In this hyper-competitive era, every company wants a long-term association with its current customers so that nothing can affect the business’s profitability. BPO firms always get approached when it comes to rendering the best services to customers.
Companies don’t want to lose their loyal customers who make repeat purchases, spread positive feedback, etc. But sometimes organizations make some silly mistakes that not only make a dent in business’s reputation but also lead to a high customer churn rate.
For those who aren’t aware of, customer churn simply means when existing customers stop doing business with a firm. It is also known as customer attrition, turnover, or defection.
To calculate customer churn rate, divide the number of customers that you lost at the end of the period by the total number of customers that you started with. Customer attrition rate is inversely proportional to the retention rate.
Customer churn rate is nothing less than a headache for any organization in the UK because it affects customer’s lifetime value and that results in a poor business’s growth.
Have a look at the following tips that will help all the business owners to keep the customer churn rate in check:
Being a company owner, you should already know that existing customers have always been one of the most important parts of the UK business. But sometimes companies try to oversell products and services, which, in turn, leads to a higher churn rate.
The situation turns from bad to worse when customers get unnecessary automated emails related to products or services on the regular basis.
On the contrary, opting for UK call center outsourcing services is the best way to keep customer churn rate in check. Because BPO firms always monitor customer’s habits and purchase decisions properly during the customer lifecycle.
This not only helps the sales team during the marketing of products or services but also ensures a better CSAT score.
No one can deny the fact that business owners are always supposed to handle their customers with care. But there are many companies that run in-house call centers in the UK without proper resources, which, in turn, leads to a higher customer churn rate.
On the other hand, multinational companies always enjoy high-profit levels after joining hands with a reputed BPO firm regarding call centre outsourcing services UK. The main reason behind this is BPO firms always invest in the latest tech, tools, etc. to enhance the customer’s experience.
That’s why company’s owners have always been advised to approach professionals to cater to customer’s needs.
Of course, there is no doubt that employees always play a crucial role in order to make business more successful. But customers cannot be ignored because they are also an important part of the business.
Therefore, it is very important for the company’s owners to celebrate their success with customers too. To ensure a long-term association with loyal customers, many organizations give gifts, handwritten notes, etc. so that nothing leads to customer attrition rate.
Ask for feedback
To ensure a high retention rate, it is very important for the companies to collect customer’s feedbacks. Because it is the best & reliable way to keep the customer attrition rate in check and deliver personalized customer service.
From small companies to multinationals in the UK, everyone is making contact with BPO firms to get reliable customer’s feedbacks. Usually, companies put their focus on negative reviews to rectify the errors for improving the quality of products or services.
There are some companies that only put their focus on new customers while running the marketing campaigns. This fact leads to the hassle of a high customer churn rate because somewhere current customers feel disrespected. Moreover, this not only ensures a poor CSAT score but also affects the business’s bottom line.
On the other hand, if UK companies target both potential and existing customers while promoting their new products or services, this will surely increase the business’s profitability. It would be beneficial if organizations opt for call center outsourcing services the UK because these can surely help in reducing the customer churn rate.
It is true that new customers are very important from the business point of view. But sometimes companies make false promises as they want to add prospects to the current customer’s list by hook or by crook. This leads to a high customer attrition rate.
The main reason behind this is whenever companies let their potential customers down, the latter post negative comments on social media or any other web platform. This not only ruins the brand’s value but also gives the reason to current customers to switch to another company.