Top 5 Reasons Why Customers Leave

When you ask a customer who is ending service with you why they are leaving, they may give a variety of excuses. The most common are money and time. However, those may not be the real reasons. When you get to the heart of the matter, statistics tell us these are the top reasons why customers leave:

  1. They BELIEVE the business doesn’t care. (68%)why customers leave
  2. They are dissatisfied with the service. (14%)
  3. They are persuaded to go with the competition. (9%)
  4. They get a friend to provide the service. (5%)
  5. They move away. (3%)

Change why customers leave your business:

If you could do one thing that would make the biggest impact on client retention in your business, it would be to appreciate your customers. Let them know how much you care about them. You can do this through customer appreciation events, annual gifts, thank you notes, or simply expressing your appreciation to them. If you make sure they know you care, that takes care of the first reason.

Interestingly enough, it will also make a dent in the other reasons. Customer service issues are less likely to be the reason why customers leave if they feel taken care of by the business. When customers feel appreciated, they are more likely to be forgiving of service issues, as long as they are dealt with correctly.

When customers feel appreciated, they become more loyal. Loyal customers can’t be persuaded to go to the competition. They may not even be willing to go to a friend if they are already loyal to your business. I have a friend who is in a direct sales company just to get the discount. She offers that discount to all her friends. She’s not in it to make money. Even with the promise of that kind of deal, I will buy the same product at a higher price from someone else because I am loyal to her.

If your customers move away and you are a hands on service provider, there may be little you can do. If you keep 96% more of your customers, it won’t hurt your business to lose that 3%. Imagine the difference that would make to your business.

How do you make sure it happens?

Knowing the facts is the first step, but now you must do something about them. Creating a relationship marketing plan with ensure you build relationships with your customers and let them know you care. If you’ve got ideas in your head and good intentions, that isn’t enough to change the problem. You probably don’t have time to create a relationship marketing plan on your own. Go here to see how I can help. In one day we can have your relationship marketing plan fleshed out and ready to implement.

How would your business be different at the end of 2018 if you added this one piece to your business? Share your thoughts below.

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