What’s more important to a business than acquiring a new customer? Believe it or not, it is not acquiring two customers. It is the ability to retain a customer once you have enrolled them as a client.
According to customer retention statistics, it takes as much as seven times more money and effort to get a new customer than it is to retain an existing client. This means that with the strong business competition in the security alarm business, you need to be at the top of your customer retention marketing game.
You may be wondering ‘what are the best retention marketing strategies you can apply in your home security business to maintain a competitive edge?’ Well, you have come to the right place for such information.
We have compiled a list of five useful strategies you can implement to ensure your clients keep doing business with you. To learn more, keep reading.
1. Give Them Incentives to Remain as Clients
One of the best strategies utilized by multiple industries to retain customers is by providing them with incentives that get them excited to continue doing business with you.
The number one type of incentive that’s guaranteed to work is a financial incentive. Everyone likes to save money. However, this means you have to make a sacrifice for the long-run benefit.
For instance, when a client procures your security alarms, you can give them a discount on the cost of installation services. However, the incentive should get offered to clients who are willing to do business with you for a long time. For instance, if they want to hire your security business for several months or up to a year; you can offer them a discount.
Additionally, if they want several different services altogether; you can encourage them to work with you for the long term by offering them a suitable financial incentive.
The general logic behind financial incentives is that clients get more for less. The business still benefits from the economies of scale and manages to retain a customer.
2. Use Complaints to Improve and Satisfy Your Clients
The main reason clients opt to cancel or not renew contracts with a security business is because they were not satisfied with the service.
In most cases, your clients will address the issues they have with your home security business. Asa wise business person, complaints should give you ideas on:
• What you need to improve on
• What your service is lacking
• Changes you need to make
• What a client expects from you
All the above are essential points that a client needs addresses for them to feel content with working with you.
However, some clients will not bother to let you know that they are not pleased with your service, so you have to be proactive.
Don’t wait for the client to tell you about their issues or worse, cancel your contract. Make a point of regularly asking them for their views of your services. This shows them that you value their opinion and insight and not just their money.
Additionally, it lets them know you are willing to take the necessary measures required for your clients.
Remember, in business chivalry may be dead but courtesy is still a virtue.
3. Reward Customer Loyalty
How do you treat the clients who have stuck with you for the longest? If you treat them all the same, then you are not showing your appreciation for their loyalty to your home security business.
According to customer loyalty statistics, 65% of a company’s business comes from already existing clients. Additionally, 80% of clients are willing to pay more for a product or service provided the customer experience is better.
Having a customer loyalty program not only ensures you retain your existing clients, but it will also improve their customer experience. Word of mouth is also a great marketing tool. If consumers are willing to spend more where they feel appreciated, then it should also bring in new business.
What are some of the best client loyalty reward programs you should implement in your home security business? Examples of customer loyalty programs applicable in the security business include:
• A simple appreciation text, email or card recognizing a customer’s loyalty
• A small discount on their fees
• Free gifts such as a t-shirt, jumper, jacket with the company logo
• Special offers on new products and services
Remember, the point here is to show appreciation and respect for their loyalty.
4. Engage with Your Clients
Though you provide home security services for your clients, this doesn’t mean you should not get to know them on a personal basis. Humans are social creatures; as a result, we tend to stick to our social circles, including businesses we trust and relate with.
Do not treat your clients like numbers on a file or entities that you work for. Train your personnel on how to interact with the clients they serve to the point they can get considered as friends.
This gives clients a social incentive to continue utilizing your services. Social incentives are the most straightforward form of customer retention marketing because all you need to do is respectively get to know your customer.
It is advisable to start by conducting follow-ups regarding services or products they procure from you. Let them know you value their feedback. Then from there, you can initiate further conversation, but remember to remain as professional as possible.
5. Keep Your Promises
When your clients provide you with feedback or advice on how to better cater to their needs, you often make a promise of implementing the required measures. Hence, always ensure you have kept your promises to clients as promptly as possible.
No one likes having to remind someone of a promise they made continuously. If you are unable to fulfill the obligations in time, inform your clients that you are still working on it. Don’t have them call you to inquire if you still remember your promises.
The key to retaining your customers lies in providing your clients with the best experience possible. This involves handling any issues they have with your home security service as soon as possible.
Additionally, when you implement something new that they requested for, inform them about it and make sure to thank them for their feedback. If a client feels valued and respected, they are bound to keep doing business with you.
Customer Retention Strategies for Security Alarm Businesses
You can improve your customer retention rate by implementing the five customer retention strategies elaborated in this article. However, it is essential to note that losing customers is normal for any business. Nonetheless, it is up to your customer retention marketing strategies to minimize the loss of loyal customers.
Are you in need of more tips regarding home security and security alarm systems? Explore some of our other blog posts.