UX/UI Strategies for Better Customer Retention & Customer Retention Examples
Table of Contents
Table of Contents
Businesses can have a significant benefit of selling to existing customers. Targeting new buyers is also important for your brand’s growth. However, by nurturing existing relationships, your business can achieve better results in building brand loyalty. There is a 60%-70% likelihood that existing customers will buy from you. The number is impressively high compared to 5%-20% chances of selling to new clients. As a growing number of brands go digital, their websites become the primary contact driving both leads and sales. Thus, the user experience from your website has a direct effect on customer retention. How are UX and customer relations related? Let’s find it out and check examples of several world-known brands that have understood the importance of retaining customers through design UX.
What is customer retention?
Customer retention is a marketing strategy focused on keeping the existing customers interested and involved in the brand. These are clients who will return to the business after making their initial purchase. Customer retention is a vital element of the complete customer lifecycle, which brings buyers back to the sales funnel after they’ve completed one or more purchases.
Why is customer retention relevant?
When it comes to the discussion of the importance of customer retention for a brand, numbers speak louder than words:
- A brand is 50%-60% more likely to sell to a repeat customer than a 5%-20% likelihood of attaining a new buyer.
- Loyal customers are 50% more likely to buy a new product released by a brand.
- Existing customers are 30% more likely to spend more on their average order than new buyers.
- Retaining a customer costs five times less than acquiring a new one.
- Brands are 70% more likely to sell to buyers recommended by loyal customers.
Customer retention has indisputable importance for brands. Whether it’s a small company or a well-established corporation, understanding the key customer retention strategies and implementing the best practices can help them significantly improve customer retention rates.
One way of retaining and nurturing existing customers is by providing a good UX/UI so that your clients get value from your official web resource. If a person had a good experience dealing with your brand and the UX/UI of your site is on the high level, it’s very likely users will come back for making further orders, which should increase the conversion rates on your site.
Besides, companies providing customer support services in chat or on the phone spend a lot of time assisting customers struggling with insufficient information and poor UX designs on websites. Thus, the UX/UI improvements can bring more than just making a website more visually pleasing. It can significantly reduce the number of chats and phone calls to the customer support department and let your staff focus on assisting buyers who are about to buy something from your company.
Customer retention and UX/UI are interrelated and unsplittable. To improve your site’s sale rates, begin with retaining customers through design UX. After improving your site’s UX and UI, you will have higher conversions soon. How can you increase customer retention with UX/UI?
5 customer retention strategies with website UX/UI involved
Improve website navigation
Making your website navigation clear is one of the most important aspects influencing your site’s usability. Creating a dynamic website with clear pathways lets customers easily find the route from one section of your site to another. It lets them reach the needed content much easier and faster.
It lets you improve your website UX. By making it easier for your customers to find the needed content, you prompt users to spend more time on your site and finish the browsing session with a conversion.
Keeping your main menu simple
Don’t try to outsmart yourself when working on your site’s main menu. Keeping it simple is the best way to deliver better UX. Put the maximum of five or six options there. Use simple language as you give names to the menu elements. For example, call it a Shop if that’s an e-commerce section integrated into your site. Here is a good example of a simple main menu structure.
Reveal related content
This customer retention strategy mainly relates to blogs, online magazines, portfolios, and other media and content websites. When a user lands on any page of your blogs, it would be a wise decision to make them stay on your website for longer as they see a list of related content. Normally presented in the form of clickable thumbnails, such elements encourage users to click an icon and discover more during the same browsing session on your site.
Create high-quality content
Content is still a king. By posting high-quality content on your site, you encourage customers to keep coming back to your web page for further reading. There are different types and forms of content that you may share with your readers. It shouldn’t necessarily be a blog post. If you want to be more creative, you may share infographics, photo galleries, and interactive portfolios. Whatever way you choose to go, keep your content consistent with the topics of your site. For example, if it’s a telecom company, it would be relevant to share tips on cutting on connectivity bills or traveling safely with a smartphone.
You position yourself and your company as an authority in your field by providing quality content. It increases the likelihood that customers will remain loyal to your brand and won’t leave for competitors’ websites.
Adding value with relevant links
Since we have already touched upon the topic of content creation, let’s discuss the value of adding valuable links to the body of your content. Whatever topic you highlight on your site, you can always add backlinks guiding users to reputable websites. By doing so, you can provide your readers with more information about the discussed topic and improve your site’s domain authority. Using internal shouldn’t be neglected either. Whether internal or external links you use in your content, it’s vital to ensure they are relevant to your content and are placed organically in the body of your text. To deliver better UX, ensure no broken links on your site.
Keep it mobile-friendly
The last but not least important customer retention strategy is to optimize your website for mobile devices. By keeping your site mobile-friendly, you can attract new and retain loyal customers. It’s also vital to keep a close eye on your site loading speeds. Mobile users expect web pages to load in two-three seconds. Sites that take longer to load have higher bounce rates and lower positions in search results. Use Google’s Test My Site service to check your site’s loading speeds on different devices.
Customer retention examples
With that said, now let’s consider several successful customer retention examples of the world’s largest companies that have proven they know how to do it right.
Walmart is the world’s largest company by revenue. The brand’s success cannot be explained solely by the low prices. The company has managed to create customer retention by implementing the following innovations on its website and app:
- The transformations of the Walmart Pay app resulted in a 80% increase in transactions through the app;
- The company enhanced the check-out through the implementation of the Scan & Go feature;
- The in-app users are also provided with selections of customized deals, which have made up 70% of the company’s Black Friday revenue.
Apple seems to be the best example of brands using customer retention strategies to the fullest. The company is no longer just a provider of smartphones, watches, laptops, and other tech gear. It’s a brand that most influencers and celebrities are using. Besides the unparalleled quality of the products and services delivered by the company, that’s the way they treat their customers that makes Apple stand out from the competition. The company’s products are designed around delivering exceptional minimalistic displays and the Genius Bar. When you use the company’s products, you do not have any slight doubt that every dollar you’ve paid is worth the experience you get when interacting with the company.
The company’s success is based on understanding what, how, why, and where customers want their products. They’ve launched a digital Consumer Engagement Center as a versatile place for managing their brand’s online and offline data. The main concept standing behind it is based on social listening and analytics, namely:
- Managing Nestlé’s online communities;
- Analyzing customer experiences, data and behavior;
- Using collected data to interact with customers through targeted messages.
This way, the company can better understand their customers and improve their products.
Recent surveys show it takes five times more time and effort for brands to acquire new customers than retain the existing ones. The global digitalization and shift to the online world let companies retain clients through their websites’ UX/UI improvements. Once a brand identifies the weak points of its site and decides on the sections that should be improved, it can create customer retention and user satisfaction as a whole.