A one-off sale is good for business, but repeat sales are even better. And, where do repeat sales come from? They come from loyal customers regardless of the type of business. Repeat sales build a strong foundation for a business allowing it to increase in size each year. Since there will always be a certain percentage of customers who do not repeat their buying experience for a variety of reasons, businesses must continue to market to new customers. Long-term business growth is a combination of loyal, returning customers making repeat purchases in addition to new, one-off sales.
Building a Foundation
A business does not automatically attract loyal customers. They must be nurtured to gain confidence and trust in a business. A business must study its customer base in order to fully understand its level of satisfaction, thus, allowing the business to predict the likelihood of customers repeating a purchase. Once this is understood, then a business can use the information gained to build upon its foundation month after month and year after year.
When customers are satisfied with their purchases and the business, they are likely to reward the business with continued loyalty rather than contemplating making a future purchase with a competing business.
Customer satisfaction can be gauged or measured by determining:
Do Customers Trust Your Business?
Whether B2B (business-to-business) or B2C (business-to-consumer), the purchaser wants to do business with an entity it trusts. When a business builds trust with customers in its products, services, and the company as an entity, customers have no reason to switch to a rival business. As long as a business is trustworthy, keeps promises, and stands behind what it sells, then sales increase.
Do Customers Think Highly of Your Business?
In other words, do customers think you have their best interests in mind, or do they think your business only wants to make a sale? Gaining a positive and favorable reputation with customers takes time but can be destroyed in an instant if customers feel as though you (the business) are more important than they are (the customer). With online reviews that can spread lightning fast on the Internet, businesses must always strive to gain the confidence and respect of customers while at the same time showing appreciation for purchases and loyalty. Customers never get tired of knowing how much they are appreciated and, in turn, reward businesses with repeat purchases.
Do Customers Perceive Your Products or Services to be Top Quality?
Normally, any marketplace has a multitude of businesses competing for the same dollar. Therefore, purchasers will seek the best value for money spent on products or services that fulfill their specific needs and want the highest quality when a purchase is made. Since perception is the reality in the marketplace, businesses must ensure that purchasers see and understand both the value and quality of a purchase. Lowering the quality or perceived value can have detrimental effects on sales; consequently, businesses must strive to achieve top quality in every sale to every customer. Perception matters.
Do Customers Understand Your Value Proposition?
You should be able to adequately explain to your customers the benefits they receive from purchasing your products or services rather than purchasing from your competition. It is critical for customers to understand what they are purchasing, promises from the company, delivery dates, etc. Communication must be clear and concise.
Now, Are Your Customers Satisfied?
If you think your customers would answer all of the above questions with a “yes,” then you probably have satisfied customers that equate to loyal customers. Obviously, ranking high on the customer satisfaction scale is not just one employee’s responsibility, it is a team effort with the goal to treat customers with respect and ensure their utmost satisfaction as much as possible. When this goal is achieved, one-off sales become repeat sales…repeat sales grow a business!
