An unprecedented situation such as the one we’re navigating right now in Sri Lanka is sure to change consumer buying habits. As more people find themselves being impacted financially, they may begin to rethink their expenses and adjust their budgets. In addition to affecting purchasing power, a crisis changes buyer perceptions on what money should be spent on. What was once a luxury splurge might now seem like a waste of money. On the opposite end, a frugal purchase might now become an economic investment.
So then, how can you ensure that you continue to build and retain a loyal customer base in the current crisis? Here are a few ways that just might work.
Know their needs and cater to them with new products and ideas to meet demand.
In a crisis like this economic meltdown, businesses are finding new ways to stay relevant with the main products they offer as they also pivot to those that serve great public interest. If pivoting isn’t an option, it might be time to look at launching some new products that meet your customers’ current needs.
While larger businesses rely on customer data, research and development and market research to come up with new products, you might not have these resources at your disposal. Therefore turn to your social media accounts to see what your followers are saying. Look for product requests. You can even conduct some subtle research of your own with questions in Instagram stories and poll stickers. Now’s the perfect time to build an active audience, as so many people are home day after day on their digital screens.
Offer discounts, incentives and subscriptions for return customers to keep them loyal.
These age-old practices work in favor of brick-and-mortar retail models, and they can be applied to your company as well. Offering discounts and incentive programs can draw traffic to your business and come in more forms than a percentage off or bonus points. Free shipping and free samples are two other ways to incentivize customers.
The bigger trend is building customer bases in e-commerce all around the world. More companies are beginning to tap into subscriptions as an automatic reordering feature. “Subscribe and save money.” If customers feel that your product is one that they will purchase again, signing up for a subscription saves them time and hassle from reordering. It also saves them money in the long run when they see their membership gives them a discounted price.
Let customers know that you actually care
Let people know that your company also experiences challenges together with customers. This helps them to relate to you and your business. Sharing unobtrusive, non-salesy, cheerful, and useful content on social media and a corporate blog could be a way to stay-close to your customers. Your business could also look to be helpful and build trust with customers. Empathize in your messaging, remind customers to keep safe, update them on news and ways in which to adapt to the current situation.
You can also share real-life stories on how your team and customers are adapting to the situation collaboratively. Interviews with customers, social re-posts, and incorporating user-generated content may be helpful. Content is a powerful medium for communicating and empathizing with your audience. And yes, it brings long-term results in terms of conversions and brand popularity.
The advantages of customer loyalty are more pronounced in an economic downturn. Loyal customers cost less to serve. They typically concentrate more spending with companies they trust, and their referrals to friends can lay the foundation for growth when the economy rebounds.