How to Retain Clients Long-Term

One of the most common questions I receive is, "How do I retain my clients long-term so they stop going to competitors?" Business owners will express, "I'm doing everything my competitors are doing and yet they still leave." "I have a better product and yet they still go somewhere else." The Problem lies in where business owners focus their efforts. To many are focusing on customer service. But here’s the hard truth: focusing solely on customer service isn’t enough.

Customer Service vs. Customer Experience

Customer service is the baseline—it's the expectation. If you’re simply meeting the standard that everyone else meets, there’s no reason for clients to stay loyal. What truly sets your business apart is the customer experience.

Customer experience goes beyond fulfilling expectations; it’s about creating memorable interactions that build a deeper connection with your clients. Experiences need to be planned for and invested in, but they’re the key to turning one-time customers into lifelong advocates.

A Real-World Example

A few days ago a friend of mine and I were talking about the importance of customer experience in business, he shared a powerful lesson with me about customer experience during one of his trainings he gave. He told the story of a store manager’s typical response to a customer returning sour milk. Most managers would open the milk, sniff it, and make the customer feel as if they were being untruthful.

Now imagine this scenario: The customer is a busy mom who’s already had a chaotic morning. Her kids complained about the sour milk, she had to scramble to get breakfast on the table, she ends up going through the drive through for breakfast on the way to school, the kids are fighting, and end up being late. She has a terrible day at work and now she’s taking extra time out of her day to return the milk. What happens when the store manager questions her claim? It’s not just the milk that’s spoiled—it’s the relationship with the store.

Instead, my friend trained the store managers to take a different approach. When a customer returns sour milk, the response should be:

I am so sorry that happened to you lets make this right for you. Turning to an employee, "Jim (employee's name) go grab me a new gallon of milk." Looking back at the customer ask, "what is your kids' favorite cereal?" "Jim also grab three boxes of that cereal on your way back as well." Tear come to her eyes as you hand her the milk and three boxes of cereal.

This approach creates a memorable experience for the individual they haven't received anywhere else, showing the customer they’re valued. The investment? Less than $10. The return? A customer for life.

Why Customer Experiences Matter

Most businesses spend significant amounts on marketing to attract new customers. Yet, retaining a customer through planned and thoughtful experiences is often far more cost-effective. In this example, a grocery story spends $8 million in advertising getting people into their store each year. If your store sees 80,000 customers monthly, and only a handful return sour milk, investing $240 annually could translate into dozens of lifelong customers. Customer experiences need to be planned for and invested in. You can either be forgettable or memorable, but the latter takes an investment.

Making Customer Experiences Part of Your Strategy

Creating impactful customer experiences doesn’t have to be complicated or expensive, but it does require intentionality. If you’re unsure where to start, I’m here to help. Let’s work together to craft a strategy tailored to your business. By investing in customer experiences, you’ll build loyalty, enhance retention, and watch your business thrive. Comment the word "experience" below, and we’ll schedule a call to discuss personalized strategies for your business.