Renewals, repurchases or reorders–whatever you call them in your business–are a key component of growth. And, every single customer touch point can affect your retention rate.
Recently I flew across country on a no-frills airline. In the online sales process, if you want a carry-on, you pay a fee. If you want to check a bag, you pay a fee. If you want an assigned seat, you pay a fee. Expectations are set. But, my non-stop flight from Los Angeles to a remote Midwestern city was only $250 so I do not mind the nickel-and-dime sales process. When I was checking in for my flight to return to Los Angeles, I was asked to place my carry-on bag in the bag sizer to ensure it did not exceed the maximum dimensions. No problem. Where this airline went terribly wrong was when the gate attendant asked two young women to put their duffle bag into the bag sizer before boarding the airplane. The gate attendant who collected their tickets asked (very loudly, I might add) the airline employee who stood over the two women as they struggled to get their bag into the sizer if indeed the bag fit. It was a very public, unfriendly, embarrassing event for the passengers. Because they were right behind me, I saw everything and overheard them say they would never fly the airline again.
In my email inbox the day after I returned home, I received a thank you for flying the airline email. Can you imagine the two women’s reaction when they received the same email? Customer communications are key to retention but so is the sales process and every other customer touch point.
It is essential to have the appropriate evaluation tools in place to monitor when customers leave and why. Ask customers about their experience at every touch point from the buying process to the experience. If you improve the process, you might also just improve your retention rate and increase sales.