. Combating Bad Word of Mouth Is Hard
- 4. Beating the Value of Positive Word of Mouth Is Harder
- 5. Happy Customers Pay More for Services
- 6. People Are Giving Companies Fewer Chances
- 7. Happy Customers Equal Fulfilled Teams
- Customer Experience Matters in More Ways Than We Can Count
1. Acquiring Customers Costs Less
When you make it a point to ensure your customer experience is a good one, your cost per converted customer drops. That’s important because most marketing tactics are measured by how much the method costs you to convert browsers into buyers.
Imagine that your marketing team does a great job of bringing a customer in from a search engine and onto your landing page. Imagine that a landing page generates a phone call to your sales team. Now, imagine that your sales associate keeps your potential customer on hold for a long time and is rude when the conversation begins.
All of that hard marketing work would be lost on that kink in your experience chain, again and again, resulting in lower conversion rates and a much higher cost per conversion.
2. Marketing to Existing Customers Is Easier
Your customer isn’t only judging you before they buy a product. They’re judging you before, during their transaction, and well after.
If you can impress your customer during each of those steps, you stand a great chance of making it so they’d be willing to buy from you again. That makes your marketing team’s job much easier.
Believe us when we say that email blasting existing customers with a special sale is going to net you many more conversions than email blasting a group of people that have never done business with you. Therein lies the value of making sure that you can convert as many first-time customers as possible into customers open to shopping with you again.
3. Combating Bad Word of Mouth Is Hard
Spending money on marketing can prove to be a costly venture. This is especially true if your marketing is having to combat bad word of mouth.
No matter how great your marketing collateral is, you can bet that potential customers are going to look up your business’s reviews before checking out their online carts. If when they look up those reviews they see people bad-mouthing your customer experience, bet on the fact that your prospective customer will turn into someone else’s.
It’s not hard for customers to share their poor experiences with others. That makes the stakes higher when it comes to maximizing your customer experience.
4. Beating the Value of Positive Word of Mouth Is Harder
On the flip side, if your customer experience leads to positive online reviews, your marketing team will be hard-pressed to match the success that great word of mouth brings to your business.
Getting great reviews is free. Those endorsements are generally permanent. They work.
That makes creating great customer experiences perhaps the most important marketing engine your team has at its disposal.
5. Happy Customers Pay More for Services
Services like Decibel are built around the proven idea that happy customers are customers that are willing to part ways with more of their money.
As that relates to marketing, if your marketing team is spending a dollar for every customer they bring through the door and sub-par service makes it so that customer is only willing to spend $3 with you, you’re making a $2 profit per conversion. If an outstanding customer experience makes it so customers are willing to spend $6 with you, you’ve just doubled the ROI of your marketing investment and revenue.
6. People Are Giving Companies Fewer Chances
Your marketing strategy may be able to bring customers to your business for an initial interaction. However, trying to bring a dissatisfied customer back to give you another chance is becoming increasingly difficult.
Given how tight money is for so many people due to government restrictions on gatherings, consumers are more mindful than ever about where they invest their money.
You can be sure that if a customer feels like you abused what little money they had, no amount of marketing in the world is going to bring them back around.
7. Happy Customers Equal Fulfilled Teams
Imagine how draining it would be for your marketing team to have to deal with negative comments every time they post a message on social media. How inspired would you be to work if every step you took to attract people led to a tidal wave of comments decrying the company you’re supporting?
That connection between customer satisfaction and team satisfaction is an important one. It has the power to single-handedly lower your turnover rates, saving you a tremendous amount of money.
Customer Experience Matters in More Ways Than We Can Count
Whether you’re trying to maximize the efficacy of your marketing strategy or overall business strategy, customer experience matters. The facts that we’ve shared that support that assertion scratch the surface of what you should be aware of.
Our advice is to keep exploring the relationship between happy customers and business success. Then, start investing in ways to improve satisfaction.
If you need help along the way, we welcome you to explore more tips available on our blog.