Effective Ways to Enhance Customer Loyalty through Logistic Strategies
Customer loyalty had emerged to be an important concept in today’s world. Almost every business is convinced with the idea of enhancing customer loyalty as it promises better brand recognition, repeat business, higher customer satisfaction, and improved revenues.
If a study is to be believed, 80 percent of the revenue that your company will generate will come from just 20 percent of your existing customers.
Thus, it makes sense as to why you must leave no stone unturned to enhance customer loyalty, and one easy way to do this is by improving your logistics strategies. In fact, 55 percent of your customers who have had a bad shipping experience will never order from the concerned ecommerce store again.
Here are a few ways through which you can boost customer loyalty by strategizing your logistics well. Let’s have a look.
Preparation is important
The first step to streamlining your logistics chain is by choosing the reliable suppliers and managing your inventory properly. If you don’t have the items that you are advertising on your eCommerce store in your inventory, the chances are high that you will end up disappointing your customers.
The best bet here is to track supply and demand. Additionally, use data analytics to make accurate forecasts and calculate safety stocks beforehand to avoid any unforeseen events.
You can also choose to implement a live-stock counter on your store. Thus, whenever a product is expected to run out, the shoppers will know that the product is available in limited quantities. This will prevent unexpected disappointment.
Invest in an information management system
Having a customized information management system that could take care of various aspects of your ecommerce business – supply chain management, inventory management, warehouse management, and the like – is important.
If getting an information management system is out of your budget, it is highly recommended to invest in a robust warehouse/stock management software tool. It will provide you with more visibility over your varied products and will help you in making educated business decisions.
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- 12 Killer eCommerce Marketing Strategies
Keep it transparent
Providing transparency to the customers is no more a choice, but a necessity. As more and more ecommerce stores have emerged in the market, the competition is really tough, and the only way through which you can outshine your competitors is by being 100 percent transparent to your customers.
Your customers will likely compare the prices at two or more ecommerce stores and go with the one which suits them the most. Thus, it is highly recommended to provide a complete clarity of the exact price of the order – shipping charges, tax, and the like before they enter payment details.
You can even go a step further, and provide other relevant details like varied shipping options, expected date of delivery, return conditions and so on. This will make way for a smooth checkout, and will also enhance your conversion rate.
Offer varied shipping options
All customers are different, and thus there is a no-one-fit standard solution for all. While some customers might prefer to wait for four to five days if this saves them a few bucks, other customers might be willing to spend a bit extra to get the product delivered within a day or so.
As a versatile ecommerce store, it is the need of the hour that you cater to both types of customers flawlessly. It is highly recommended to offer different shipping options – like express delivery for the impatient customers, and standard delivery to the ones who can wait.
You can also choose to provide an option of click and collect, or in-store pickup. Offering a try-and-buy option is another great way to boost your conversions.
Add to that, to further lure your customers, providing an option of free shipping works greatly. According to a study, 91% of customers tend to leave when shipping isn’t fast enough or is not free. While 79% customers prefer shipping to be free even if it is not fast enough.
Surprise them sweetly
You will agree with us that customer loyalty is not built overnight. You need to work on it and surprise your customers, time and again, of course, sweetly.
So this customer just purchased from your store for the first time? How about delivering their order quickly, while also offering them a discount coupon for the next purchase? Your customer will surely love the gesture, and keep on returning for more.
Alternatively, you can also include a hand-written thank you note with the order and mail them free gifts like stickers, samples, and so on.
The bottom line here is to make the most out of every opportunity that comes your way and surprise your customers with outstanding service.
Streamline the return process
Returns are disappointing, but they should not be disappointing for your customer. It is highly recommended to streamline your return process such that your customer should be able to return the product if they are not satisfied with your product.
A study revealed that 92% of consumers will buy something again if the return process offered by the company is easy to follow.
The first step to refine the whole process is by mentioning the returns eligibility next to each product. Further, be as descriptive and detailed as possible about all the products. This will reduce the return rate.
Additionally, it is highly recommended to lay down an effective return policy in black and white to boost transparency.
Your Turn
Undoubtedly, boosting customer loyalty is a broad concept and can’t be achieved just a day or two. However, your logistics could play an important rolein the whole process. Thus, make the best out of your logistics strategies, and make your customers stick with you till the end!
