Regardless of how well your business is doing, you are also losing customers…but why? What drives these customers away from your business and into the arms of your competition?
As a business owner, of course you want to gain and retain as many customers as possible, but studies have shown that the way consumers shop is changing and businesses that don’t adapt to these new standards are getting left in the dust.
Let’s dive into the three main reasons behind businesses losing customers:
- Treating customers like machines
While it might not seem incredibly important, showing your personality to your customers can make a huge difference. Always remember the saying that “people buy on emotion and justify with logic.” If your customers don’t feel emotionally connected to your business through great customer service, then you are running the great risk of losing them. It’s much easier for a customer to justify being loyal to a company if they have a positive emotional connection.
Is there anything more irritating than trying to reach a business and constantly getting the voicemail? Absolutely not! There is no chance for you to sell your customers on your business if you never speak to them; you’ve got to be accessible to your customers. Research by McKinsey & Company shows that only 13% of customers are loyal to a certain brand. This means that if no one is answering phones or emails for your company, your competition will. Moving to a 24-hour answering service has shown to be a large factor in gaining and retaining customers. Even just having someone there to answer the phones to provide basic information.
- Lacking simple solutions.
While policies are necessary, customers aren’t likely to care much for them when they are experiencing an issue. Resolving customer issues quickly and efficiently can establish loyalty. A good solution can always make the best of a problem and can sometimes even be better than no problem at all. Once a customer sees that you will fix your mistakes, they are more willing to trust you going forward. Since problems will always arise eventually, building a reputation as “a company that will always right their wrongs” is priceless.
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