Surveys have shown that there are 5 key reasons customers leave:
You cannot do anything about the first 2 reasons, but you can have a positive impact on 96% of the customers who may leave in the next year!
Here are 9 things to consider doing to reduce the number of customers who leave:
Here is what to do if a customer leaves:
Customers are your greatest assets, and it hurts to lose them, but you cannot win by making it hard or expensive to leave. Be clear about your cancellation, refund and money-back policy from the beginning, letting your customers know if there are any cancellation fees or other charges. Make any information about cancellation easily found on your website. Treat your customers time as valuable.
Treat a customer who leaves just as you would if they stayed – respect their decision. Always communicate positively with them. Your reputation depends on it (and it is the first step to winning them back!).
Most customers who leave do not bother to let you know. They just start using a competitor. So it is important to follow up and find out why they left – then you can make changes to your business.
Once you know why they are leaving, try to offer something that fixes the problem. Some will change their mind. Even if they do not, your attitude will make a huge difference to how they feel about your business.
We all want to feel appreciated. Saying “Thank you for your business” does not take much effort but it will show you are grateful they were a customer and that they gave you valuable feedback.
You have a much better chance of winning business from lost customers than from new prospects… the average firm has a 60 to 70 percent probability of successfully selling again to “active” customers, a 20 to 40 percent probability of successfully selling to lost customers, and only a 5 to 20 percent probability of making a successful sale to prospects.
Make it easy for former customers to come back. Tell them you are sorry about their decision, but you can understand it and will be happy to serve them again in the future.
If you have an accountant, they should be your first stop for business advice. If you don’t have an accountant or they can’t help, BuBul has a wide range of experts available. For more business advice why not follow BuBul on LinkedIn?