A strong brand is one that has worked hard to develop loyal customers and has a good level of customer retention. So, if you’re wanting to grow your business, increasing your customer loyalty is a good place to start! One of the most effective ways of achieving this is through customer engagement.

Your customers are far more likely to keep returning to your brand if they interact with you on a regular basis. Over time these customers are likely to develop a sense of loyalty towards your brand.

What is customer engagement

Customer engagement is all about encouraging your customers to interact and share in the experiences you create for them as a business. When carried out properly, good customer engagement can lead to increased customer loyalty and can help to grow your brand.

The value of customer engagement

Customer engagement is pretty much the route to every important business objective. It’s the pathway to almost everything a business wants to achieve, whether it’s customer loyalty, customer purchases, increased profits or turning your customers into brand ambassadors.

When you engage your customers, you bring them closer to your brand and business. This is when you start to reap the benefits.

Benefits of good customer engagement

There are many benefits of increasing your customer engagement, below are just a few of the ways in which it can help your business.

  • 1

    It increases customer loyalty

    It’s no secret that engaged customers spend much more time and money with their favourite brand than disengaged customers do. When businesses offer something valuable to their customers, those customers are much more likely to develop a sense of loyalty towards the business and brand.

    Increasing customer engagement can lead to a significant increase in retention rates. In fact, customers with the strongest customer engagement strategies retain an average of 89% of their customers, compared to just 33% for businesses with weak customer engagement.

  • 2

    It leads to better customer service

    If you have a habit and a history of customer engagement, you’re far more likely to provide better customer service.

    There’s no denying the fact that consumers are far more likely to stick around, and even tell their friends when they have a good customer service experience. Part of that experience is being accessible online. Research has found that 80% of consumers use digital devices to make a connection with customer service. Therefore, having good customer engagement on social media can significantly improve your customer service.

    Plus, 71% of consumers say they have ended a relationship with a brand due to poor customer service. So, if you want to provide a level of customer service that has your consumers raving about your responsiveness, improving your customer engagement is a great place to start.

  • 3

    Helps to humanise your brand

    Customer engagement can also help to humanise your brand, this is important since customers are more likely to buy from brands that they can identify with. By humanising your brand in a way that reflects your customers and their values, you’ll be able to turn your customers into loyal ones.

    Therefore, your customer engagement efforts should include a plan for identifying and sharing your brand values so that consumers feel as though they are part of something.

Ways of improving customer engagement

So now that you understand the importance of customer engagement, you may be wondering how you should go about improving your interaction with your customers. Well below are some of the most effective customer engagement strategies that you can implement.

  • 1

    Add some individuality to your brand

    One effective way of getting your customers to interact and engage with your brand more is through adding some personality and individuality to your brand. Your customers are far more likely to want to engage with brands that have a personality over those that appear robotic and emotionless.

    Showing the personality of your brand will make customers feel as though they are talking to an actual human. This makes it much easier and more enjoyable for your customers to engage with your business.

  • 2

    Make your communications more personalised

    Personalisation is a key aspect of most successful business strategies. If you’re looking to increase your customer engagement, a good place to start is personalising your communications with customers. This can be an incredibly effective strategy, in fact, research has found that 83% of retailers who have a budget dedicated for personalisation were able to exceed their revenue goals.

    By personalising your communications with your customers, your conversations will be much more relevant to them. This increases the chances of your customers listening to what you’re saying and engaging with your brand.

  • 3

    Set up a loyalty program

    Finally, customers are way more likely to engage with your brand if you reward them. These rewards could come in the form of freebies, discounts or coupons. Rewards will significantly boost your customer engagement strategy efforts, as your customers will be more keen to interact with you when they’re getting something in return.

Customer engagement is undoubtedly a key component of creating brand loyalty. Find out how PERX can help your business to engage your customer base through our white label rewards platform. Simply fill in the form below to enquire and book a demo.

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