Why is customer contact information crucial to businesses? There are several reasons that SMB’s should be gathering information from each and every customer who they service. The top of the list is customer retention. We all know that winning a new customer is 5x more expensive than retaining a current one, so shouldn’t our focus be on customer retention? The answer is, simply, yes.

First thing’s first, what contact information should you be gathering from your customers?

  • First & Last Name
  • Email Address
  • Phone Number
  • Services/Products Purchased
  • Date(s) of Transaction(s)

Why is this information so crucial to your business’ growth and success? Here are the top reasons:

No Engagement = No Loyalty

The truth is, is you’re not regularly engaging with your customers, you’re handing them right over to your competitors. When you engage with your customers, you are working to create loyal, lifelong customers who you can trust to come back time and time again. Your customers are relying on you to be the expert and they would appreciate engagements from your business that comes as messages with helpful tips pertaining to your industry. By engaging with your customers, you are reminding them about your business and the positive experience they had with you, so they’re more likely to choose you again. Building that relationship with your customers is what makes them loyal to your business. Remember, no engagement = no loyalty when it comes to your customers.

Upselling Opportunities

Have you recently come out with a new product or service? Do you think some of your past customers could benefit from your new business updates? If you don’t have their information, you won’t be able to reach them and you’ll miss out on those upselling opportunities. When you have record of what products or services your customers have purchased from you in the past, you have the key to upselling right there in your hands. Let’s say you have a customer who purchased a one-time house cleaning service from you last month. Why not reach out to remind them it’s time for that deep-cleaning again? If you had a customer who had you over to tune-up their A/C last year, it’s the perfect time to remind them to schedule an appointment again. Upselling is easy when your lines of communication are open with your customers.

Improve Current Products and Processes

The best feedback you can receive about your business comes from people who have been customers of yours. If you’re looking to improve something(s) about your business, why not show your customers that you’re trying to make things better for them, by asking for their suggestions? This will help your business when it comes to new customers, as well, because you’ll have already learned from others who have worked with you. Sending out a simple email campaign with a brief survey about your customers’ experience with you shows them that you value their opinion and that you’re constantly working to improve your business to benefit them and their needs.

There’s really no harm in gathering customer contact information when you’re working with someone. Most businesses ask for contact information now, and customers are more willing than you think to share it with you. Don’t be afraid to ask your customer how you can contact them or where you can send their receipt, and then store that data. Once you start engaging with your customers regularly and in a meaningful way, your customer retention game will be very strong!

For more insights on marketing strategy that actually works for small business, subscribe to the FreshLime Newsletter here. Connect with Jay Bean, Founder of FreshLime and Small Business Marketing Expert on LinkedIn and Twitter. And last of all, if any of these tips have helped you or if you have anything to add please comment below. We’d love to hear from you!

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