Is customer retention a benefit of relationship marketing? Yes. It is. Customer retention means allowing your customers to build an emotional connection with you so that they remain your clients or customers over the long-term.
This emotional connection does not happen automatically. It has to be nurtured by the business. Relationship marketing is a strategy that builds on events and experiences. It takes more time than transactional sales.
Because the results are not instant, many business owners believe that relationship marketing is not worth the effort. The ROI appears to take too long to produce results.
Why Customer Retention is a Benefit of Relationship Marketing
The belief that relationship marketing is not worth the effort is faulty thinking. More than at any time in the 21st century, companies, large and small, are recognizing the value of what made small businesses so successful in earlier times.
These small businesses cultivated strong relationships with their customers. They got to know them personally and discovered what their needs were. They were also willing to ensure that they delivered a high level of customer satisfaction and create an amazing customer experience. They were willing to go the extra mile.
The interesting thing is that this was the norm for small businesses before the advent of technology.
These and other points were discussed in an interview I did on the topic: Relationship Marketing: Focus on Relationships and the Money Will Follow for Otaga Radio Station, New Zealand.
I invite you to click on the link to be taken to the podcast recording of the call. Please come back and share in the comments how you feel that relationship marketing has evolved over the years and how you apply it in your business.