You have done a great job in identifying a service you want to offer as a freelancer or a product niche you want to sell on your e-commerce website. The most important step after figuring out your service line is to make your first sale.
One of the attributing highlights of a successful business is not only the ability to make a sale but retain the customer for further selling.
Harvard Business School has found that a 5 percent increase in customer retention, results in higher profitability by 25 to 95 percent. This is the reason why profitable business focuses on the areas where customers are highly likely to come back and make a purchase.
For profitability, irrespective of your product line or service, client retention is very important for a successful business. This is why websites have an opt-in subscription box. By adopting this strategy, a business can offer new products or services by taking the email address of the visitors on the website.
A loyal customer is always a blessing. They have already experienced your service and feel comfortable coming back to you for further purchases. The Formula is simple, selling first time to a new client is always difficult. To a new customer, you have to convince them why should they buy from you. The scenario is completely different for client retention, the preliminary hassle of establishing a client relationship is taken away. Instead, you need to focus on customer service and update your clients about new offers so they can come back to you and use your services again.
If you want to become successful in business, focus on customer satisfaction, and work hard on bringing them back for further business. This is a winning strategy for making huge profits. Making a profit is key to business survival. If there is revenue but still no profit, businesses typically go out of business within the first year of their operation.
Focus on profitability, focus on your client retention. A loyal client is a stepping stone for any business growth.