Businesses attribute the growth to sales, and for businesses to continuously grow, they need a constant supply of clients and leads. This is easier said than done since clients now have the attention span of a few seconds.
By generating new clients, they have the potential to increase their revenue and to expand their reach at the same time. But is generating leads the only way to increase revenue?
The success rate of selling to a new client is about 5 to 20%, but the success rate of selling to existing customers, It’s about 60 to 70%.
Selling to new clients may also mean more expenses as opposed to retaining old ones. A business is able to do well by developing good relationships with their clients and keeping them away from their competitors. But this is not a step given their competitors are doing the exact same thing.
Why Businesses Should Care About Their Current Customers?
It would be stupid for any business to turn a blind eye at current and repeating customers. They are the best sources of new revenue, even if they’ve been buying the same product or availing of the same service for years.
But here’s why businesses should take care of their current customer:
1. Increased conversion rates because the client is already willing to buy from them.
2. Less marketing efforts because there’s no need to do the sales pitch to convince them to buy or avail.
3. Current customers give better feedback for products and services than new customers.
4. It’s easier to cross-sell to existing customers because they already know the business.
5. Profits are raised because customers are now eager to keep coming back to purchase or avail.
6. Reduced marketing costs allow businesses to refocus their efforts on providing better products and service. And this, in turn, goes back to point #1.
Businesses in the retail industry should know better than anyone the importance of client retention in an ever-growing and volatile industry.
The Internet Infrastructure and Localization
How does the Internet play a role in boosting a business ability to retain clients?
It’s easy. Global brands are connected to millions of people around the world all thanks to the Internet, but a big challenge that remains to be overcome is language and culture.
This is where localization comes in.
The need for a global brand to reach out to a broader audience increases in order to generate and retain customers from different countries.
How Does Localization Help Increase Client Retention?
Localization does a big part in increasing business client retention because it provides them with access to a potential goldmine of customers from different sources.
Technology-driven businesses are able to adapt faster and gain better traction because they’re more efficient and accessible. And having something as simple as a website can make the difference between success and failure.
Why Should Business Owners Localize Content?
The Smartphone App Market Is Growing
People are using their smartphones more and more, and more businesses are developing their own apps to reach out to their clients who prefer apps over sites.
A recent study done by Pew Research Center shows that smartphone usage in developing nations is rising at an extraordinary rate, which means that demands for mobile apps continue to grow in non-English speaking nations.
One good example is India, with access to 353 million users and about 36% of that preferring local language use.
South Korea and Japan are also good examples as both surpassed the USA in app downloads. Latin America, Eastern Europe, Africa and China are also considered potential markets when it comes to locale-specific apps.
Improved Retention and Loyalty
Any digital application is rated by its user experience, and positive experiences yield repeated usage.
Consistent user experience fosters loyalty amongst customers and will, in turn, lead to repeat sales. Because customers now have easy access to businesses, they are also able to provide better feedback to enhance their user experience.
Data-Driven Content Is Key To Success
Localization gives business owners access to certain metrics that brick-and-mortar stores aren’t privy to. But to generate the data needed, business owners need to have a guide to localization that allows them to set things up with ease.
An effective business is able to develop smart strategies thanks to the metrics generated by websites and social media.
For example, an international retail store is able to optimize its inventory by being able to identify the products that are selling better than the others. This allows them to streamline their restocking and inventory processes for different countries.
Content is also efficiently delivered because of the available data, so customers are presented with what they want to see. Targeting customers through localized content gets better insights into customer responses and feedback.
This is obviously more confusing and more complicated as the business grows, but it’s still manageable thanks to available user data.